Disciplined Execution Driving Performance. Sensys Gatso Group presents its interim report for the second quarter and first six months of 2026.
April – June 2026
- Revenue MSEK 204.0 (204.1)
- Operating profit (EBITDA) MSEK 39.8 (31.4)
- Operating profit (EBIT) MSEK 25.1 (18.0)
- Net profit for the period MSEK 14.5 (-8.9)
- Earnings per share (SEK) 1.3 (-0.8)
- Cash flow from operating activities MSEK 24.7 (10.0)
- Equity/Assets Ratio (%) 53.9 (50.1)
- Net interest bearing debt MSEK 243.8 (290.7)
January – June 2026
- Revenue MSEK 363.6 (356.5)
- Operating profit (EBITDA) MSEK 62.0 (42.4)
- Operating profit (EBIT) MSEK 33.3 (16.9)
- Net profit for the period MSEK 21.2 (-23.7)
- Earnings per share (SEK) 1.8 (-2.1)
- Cash flow from operating activities MSEK 19.0 (-21.0)
- Equity/Assets Ratio (%) 53.9 (50.1)
- Net interest bearing debt MSEK 243.8 (290.7)
Comments from the CEO
Disciplined Execution Driving Performance
Q2 saw us build on our momentum from the past four quarters, with disciplined execution and commercial focus driving a material increase in profitability and improved sales performance. As we reach mid-year, revenue is up 2 percent over 2025, with EBITDA margin expanding from 11,9 to 17,0 percent, an increase of 5,1 percentage points. Based on this strong first half margin performance, we are increasing our EBITDA guidance for the year from 14-16 to 15-17 percent. Furthermore, and as detailed below, the strategic restructuring of our North American business is beginning to bear fruit, with multiple new customer signings and a significant backlog increase in the quarter. By maintaining our strategic focus on core markets, efficiently converting backlog to revenue, effectively managing costs and continuing to invest in sales and marketing, we are well positioned to continue driving shareholder value through profitable growth.
Strong Q2 Financial Results
Turning to the specifics of our Q2 financial results, we saw significant improvements in EBITDA and EBIT on revenue in line with the same period in 2025.
Solid Revenue Overcoming Headwinds
Improved quarter over quarter performance in North America (15,5 percent revenue increase from Q1) as well as effective project delivery and strong maintenance contract performance in our International segment drove Q2 revenue. Specifically, revenue landed at MSEK 204 for the quarter consistent with Q2 2025 (MSEK 204). Our Swedish and Dutch projects continue to provide a stable revenue foundation, while the performance of our global maintenance contracts highlight the quality and durability of our systems and the value of maintenance agreements that follow on Product sales in our core markets. While achieving these revenue results, we navigated headwinds in our North American segment as well as project delays in our International segment.
In many of our North American contracts, revenue is tied to violation volumes, which are highest in the first year of operation and normalise over time. Albany, one of our largest speed enforcement programs, was implemented in 2025 and is now in this normalisation phase, resulting in lower revenue compared to the same period last year. To mitigate this impact and grow the business, our focus is on increasing new business intake, expanding backlog, and converting this backlog to revenue. As detailed below, Q2 saw significant progress in these areas, with strong new business intake and a material increase in backlog. To build on this momentum, we will continue to invest in sales and marketing while aggressively pursuing new opportunities.
In our International segment, changes in expected customer order and delivery schedules impacted the timing of some planned Q2 revenue. Based on current project plans and customer communications, we anticipate achieving the majority of delayed Q2 revenue in the second half of the year, while continuing to closely monitor the situation.
Increased Profitability
Our ongoing focus on operational efficiency continues to produce margin expansion. Q2 EBITDA grew from MSEK 31,4 last year to MSEK 39,8, improving margin from 15,4 to 19,5 percent for the quarter. This improved EBITDA margin flows down to EBIT, which landed at MSEK 25,1 (18,0) for the quarter, a 39 percent increase over Q2 2025. Along with economies of scale, strong project management in our core Swedish and Dutch programs contributes significantly to profitability improvements. Q2 also saw the go-live of our new Xilium Traffic Event Service, which we expect to roll out to all customers in North America through the remainder of this year. The realization of this investment in our software platform, which includes additional automation, is expected to increase violation processing efficiency while also enhancing the user experience.
Building the North American Backlog
As noted above, the strategic reorganization of the North American business began yielding results in Q2. New Business Intake (ARR) for the quarter reached MSEK 16,5, expanding our North American Backlog (ARR) to MSEK 35,3. This success includes new customer signings in Colorado, New York and Pennsylvania, a trend that continued after the quarter's close with a strategic win in Minnesota, a new State for the North American segment. Furthermore, as we look to convert backlog to revenue, we saw new programs go live in Pennsylvania and Connecticut during Q2. We will continue to aggressively pursue opportunities and to prioritize investing in our North American commercial organization to maintain momentum and drive growth in this key market.
A New CTO
To accelerate our next phase of innovation and growth, we were pleased in Q2 to appoint Johan Norrman as our new Chief Technology Officer. Johan joins group management to lead our global technology strategy, product development, and research and development initiatives. He brings over 20 years of experience as a leader in global technology organizations, with a proven track record in integrating hardware and software platforms, deploying advanced AI-driven video solutions, and driving significant technology transformations. His expertise and leadership will be instrumental to executing our mission of consistently evolving our technology portfolio and ensuring that our roadmap directly supports our commercial strategy and market competitiveness.
Financial Outlook 2026 - Increased EBITDA Guidance
Looking ahead, we are reaffirming our full-year revenue guidance of MSEK 750-800, while continuing to closely monitor project schedules and global political developments, particularly in the Middle East, that may continue to impact order and delivery timelines. Furthermore, with our strong margin performance year-to-date, we are increasing full year EBITDA guidance from 14-16 to 15–17 percent. Overall, our ongoing focus on disciplined execution positions us well to navigate the remainder of the year.
Lewis Miller
CEO
Invitation to a presentation
On 20 August at 10 am CET Sensys Gatso Group invites press, analysts, shareholders, and stakeholders to participate in an audiocast. The company’s CEO Lewis Miller and CFO Simon Mulder will present the financial results in English. The presentation in connection with this report will be published on the website.
The presentation/audiocast can be joined online or via telephone and will be available on the company’s webpage:https://www.sensysgatso.com
If you wish to participate via webcast please use the link below.
https://sensys-gatso-group.events.inderes.com/q2-report-2026
If you wish to participate via teleconference please register on the link below. After registration you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference.
https://events.inderes.com/sensys-gatso-group/q2-report-2026/dial-in
This information is information that Sensys Gatso Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person, at 08.30 on 20 August, 2026.
For further information please contact:
Lewis Miller, CEO
e-mail: l.miller@sensysgatso.com
e-mail IR: investors@sensysgatso.com
Telephone: +46 36 34 29 80
Sensys Gatso Group AB is a global leader in traffic safety solutions with employees and subsidiaries in Australia, Germany, the Netherlands, Saudi Arabia, Sweden and the USA, as well as a branch office in the United Arab Emirates. Shares are listed on Nasdaq Stockholm under the stock symbol SGG.
For further information, visit www.sensysgatso.com
Vasavägen 3c, Box 2174, 550 02 Jönköping, Sweden
T +46 (0)36-34 29 80 E info@sensysgatso.com
www.sensysgatso.com org. nr. 556215-4459
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