France's Lectra Q2 EBITDA rises 12% as margin improves
France's Lectra Q2 EBITDA rises 12% as margin improves
Overview
France industrial tech firm's Q2 revenue stable yr/yr, recurring business supports results
Adjusted EBITDA for Q2 rose 12%, margin improved to 17.1%
Net income for Q2 climbed 73% yr/yr, driven by higher profitability
Outlook
Lectra targets average annual SaaS ARR growth of about 15% for 2026-2028
Company aims for recurring contract revenue growth between 5% and 8% annually
Lectra plans EBITDA margin growth of 120-180 basis points per year through 2028
Result Drivers
RECURRING REVENUES - Growth in recurring revenues, particularly from SaaS offers, supported Q2 results
EQUIPMENT ORDERS - Improved equipment orders contributed to business activity in Q2
COST DISCIPLINE - Rigorous operational discipline helped boost profitability and margin
Company press release: ID:nGNE6rxzM3
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | EUR 126.50 mln | EUR 128.18 mln (1 Analyst) |
Q2 Net Income |
| EUR 9.20 mln |
|
Q2 Adjusted EBITDA |
| EUR 21.60 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Lectra SA is €23.00, about 25.7% above its July 29 closing price of €18.30
The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 19 three months ago
Reuters Recommended Reads
July 30 - Finland's Outokumpu Q2 adjusted EBITDA rises sequentially on strong European, U.S. demand
July 30 - France's Vusion H1 revenue rises 34% on retailer partnerships
July 30 - Germany's Draegerwerk H1 revenue rises, raises EBIT margin outlook
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(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.)