CEO's review

The third quarter was weaker than expected. The Group’s comparable revenue amounted to EUR 10.4 million, decreasing by EUR 0.6 million relative to the comparison period. Efficiency measures and cost control were not sufficient to offset the impact of the sluggish market on the result. The Group’s comparable operating result was EUR 0.1 million, declining by EUR 0.4 million year-on-year.

The Retail & Commerce segment performed moderately, considering the market conditions. The segment’s comparable revenue was EUR 7.7 million, decreasing by EUR 0.3 million relative to the comparison period. The comparable operating result was EUR 0.6 million, down by EUR 0.1 million year-on-year.

A low invoicing rate within the consulting business dragged down the Utilities segment's performance. In contrast, the software business developed well, and successful product development projects will bring new, innovative software solutions to the market in the near future. The segment’s comparable revenue was EUR 2.6 million, decreasing by EUR 0.3 million relative to the comparison period. The comparable operating result was EUR -0.4 million, weakening by EUR 0.3 million year-on-year.

The company’s financial performance in the third quarter fell short of expectations. Work to adjust the cost structure and enhance operational efficiency is continuous. During the latter half of the year, the focus is on developing the offering, competitiveness, and customer value. Our confidence in the long-term direction and strategic choices remains strong.

The operating environment for the Retail & Commerce segment remains tough, and customer demand is expected to stay cautious, also in the near future. The Utilities segment’s outlook is moderate: while market consolidation is reducing the overall market size, changes in regulation and market practices create demand for new IT solutions.

CEO Aarne Aktan