Solwers H1 revenue falls on lower billing hours, profitability weakens
Solwers H1 revenue falls on lower billing hours, profitability weakens
Overview
Finland consultancy group's H1 2026 revenue declined 1.2% yr/yr, profitability weakened
Company attributed weaker results to lower billing rates and higher personnel expenses
Subsidiary-specific efficiency measures underway, including personnel reductions and office space savings
Outlook
Solwers does not provide an outlook for 2026 due to mixed market conditions
Company expects subsidiary-specific efficiency measures to take full effect during Q4
Solwers says visibility into profitability for the rest of the year is limited, especially in Sweden
Result Drivers
LOWER BILLING RATE - Co said billing rate declined to 79.8% from 82.6%, reducing billable hours and impacting profitability
HIGHER PERSONNEL EXPENSES - Personnel expenses increased by around two per cent, negatively affecting profitability
COST SAVINGS MEASURES - Group-wide savings measures, including personnel reductions and office space savings, lowered fixed costs but full impact expected in Q4
Company press release: ID:nWkr4wJ6QZ
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| EUR 41.80 mln |
|
H1 Loss Per Share |
| EUR 0.11 |
|
H1 Net Loss |
| EUR 1.11 mln |
|
H1 EBIT |
| EUR 64,000 |
|
H1 EBITA |
| EUR 286,000 |
|
H1 EBITDA |
| EUR 2.08 mln |
|
Analyst Coverage
The one available analyst rating on the shares is "sell"
The average consensus recommendation for the construction & engineering peer group is "buy."
Wall Street's median 12-month price target for Solwers Oyj is €1.80, about 5.9% above its August 24 closing price of €1.70
The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 18 three months ago
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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.)