Overview
France-based security solutions provider's Q1 2026 revenue fell 7% yr/yr to $10.7 mln
Anti-Piracy revenue rose 1% as subscription revenue grew and licence sales rebounded
Company completed sale of Extended Threat Defense product line, refocusing on Anti-Piracy
Outlook
Company says market visibility remains limited, impacting decision cycles
Verimatrix to focus on expanding subscription offers and leveraging installed base for revenue growth
Company reiterates 2028 objectives of business growth recovery, higher EBITDA and positive free cash flow
Result Drivers
SUBSCRIPTION GROWTH - Co said subscription revenue grew 4% yr/yr, supported by new contracts in India and Europe
LICENCE SALES REBOUND - Co said non-recurring revenue from licence sales rose 17% yr/yr, helped by a new order from a telecom operator in India
MAINTENANCE DECLINE - Co said maintenance revenue fell 12% yr/yr as it transitions to a subscription-based model
Company press release: ID:nBw6hT2d4a
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
$10.70 mln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy"
Wall Street's median 12-month price target for Verimatrix SA is €0.20, about 17.3% above its April 27 closing price of €0.17
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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.)