Norway's Itera Q1 revenue falls 1%, EBIT margin declines

Itera ASA

08/05/2026 06:24

Overview

Norway digital services firm's Q1 revenue fell 1% in constant currency

Q1 EBIT margin declined to 7.5% from 9.1% yr/yr, impacted by bad-debt provision

Company says operational improvements and AI-driven demand support strategic positioning

Outlook

Itera expects operational improvements to lift annualised margin by 1.6-1.8 percentage points from Q2 2026

Company says market remains cautious but sees growing demand for AI-enabled services

Itera sees strengthening demand for cloud and application modernization services

Result Drivers

CAUTIOUS CUSTOMER SPENDING - Co said continued cautious customer spending weighed on Q1 results

AI-DRIVEN DEMAND - Itera reported growing demand for AI-enabled services and digital core modernisation

CLOUD & APPLICATION SERVICES GROWTH - CAS unit delivered 11% gross profit growth, strengthening its position as a growth driver

Company press release: ID:nObi6P0zQa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
NOK 222.90 mln
Q1 EBIT
NOK 16.70 mln
Q1 EBITDA
NOK 24.60 mln
Q1 EBIT Margin
7.50%


Analyst Coverage

The one available analyst rating on the shares is "hold"

The average consensus recommendation for the business support services peer group is "buy."

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 12 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)