Ekinops: Mixed Results in Q1, +8% for the Quarter but -3% Year-Over-Year
On Tuesday, Ekinops reported a revenue of 27.6 million euros for the first quarter of 2026, marking an 8% sequential improvement. However, this recovery does not offset the 3% decline compared to the same period last year, highlighting the ongoing challenges of a company in strategic transition.
Quarterly Financial Performance
The revenue for the first quarter of 2026 stands at 27.6 million euros, up 8% from 25.6 million euros in the fourth quarter of 2025. This sequential improvement marks the second consecutive quarter of business growth. However, at constant exchange rates, the growth is limited to -0.5%, indicating a more moderate organic performance. Year-over-year, the revenue has declined by 3% from 28.5 million euros recorded in the first quarter of 2025. This annual contraction persists despite the integration of Olfeo, a SSE cybersecurity software company, which contributed 1.6 million euros to the quarter's revenue.
Sector Performance Overview
The sector performances present a mixed picture. The Connectivity & SASE Networks segment showed a 14% sequential growth in the first quarter of 2026 compared to the previous quarter, confirming Ekinops' return to more robust activity since the end of last year, especially in France. Conversely, the Optical Networks activity remains stable sequentially, though it is described as well-oriented in Europe outside of France. In the United States, despite a sequential increase, the activity has not yet reflected the expected effects of the federal BEAD broadband deployment program. The Software & Services sector grew by 6%, with its share of the group's revenue rising to 20% in the first quarter of 2026 from 18% a year earlier. The ARR (Annual Recurring Revenue) reached 15.6 million euros at the end of March 2026, up 5% since December 31, 2025.
Strategic Goals and Developments
Ekinops confirms its single-digit growth target for the full year 2026, driven particularly by the initial deliveries of new DCI and SASE solutions expected at the end of the year. The company finalized the acquisition of Chimere, a French cybersecurity ZTNA startup, at the end of March, aimed at strengthening its capabilities in the SSE and SASE segments. Additionally, Ekinops announced at the end of March the signing of a memorandum of understanding with a tier 1 European telecom operator for the deployment of an optical network based on WDM technology, with advanced discussions underway to conclude a multi-year framework agreement in the coming months.
