Sword Group: Organic Growth of 11.7% in Q1, 2026 Targets Confirmed
Sword Group has released its first quarter 2026 results, showing an organic growth of 11.7%, significantly exceeding the internally budgeted expectations of +0.9%. The EBITDA margin stands at 12.0%, enabling the IT services group to confirm its annual targets. This performance highlights an acceleration in demand for IT and digital services, although its viability over the full year remains to be demonstrated.
Strong Performance in Q1
The consolidated revenue for the first quarter of 2026 reached EUR 90.7 million. With constant scope and exchange rates, the organic growth for the quarter was 11.7%, which is more than 10 percentage points above the group’s budgeted forecast, which anticipated a growth of 0.9% for the same period. This outperformance reflects an acceleration in demand for IT and digital services, areas in which Sword Group positions its 3,600 specialists active in more than 50 countries. The EBITDA margin shows a profitability of 12.0%, generating EUR 10.9 million in operating income before interest, taxes, depreciation, and amortization.
Annual Targets for 2026 Reaffirmed
The confirmation of the annual targets for 2026 is based on a commercial visibility considered sufficient by the management. The group anticipates an organic growth exceeding 12% in the second half of the year, based on the analysis of the backlog and the order book. This projection implies that the momentum from the first quarter must continue over the remaining nine months. Concurrently, the group confirms maintaining an EBITDA margin of 12% for the full year. This profitability stability, despite accelerated growth, suggests a control over structural costs and selectivity in taking new orders.
Geopolitical Tensions and Strategic Focus
At this stage, geopolitical tensions have not had a significant impact on the group's activities. A very limited effect is observed in Dubai, described as having no impact on the overall performance due to the low weight of this area in the revenue compared to the rest of the Middle East. Strategically, Sword Group favors an external growth approach based on targeted acquisitions of small size, aimed at absorbing high-value expertise rather than mass expansion. This selectivity contrasts with a very dynamic organic growth in the quarter, reflecting two distinct pillars of development.
