Siili Solutions Plc Half-year report 1 January – 30 June 2026 (Unaudited)
Siili Solutions Plc Half-year report 1 January – 30 June 2026 (Unaudited)
Revenue and profitability decreased from the comparison period - actions to strengthen sales and profitability continue
Siili Solutions Plc Half-year report 11 August 2026 at 9.00 EET
JANUARY-JUNE 2026
- We continued to accelerate sales and launched efficiency measures to improve profitability and sales
- We strengthened our competitiveness and strategy implementation by broadening our partner ecosystem
- Revenue for the first half of the year was EUR 50,060 (57,543) thousand, representing decline of 13.0% year on year
- Adjusted EBITA for the first half of the year was EUR -363 (2,562) thousand, which corresponds to -0.7% (4.5%) of revenue
APRIL-JUNE 2026
- In the beginning of May we announced the change of Siili's CEO. The process to select a new CEO is underway
- Demand for and the scale of projects related to AI modernisation and transformation increased in the second quarter
- Revenue for the second quarter amounted to EUR 24,376 (27,627) thousand, representing decline of 11.8% year on year
- Adjusted EBITA was EUR -176 (1,294) thousand, which corresponds to -0.7% (4.7%) of revenue
| 1-6/2026 | 1-6/2025 | 1-12/2025 | 4-6/2026 | 4-6/2025 | |
| Revenue, EUR 1,000 | 50,060 | 57,543 | 108,076 | 24,376 | 27,627 |
| Revenue growth, % | -13.0% | -2.8% | -3.4% | -11.8% | -5.9% |
| Organic revenue growth, % | -13.0% | -4.8% | -5.3% | -11.8% | -8.0% |
| Share of international revenue, % | 26.6% | 26.1% | 27.8% | 27.6% | 25.1% |
| Adjusted EBITA, EUR 1,000 | -363 | 2,562 | 4,107 | -176 | 1,294 |
| Adjusted EBITA, % of revenue | -0.7% | 4.5% | 3.8% | -0.7% | 4.7% |
| EBITA, EUR 1,000 | -1,113 | 1,636 | 1,433 | -783 | 428 |
| EBIT, EUR 1,000 | -1,780 | 971 | 111 | -1,119 | 50 |
| Earnings per share, EUR | -0.30 | 0.09 | 0.12 | -0.19 | 0.05 |
| Number of employees at the end of the period | 823 | 900 | 863 | 823 | 900 |
| Average number of employees during the period | 835 | 921 | 903 | 827 | 929 |
| Number of full-time employees (FTE) at the end of the period | 780 | 882 | 794 | 780 | 882 |
| Number of full-time subcontractors (FTE) at the end of the period | 106 | 132 | 115 | 106 | 132 |
Outlook for 2026 and financial goals for 2026-2028
Revenue for 2026 is expected to be EUR 95-105 million and adjusted EBITA EUR 0.5-3.3 million. (Updated on 6 August 2026)
On 26 November 2024, the company announced the financial goals for the years 2026–2028 as follows:
- Annual revenue growth of 20 percent, of which organic growth accounts for about half.
- Adjusted EBITA 12 percent of revenue.
- The aim is to keep the ratio of net debt-to-EBITDA below two.
- The aim is to pay a dividend corresponding to 30–70 percent of net profit annually
INTERIM CEO MARKKU SAVUSALO:
Siili’s first half of 2026 included both successes and challenges. We cannot be satisfied with the development of revenue and profitability during the beginning of the year. In response to this development, we launched efficiency measures across the whole Siili Group during spring and continued to accelerate sales. During the beginning of the year we strengthened our sales organization and offering, which resulted in positive development in sales during the end of second quarter. This creates us a stronger foundation for the second half of the year. The efficiency measures have also started as planned, and the temporary layoffs made in June, for example, will continue as needed also during the remainder of the year. However, the full effects of these measures will only be visible during the second half of the year.
Revenue for the first half of the year was EUR 50.1 million, representing a decline of 13.0% year-on-year. Adjusted EBITA for January–June was EUR -0.4 million, or -0.7% of revenue.
Strategy implementation proceeds
Demand for and the scale of projects related to AI modernisation and transformation increased in the second quarter. Our determined efforts to develop our consultants’ data and AI expertise have delivered results in both AI transformation projects and on the traditional software development side. We have for example expanded our cooperation with Pihlajalinna in the field of AI to cover the rapid development of AI solutions as part of business support. In late spring, Siili was selected to implement the significant and large AI transformation of a major Finnish industrial company.
In the summer, Siili was for example selected as a supplier in two different categories in joint tender by the Ministry of Agriculture and Forestry, the National Land Survey of Finland, the Finnish Food Authority and the Natural Resources Institute Finland. The contract period lasts until 2030. This agreement strengthens our position as a reliable and long-term partner for public administration and socially significant organizations. The second quarter was also successful for Siili’s subsidiaries. As one example, our subsidiary VALA Group has been providing quality assurance and test automation services in a business-critical and long-term project for Fennia.
Internationalization in line with our strategy is also progressing, and we gained important new openings in international client relationships during the first half of the year.
The strengthening of our offering to better meet the current market demand has progressed through concrete steps, which has supported sales. The Managed AI service that we launched at the beginning of the year has got off to a successful start. In addition, we have developed an AI-based modernisation model for reforming legacy IT systems. With this model, current-state analyses of systems can be accelerated by up to 60%, responding to the challenges many of our clients face in modernisation projects. In the spring, we also opened a series of open, technology-neutral development accelerators that cover the entire software development lifecycle from requirements specification to production operations.
Our partner ecosystem strengthened during the beginning of the year
Siili’s technology partner ecosystem developed further during the first half of 2026. In May, Siili became an official Google Cloud reseller partner, and the company now holds recognised partner status with all three global hyperscale cloud service providers: Microsoft Solutions Partner (Data & AI and Digital & App Innovation), AWS Advanced Tier Services Partner, and Google Cloud reseller partner.
These partnerships deliver direct added value to our clients through co-funded projects, more affordable proof-of-concept projects, and the partners’ investment programmes and reference architectures. At the same time, they directly strengthen Siili’s competitiveness and support the implementation of the company’s AI strategy.
During the spring, Siili also expanded its sovereignty offering through new partnerships with UpCloud and ConfidentialMind. These complement the existing collaboration with Verda and the LLM Gateway solution maintained in Finland. This overall offering positions Siili as a comprehensive partner for organisations that require solutions related to data location and European cloud sovereignty.
Selection of the new CEO is underway
At the beginning of May, we announced that Siili’s Chief Executive Officer will change. The process to select a new CEO is underway. In recent months, as interim Chief Executive Officer of Siili, I have had the privilege of working even more closely with Siili’s experts as well as with clients and partners. I would like to thank everyone for this good cooperation, and our personnel in particular for their dedicated and determined work to create client value and strengthen sales. There is still a great deal of work to be done, but we continue our work to improve revenue and profitability during the rest of the year.
REVENUE
Revenue for the first half-yearly period decreased by 13.0% year-on-year (-2.8%) to EUR 50,060 (57,543) thousand. Organic revenue change was -13.0% (-4.8%). The share of international operations of the revenue for the reporting period was 26.6% (26.1%). Revenue declined due to customers' budget cuts and delayed investment decisions, reductions in individual client relationships, and general uncertainty in the global market.
PROFITABILITY
EBITA for the reporting period totalled EUR -1,113 (1,636) thousand, representing a decline of EUR 2,749 year-on-year. The Group’s profitability weakened during the first year-half, and EBITA amounted to -2.2% (2.8%) of revenue. Weakened profitability was driven by lower-than-expected revenue in the first half of the year.
Subcontracting costs arising from the use of external services in the review period totalled EUR 9,971 (12,063) thousand, or 19.9% (21.0%) of revenue. Employee benefit expenses for the financial period decreased to EUR 34,007 (35,995) thousand, amounting to 67.9% (62.6%) of revenue. The decrease in employee benefit expenses was driven by a reduction in the number of employees, while non-recurring employment termination costs partially offset this decline. During the reporting period, the Group's number of employees was 835 (921) on average and 823 (900) at the end of the period. Other operating expenses decreased from the previous year to EUR 5,994 (6,353) thousand, or 12.0% (11.0%) of revenue.
Adjusted EBITA for the first year-half was EUR -363 (2,562) thousand, or -0.7% (4.5%) of revenue. The adjustment items amounted to EUR 750 (926) thousand, consisting of non-recurring employee benefit expenses related to employment termination benefits. The calculation of adjusted EBITA is available on the company website at https://sijoittajille.siili.com/en.
The Group’s operating result (EBIT) for the reporting period was EUR -1,780 (971) thousand, or -3.6% (1.7%) of revenue. Net financial expenses for the year-half totalled EUR 800 (400) thousand. The result for the period before taxes was EUR -2,580 (571) thousand, and earnings per share were EUR -0.30 (0.09).
FINANCING AND CAPITAL EXPENDITURE
The Group’s statement of financial position totalled EUR 74,298 (81,525) thousand at the end of the first yearhalf. The Group’s equity ratio was 51.6% (49.9%), return on investment (ROI) was -2.1% (5.3%) (due to a change in the calculation methodology, the KPI's comparative figure has changed from what was previously reported), and the ratio of net debt to EBITDA was 2.79 (0.45).
The cash flow from operations was EUR 1,438 (1,477) thousand, representing a decrease of 2.6% year on year. The decline in the cash flow from operating activities was driven mainly by the decrease in net result.
Cash flow from investing activities for the reporting period was EUR -4,743 (-5,321) thousand, including the considerations totalling EUR 4,262 thousand paid to the minority interests for the acquisition of additional stakes in Supercharge Zrt and Integrations Group Oy.
Cash flow from financing activities in the review period amounted to EUR 771 (-608) thousand, including a dividend of EUR 568 thousand paid to the shareholders of Siili Solutions Plc, a dividend of EUR 446 thousand paid to non-controlling shareholders of Supercharge Zrt, Integrations Group Oy and Vala Group Oy, loan withdrawals for Supercharge Zrt and Integrations Group Oy minority acquisitions amounting to EUR 3,988 thousand, and repayments of bank loans amounting to EUR 1,048 thousand.
At the end of the review period, the Group’s cash and cash equivalents totalled EUR 10,310 (15,884) thousand, and the Group had EUR 2,500 thousand in unused credit facilities. At the end of the review period, the Group’s interest-bearing bank loans stood at EUR 10,593 (9,268) thousand, of which EUR 2,756 thousand consisted of short-term loans.
SIGNIFICANT EVENTS DURING THE REPORTING PERIOD
Siili announced the change of CEO
In May Siili announced that Tomi Pienimäki will leave his position as Siili Solutions Plc's CEO. Siili's Board of Directors appointed Markku Savusalo as the interim CEO. Savusalo has worked at Siili since 2015, latest in the position of VP Digital Engineering business line. Process for the selection of the new CEO is underway.
Siili increased ownership in Supercharge Zrt and Integrations Group oy
Siili increased its ownership in its Hungarian subsidiary Supercharge Zrt to 100%, and its ownership in its Finnish subsidiary Integrations Group Oy to 70%.
RISKS AND UNCERTAINTY FACTORS
Siili is exposed to various risk factors related to its operational activities and business environment. The realisation of risks may have an unfavourable effect on Siili’s business, financial position or company value. The most significant risks related to Siili’s operations are described below, along with other known risks that may become significant in the future. In addition, there are risks that Siili is not necessarily aware of and which may become significant.
- The loss of one or more key clients, a considerable decrease in purchases, financial difficulties experienced by clients or a change in a client’s strategy with regard to the procurement of IT services could have a negative effect on the company.
- Failure to achieve recruitment goals in terms of both quality and quantity, and failure to match supply to customer demand in a timely manner.
- Probability and adverse effects of the realisation of the aforementioned risks are more likely in an uncertain economic environment.
- Failure in pricing, planning, implementation and improving cost efficiency of customer projects.
- Loss of the contribution of key personnel or deterioration of the employer’s reputation.
- Realisation of cyber or information security risks, for example, as a result of data breach and/or human error by an employee. In addition, heightened geopolitical uncertainty and increased activity by state actors have contributed to an elevated cyber threat landscape.
General negative or weakened economic development and the resulting uncertainty in the clients’ operating environment. The general economic cycle and changes in the clients’ operating environment can have negative effects through slowing down, postponing or cancelling decision-making on IT investments. General uncertainty, together with volatility arising from macroeconomic and geopolitical factors, continues to affect in particular our clients’ investment decisions, thereby also weighing on Siili’s business also in the current financial year. We continue to prepare for these effects by taking care of customer satisfaction and cost efficiency.
EVENTS AFTER THE END OF THE REPORTING PERIOD
Siili announced the change of Chief People Officer
The company announced in early August that Taru Salo, Chief People Officer of Siili Solutions Oyj and member of the Group Management Team, has resigned to take up a position with another company. Timo Miiluniemi has been appointed as interim CPO of Siili Solutions Oyj, effective 1 September 2026. The process for selecting a new Chief People Officer is underway.
Siili updated its financial guidance for 2026
The company announced on 6 August 2026 that it lowers its financial guidance for 2026 group revenue and adjusted EBITA. The company expects now the revenue for 2026 to be EUR 95-105 million (previous guidance was EUR 102-126 million) and the adjusted EBITA to be EUR 0.5-3.3 million (previous guidance was EUR 3.7-6.9 million).
FINANCIAL CALENDAR FOR 2026
Siili will hold a results announcement event for analysts, portfolio managers and the media on 11 August 2026 at 1:00 p.m. The presentation materials will be published on the company website after the event.
- The business review for 1 January–30 September 2026 will be published on 28 October 2026.
Helsinki, 11 August 2026
Board of Directors, Siili Solutions Plc
FURTHER INFORMATION:
Interim CEO & VP, Digital Engineering Markku Savusalo
tel. +358 40 154 7970
email: markku.savusalo@siili.com
CFO Tuomas Toropainen
tel. +358 50 911 9598
email: tuomas.toropainen@siili.com
DISTRIBUTION:
Nasdaq Helsinki Ltd
Main media
www.siili.com/en
SIILI SOLUTIONS IN BRIEF:
Siili Solutions Plc is a forerunner in AI-powered digital development. Siili is the go-to partner for clients seeking growth, efficiency and competitive advantage through digital transformation. Our main markets are Finland, the Netherlands, the United Kingdom, and Germany. Siili Solutions Plc’s shares are listed on the Nasdaq Helsinki Stock Exchange.
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