Sitowise Group Q2'26 flash comment: Boosted by order book, despite profitability falling slightly short of our expectations
Summary
- Sitowise's Q2 revenue aligned with expectations at 43 MEUR, with a 1% year-on-year increase, driven by growth in the Infra business and the data center market within the Buildings segment.
- Operational profitability fell slightly short of expectations, with adjusted EBITA at 3.2 MEUR, 9% below forecasts, due to underperformance in the Buildings and Digital Solutions segments.
- The order book grew by approximately 5% year-on-year to 145 MEUR, supported by significant project orders in the Infra business and data center projects in the Buildings segment.
- Due to uncertain market conditions, Sitowise did not provide financial guidance for the current year, citing unpredictable construction market recovery and public sector budget constraints in Finland.
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Translation: Original published in Finnish on 8/12/2026 at 9:20 am EEST.
| Estimates | Q2'25 | Q2'26 | Q2'26e | Diff-% | 2026 | |
| MEUR/EUR | Comparison | Actualized | Inderes | Act. vs. Inderes | Inderes | |
| Revenue | 42.6 | 43.1 | 43.2 | 0% | 173.6 | |
| EBITA (adj.) | 3.2 | 3.2 | 3.5 | -9% | 12.5 | |
| EBIT | 2 | 1.2 | 2.7 | -56% | 8.1 | |
| EPS (reported) | 0.01 | -0.01 | -0.49 | 98% | -0.47 | |
| Revenue growth-% | -2.10% | 1.20% | 1.40% | -0.2 pp | -8.0% | |
| EBITA-% (adj.) | 5.10% | 7.40% | 8.10% | -0.7 pp | 7.2% | |
Source: Inderes
Although Sitowise's Q2 revenue was fully in line with our estimate, operational profitability was slightly below our expectations. Sitowise’s order book grew by about 5% year-on-year, driven not only by the Infra business, but also by the expanding data center market within the Buildings business. The company still did not provide guidance for the current year due to the challenging operating environment, and we view the report’s impact on our forecasts as neutral for now.
Revenue in line with expectations
Revenue from Sitowise’s continuing operations increased by one percent year-on-year, virtually exactly matching our forecast of 43 MEUR. In the big picture, Infra grew slightly faster than we expected. Meanwhile, revenue in the Buildings and Digital Solutions businesses decreased, though we had expected somewhat stable development relative to the comparison period. As expected, Infra's development was supported by stable demand, successful project sales, and previously secured road and rail projects. At the same time, the market environment for Digital Solutions remained challenging, and segment sales decreased slightly. Annual recurring revenue grew by 3.9% during the quarter. The business cycle remained weak in the Buildings business, but growth in the data center market created new opportunities for the business area and supported order intake development. Sitowise's order book rose by around 5% year-on-year to 145 MEUR (Q2'25: 138 MEUR). Order intake was positively impacted by significant project orders in the Infra business, in addition to which orders developed positively in the Buildings business due to data center projects.
Somewhat disappointing operational results; timing of Sweden divestment affected bottom line
Operational earnings developed steadily year-on-year, but adjusted EBITA fell slightly below our forecast. According to the company, profitability in Infra remained above the target, while in the Buildings and Digital Solutions business areas, it remained below the target (clearly below target in Buildings and below target in Digital Solutions). Reported earnings per share surpassed our expectations significantly, but this difference is almost entirely due to a non-cash write-down related to the sale of the Swedish subsidiary, which occurred at a different time than we had estimated. We had expected a write-down of approximately 18 MEUR to already weigh on the Q2 result, but according to the company, the divestiture was not finalized until the end of July. This means that the significant impact on earnings will likely only be reflected in the Q3 figures.
Uncertain market conditions keep guidance on the back burner
Sitowise reiterated its previous statement that it will not provide financial guidance for the current year. The company again attributed this to the unpredictable timing of construction market recovery in Finland. Therefore, the market outlook remains uncertain in the short term, and, according to the company, public sector budget constraints continue to limit investment growth in areas such as urban development and municipal software development. However, we believe that the order book, which grew by around 5%, and the steady performance of Infra provide moderate support for the rest of the year. Based on the report, we do not see an immediate need for significant operational forecast changes for the coming years.