OVHcloud Reports 6.0% Growth in the First Quarter of 2026
European cloud services provider OVHcloud achieved a turnover of 275.3 million euros in the first quarter of fiscal year 2026, according to the press release issued this Wednesday. The group confirms all its annual targets, including the generation of a positive free cash flow.
Revenue Growth and Segment Performance
In the first three months of fiscal 2026, revenue increased by 6.0% on a like-for-like basis compared to the same period of the previous year, the company reports. This growth is primarily driven by public cloud products, which saw revenues reach 58.2 million euros, up 15.8% on a like-for-like basis. This segment now represents 21.2% of the group's total revenue. The private cloud, which accounts for 60.7% of the revenue with 167.2 million euros, grew by 4.0% on a like-for-like basis. The Webcloud, the third segment with 49.8 million euros, showed a growth of 2.3% on a like-for-like basis. According to the press release, the net revenue retention rate is set at 105% on a like-for-like basis, reflecting the growth in consumption by existing clients.
Geographical Performance
Geographically, France remains the group's largest market with a revenue of 133.9 million euros, representing 48% of the total, growing by 5.1% on a like-for-like basis, according to the group. OVHcloud reported the signing of Mission Critical and OPCP contracts in France. Other European countries generated 79.3 million euros in revenue, representing 29% of the total, with a growth of 4.1% on a like-for-like basis. The rest of the world showed the most dynamic progression with 62.1 million euros in revenue and an increase of 10.5% on a like-for-like basis, driven according to the press release by the deployment of public cloud in the United States. This area represents 23% of the group's total revenue.
2026 Objectives and Strategic Developments
OVHcloud maintains its objectives for fiscal 2026, targeting an organic revenue growth of between 5 and 7%, an adjusted EBITDA margin higher than that of fiscal 2025, investments ranging from 30 to 32% of revenue, and a positive free cash flow. During the quarter, the group announced the acquisition of Seald, an end-to-end encryption solution for sensitive data, as well as the signing of a contract with LCH SA, an international clearing house based in Paris. According to the press release, the expansion of the public cloud 3AZ regions continues with the planned opening in Berlin at the beginning of 2027, following Paris and Milan. The group has also concluded a partnership with SambaNova to deploy new accelerators dedicated to large-scale inference for AI agents.
