Qwamplify: Revenue Drops by 18%, but the Group Remains Profitable
The digital marketing agency Qwamplify recorded a revenue decrease of 18% to 27.1 million euros in 2025, hampered by the collapse of its SEA, emailing, and programmatic advertising activities. However, the group announces positive annual results thanks to significant savings and maintains its gross margin rate at nearly 70%, counting on an organic restart during the first half of 2026.
Financial Overview for 2025
Qwamplify's 2025 financial statement reveals a striking contrast: while revenue plummeted by 18% to reach 27.1 million euros, the gross margin fell at the same rate to 18.8 million euros. However, behind these parallel figures lies a radical restructuring effort. On a like-for-like basis, excluding the divestment of the Nordic subsidiary in July 2025, the revenue decline was 14% while the gross margin reduction was only 15%. Importantly, the gross margin rate remained stable at 69.2% in 2025 (compared to 69.8% in 2024 pro forma), reflecting a rarely seen compression of operational costs. The last quarter was particularly harsh, with a 26% drop in revenue to 6.8 million euros and a gross margin down by 30% to 4.2 million euros, impacted by a high base effect from Q4 2024.
Strategic Decisions to Preserve Profitability
To preserve its profitability amid deteriorating business conditions, Qwamplify opted for a selective exit strategy. In addition to divesting its Nordic subsidiary in July 2025, the group sold the business assets of its B2B Activation activity on January 1, 2026. These two transactions will negatively impact the figures for the first quarter of 2026, further burdening the company's short-term growth profile. This refocusing strategy on the core business implicitly acknowledges the cyclical difficulty: advertisers, facing a structural decline in communication budgets, are drastically reducing their investments, particularly in SEA, emailing, and programmatic advertising. Cédric Reny, president and founder, acknowledges that 'the last quarter was particularly challenging' but emphasizes that 'we have made significant savings, allowing us to remain profitable'.
Anticipating Positive Annual Results for 2025
Despite this contraction, Qwamplify anticipates positive annual results for 2025, achieved through drastic savings in 2024 and 2025 and increased technological investments. The group foresees a return to organic stability during the first half of 2026, basing its optimism on three pillars: strengthening its sales team in the second half of 2025, technological investments in the tools of its Bespoke agency (platform, Shopper, GEO), and a commercial pipeline favorable to new clients. However, this confidence must be tempered: it is stated despite the 'continuation of the decline in emailing activity' and 'strong pressure on advertisers' communication budgets'. The next full annual results announcement is expected on April 21, 2026. Until then, it remains to be seen whether the technological restart can offset the structural erosion of the market and turn strategic redeployment into a growth engine.
