Atea ASA (ATEAY) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Welcome to all of you around the world. Welcome to sunny Oslo, and welcome to the q one twenty twenty six numbers for ATEA. And wow, what a quarter. This was not easy. But again, ATEA and all its employees showed up and made a big difference. So let's look at the main numbers. Gross sales grew by 11.5% with a minimum of that coming from currency giving us a revenue or gross sales of 14,800,000,000 Norwegian Kroners. Net revenue grew by 12.9% and EBIT came in at $476,000,000, up from 281 the year before. Net profit at 389, up from 162. So, again, the best quarter in the history of the company. But as always, I'll leave it to Robert to take all the good news. Thank you, Snyder. Atea reported high profit growth in the first quarter, driven by strong sales of hardware and software. Gross sales in Q1 were NOK 14,800,000,000, up 11.5% from last year. After adjusting for changes in currency rates, organic growth in constant currency was 10.7%. Hardware sales increased by 18.9% with very high shipments of PCs and data center equipment. Demand for hardware continues to be healthy. And in addition, we've seen purchase orders in expectation of supply constraints later in the year. Some of these orders were delivered and recognized in Q1, but most of the order volume is still in the backlog and will be delivered in future quarters. Software and cloud sales increased by 9.1%, with very strong growth in sales of cloud solutions. Services sales were in line with last year. Net revenue, according to IFRS, was NOK9.7 billion, up 12.9% from last year. Gross profit increased by 6.0% to NOK2.8 billion. Gross margin was lower than last year due to a lower proportion of services in the revenue mix. Operating expenses grew by 4.9% to NOK2.5 billion. The average number of full time employee...