Stock Exchange Bulletin
Interim Report
April 29, 2026, at 8.00 am
Weak first quarter - improved outlook for the rest of the year
January-March
· Comparable revenue totaled EUR 11.2 million (12.1) and decreased by 7.5
percent. Revenue totaled EUR 11.2 million (12.1) and decreased by 7.5 percent
· Comparable EBITDA was EUR -0.1 million (0.5) and EBITDA EUR -0.7 million
(0.6). Comparable EBITDA percent was -0.6 (4.5)
· Comparable operating result was EUR -0.3 million (0.1) and operating result
EUR -1.0 million
(0.2). Comparable operating result percent was -3.1 (1.1)
· Earnings per share was EUR -0.07 (-0.02)
· Solteq Group's equity ratio was 26.6 percent (30.7)
· Net cash flow from operating activities was EUR -0.6 million (0.0)
· Comparable revenue remains at the same level and comparable operating result
improves clearly.
Key figures
1-3/2026 1-3/2025 Change % 1-12/2025 Rolling 12mos
Revenue, TEUR 11,217 12,121 -7.5 46,735 45,831
Comparable 11,217 12,126 -7.5 46,717 45,808
revenue, TEUR
EBITDA, TEUR -717 562 -227.6 2,123 843
Comparable EBITDA, -64 543 -111.8 2,166 1,558
TEUR
Operating result, -1,003 153 -756.6 765 -391
TEUR
Comparable -349 134 -360.3 810 326
operating result,
TEUR
Result for the -1,435 -462 -210.6 -1,365 -2,338
financial period,
TEUR
Earnings per -0.07 -0.02 -210.6 -0.07 -0.12
share, EUR
Operating result, -8.9 1.3 1.6 -0.9
%
Comparable -3.1 1.1 1.7 0.7
operating result,
%
Equity ratio, % 26.6 30.7 29.5 28.7
CEO Aarne Aktan: Weak first quarter - improved outlook for the rest of the year
The first quarter was weak, primarily due to subdued customer demand affecting
the Retail & Commerce segment. The Group's comparable revenue for the review
period amounted to EUR 11.2 million, a decrease of EUR 0.9 million relative to
the comparison period. The comparable operating result diminished by EUR 0.5
million year-on-year, amounting to EUR -0.3 million. To respond to the subdued
market environment and the volume of available work, the company carried out
change negotiations during the review period. The measures agreed in these
negotiations are expected to yield annual savings of approximately EUR 2.5
million. Of these cost savings, approximately EUR 1.8 million are expected to be
realized during the current financial year. Together with the business
development efforts, these measures support expectations of improved financial
performance as the year progresses. The company published a stock exchange
bulletin on March 20, 2026, regarding the outcome of the change negotiations.
The company's financial performance was two-fold. The Retail & Commerce
segment's revenue and profitability declined relative to the comparison period,
while the Utilities segment continued to grow and improve its profitability.
The Retail & Commerce segment was affected by subdued demand. The segment's
comparable revenue amounted to EUR 8.1 million, down by EUR 1.1 million from the
comparison period. The segment's comparable operating result amounted to EUR 0.0
million, a year-on-year decrease of EUR 0.8 million. Efforts to develop the
offering, competitiveness, and customer value continued during the review
period, and new service offerings and digital commerce solutions will be
introduced to the market during the current financial year. These are expected
to support a gradual recovery in demand during the financial year.
The Utilities segment's business developed positively during the review period.
The segment's revenue amounted to EUR 3.1 million, an increase of EUR 0.2
million relative to the comparison period. The comparable operating result
amounted to EUR -0.3 million, an improvement of EUR 0.3 million year-on-year.
The cost-saving measures implemented during the review period will strengthen
the software business's profitability, in particular, from the second quarter
onwards.
Expectations of improved financial performance are supported in particular by
the Utilities segment, where growth is expected to strengthen as the year
progresses. In the Retail & Commerce segment, sales are also expected to recover
due to the renewed offering. In addition, profitability is supported by the
implemented efficiency and cost-saving measures.
The operating environment for the Retail & Commerce segment remains tough, and
customer demand is expected to remain cautious in the near future as well. The
Utilities segment's outlook is moderate: while customer market consolidation is
reducing overall market size, changes in regulation and market practices are
driving demand for new IT solutions.
Profit Guidance 2026
Comparable revenue remains at the same level and comparable operating result
improves clearly.
Going concern principle
In assessing the going concern principle, the management of the company has
considered the risks related to the refinancing of the company. The key elements
of Solteq Group's debt financing are a fixed-rate bond, as well as standby and
bank account credit limits.
Solteq issued a fixed-rate unsecured senior bond with a nominal value of EUR
23.0 million on October 1, 2020, of which the company has repurchased and
canceled a total of EUR 4.3 million. The outstanding amount of the bond is EUR
18.7 million. The terms and conditions of the bond were amended in a written
procedure, approved on September 13, 2024, so that the bond matures on October
1, 2026. The standby and bank account credit limits total EUR 7.0 million. The
related financial covenants are linked to the terms of the bond.
The terms of the bond include financial covenants concerning the distribution of
funds and incurring financial indebtedness other than permitted under the terms
of the bond (Incurrence Covenant). The covenants require that the equity ratio
exceeds 27.5 percent, the interest coverage ratio (EBITDA/net interest cost)
exceeds 3.00:1, and that the Group's net interest-bearing debt to EBITDA ratio
does not exceed 4:1. The covenants concerning the distribution of funds and
incurring financial indebtedness other than permitted under the terms of the
bond are not fulfilled based on the reporting period. The fulfillment of the
covenants is always reviewed based on the last reported 12-month period.
Violations of the above-mentioned financial covenants of the bond do not, as
such, lead to the right to demand immediate repayment of the bond, but they
limit the distribution of the company's funds and incurring financial
indebtedness other than permitted under the terms of the bond.
The company has initiated measures to arrange refinancing of the company. The
arrangement will consist of the renewal of the existing bond and of the standby
and bank account credit limits.
The outcome of the financing negotiations is particularly influenced by the
company's financial performance before the current financing matures.
Significant deviations in the company's financial performance relative to its
own estimate for 2026 could jeopardize the refinancing. There is significant
uncertainty regarding the company's financial performance due to the weakening
general demand for IT sector services. Customer companies' weak market situation
continues to slow down investments in new systems. The company must be able to
offer competitive solutions to customers in a challenging market situation and
succeed in project implementations. In addition, the Company must succeed in
realizing the targeted cost savings.
Political tensions related to Iran and the Strait of Hormuz increase uncertainty
in global markets, which could complicate the Company's access to refinancing,
weaken financing availability, and increase financing costs. Moreover, the
crisis could negatively affect the Company's revenue development and
profitability due to weaker customer demand and rising costs.
In assessing the going concern, the management of the company has considered the
effects of the measures taken during the financial year 2025 and the first
quarter of 2026, the financial performance, financial forecasts, and risks
related to financing. Considering the above measures and risks, the management
estimates that operations will continue and that the risk of insufficient
funding is small. The company believes that the planned financing arrangements
will lead to a favorable outcome. The Interim Report has therefore been drawn up
under the going concern principle.
However, the company's refinancing is still ongoing at the time of releasing the
Interim Report. This and other circumstances mentioned above involve material
uncertainty that may cast significant doubt about the Group's and Parent
Company's ability to continue its operations.
Financial reporting
The Interim Report has been prepared in accordance with the recognition and
valuation principles of IFRS standards and using IAS 34 and the same accounting
policies as the Financial Statements 2025. The new IFRS standards, taken into
use on January 1, 2026, do not have a significant impact on the Group's Interim
Report. The information presented in the Interim Report has not been audited.
Attachments
Solteq Plc's Interim Report January 1 - March 31, 2026
Further Information
CEO Aarne Aktan
Tel: +358 40 342 4440
E-mail: aarne.aktan@solteq.com
CFO, General Counsel Mikko Sairanen
Tel: +358 50567 3421
E-mail: mikko.sairanen@solteq.com
Distribution
Nasdaq Helsinki
Key media
www.solteq.com
Solteq in brief
Solteq is a Nordic software solution and expert service provider specializing in
retail and energy sectors and needs related to e-commerce. The company employs
approximately 400 professionals and operates in Finland, Sweden, Norway,
Denmark, Poland, and the UK.