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Introduction & Market Context
Sesa Group (BIT:SES) presented its Q1 2026 financial results on September 11, 2025, showing a return to growth after facing challenges in the previous quarter. The company’s stock responded positively, rising 5.53% to €75.1 during the presentation day, recovering some ground after a significant 15.21% drop following its Q4 2025 earnings release.
The Italian digital technology provider, which focuses on enabling digital transformation for businesses, demonstrated resilience in a challenging market environment, with its diversified business model helping to offset weaknesses in traditional segments.
Quarterly Performance Highlights
Sesa reported consolidated revenues of €845.7 million for Q1 2026, representing an 8.0% year-over-year increase, with consolidated EBITDA reaching €60.7 million, up 7.2% compared to the same period last year. The EBITDA margin remained stable at 7.2%.
As shown in the following comprehensive results table:
On an organic basis, excluding the impact of acquisitions, the company achieved more modest growth with revenues increasing by 2.2%, EBITDA by 4.0%, and Group Adjusted Net Profit by 2.3% year-over-year. The Group’s Adjusted Net Profit amounted to €29.8 million (+6.4% Y/Y), with Group Adjusted EAT of €27.9 million (+4.5% Y/Y).
Performance varied significantly across business segments, with Business Services and Digital Green VAS driving growth while traditional segments showed slight declines. The Business Services sector delivered the strongest performance with EBITDA of €7.3 million, up 25.0% year-over-year, and an impressive margin of 19.9%. Digital Green VAS also performed well, with EBITDA increasing by 17.9% to €6.2 million and a margin of 5.6%.
The following breakdown illustrates the performance by sector:
The company’s Software and System Integration (SSI) sector, which represents a significant portion of the business with revenues of approximately €880 million annually, experienced a slight decline in EBITDA of 2.7% year-over-year in Q1 2026, with margin at 10.7%. Similarly, the ICT Value Added Solutions sector saw a 0.9% decrease in EBITDA, with margin at 4.5%.
Financial Position & Outlook
A notable improvement in Sesa’s financial position came from the reduction in net financial charges, which decreased to €6.8 million in Q1 2026, showing a significant improvement compared to €10.7 million in Q4 2025 (down 36.4% quarter-over-quarter) and €7.7 million in Q1 2025 (down 11.6% year-over-year).
The following chart illustrates this positive trend:
The consolidated Net Financial Position (NFP) as of July 31, 2025, stood at €64.9 million, improving by €9.8 million compared to €74.7 million as of April 30, 2025. This improvement in financial position comes after a period of increased debt, as the company had previously seen its net cash position decline from €211 million to €158 million according to the Q4 2025 earnings report.
Based on Q1 2026 performance and order intake trends, Sesa confirmed its FY2026-27 Industrial Plan guidance, targeting growth of 5.0-7.5% in revenues, 5.0-10.0% in EBITDA, and 10% in Group EAT Adjusted for FY 2026. The financial outlook is presented in the following table:
Strategic Initiatives
Sesa’s business model focuses on digital enablers like AI and Automation, Cloud, Cyber Security, and Digital Platforms, operated through Vertical Business Units and Competence Centers. The company serves approximately 40,000 clients, including 4,000 abroad, with operations primarily in Italy and growing international presence.
The company’s structure and business model are illustrated in the following overview:
While Sesa has historically grown through acquisitions, completing 82 M&As since 2015 that added approximately 3,200 employees and €835 million in annual revenues, the new Industrial Plan 2026-27 shifts focus primarily to organic growth and cash flow generation.
The company’s M&A strategy and its contribution to growth are detailed in this chart:
Forward-Looking Statements
Looking ahead, Sesa’s Industrial Plan for FY 2026-27 targets continued growth with a focus on digital transformation and sustainability. The company plans to invest in AI and automation capabilities, with approximately 1,000 specialists in digital enablers and over 50 data, AI, and automation projects planned for FY 2026.
The long-term growth trajectory and future projections are visualized in the following chart:
During the previous earnings call, CEO Alessandro Fabbroni emphasized the company’s strategic focus on digital transformation and sustainable growth, stating, "We are entering a new phase of evolution, more focused, supported by a rationalized structure." Fabbroni also highlighted the importance of AI and automation in the company’s future plans, saying, "We will put AI and automation everywhere."
Despite the positive Q1 2026 results, Sesa faces challenges including potential market saturation in certain segments and macroeconomic pressures that could impact costs and margins. The company’s ability to execute its organic growth strategy after years of acquisition-driven expansion will be closely watched by investors in the coming quarters.
Full presentation:
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