Canada's VIQ Solutions Q2 revenue rises 10.2% as Australia winds down
Canada's VIQ Solutions Q2 revenue rises 10.2% as Australia winds down
Overview
Canada digital transcription firm's Q2 revenue rose 10.2% yr/yr
Adjusted EBITDA for Q2 was positive and up significantly from prior year
Company initiated cost reduction as Australian operations wind down, focus shifts to North America and UK
Outlook
Company expects most cost savings from Australian wind down by end of Q3 2026
VIQ Solutions expects cost reductions to improve margins, EBITDA and cash flow through 2027
Company is focused on growing revenue organically and through acquisitions
Result Drivers
AUSTRALIA BACKLOG - Administrators in Australia completed as much backlog as possible before winding down operations, contributing to Q2 revenue
COST REDUCTION - Co said cost reduction program ahead of Australian wind-down is improving gross margins, EBITDA, and cash flow
LICENSE REVENUE - Higher license revenue drove gross margin improvement in North America and UK operations
Company press release: ID:nNFC6c64Q9
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue |
| $11.5 mln | $5.10 mln (1 Analyst) |
Analyst Coverage
Wall Street's median 12-month price target for VIQ Solutions Inc is C$0.25, about 194.1% above its August 12 closing price of C$0.09
Reuters Recommended Reads
Aug 13 - Canada's Alithya Q1 revenue misses estimates on reduced government and banking contracts
Aug 11 - Canada's Sylogist Q2 revenue falls, posts net loss
Aug 13 - VerticalScope Q2 revenue sees sequential rise, beating estimates as monthly users jump; adj EBITDA rises on AI-driven cost cuts
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.)
Recent news on VIQ Solutions
See all newsCanada's VIQ Solutions Q2 revenue rises 10.2% as Australia winds down
Canada's VIQ Solutions Q1 revenue rises, EBITDA up 45% on currency impact
Canada's VIQ Solutions Q4 revenue falls, takes $9.1 million impairment charge
Brief: VIQ Solutions Q2 Net Income USD -2 Million
Brief: VIQ Solutions Announces Conclusion of Strategic Review Process and Board Change