Wavestone Reports Improvement in Third Quarter with 3% Revenue Growth

Quarterly Financial Performance

During the third quarter of 2025/26, covering the period from October 1 to December 31, 2025, Wavestone generated consolidated revenue of 247.1 million euros, up 3% compared to the same quarter of the 2024/25 fiscal year (240.6 million euros). On a constant scope and exchange rate basis, this growth reached 2%. The consulting firm notes that the third quarter of 2025/26 benefited from a favorable day effect of 1%. This quarterly improvement comes in a context where Wavestone consolidated Wivoo, a French consulting firm acquired since June 1, 2025. Over the first nine months of the fiscal year 2025/26, consolidated revenue amounted to 705.0 million euros, growing by 1% compared to 698.5 million euros recorded in the same period of the 2024/25 fiscal year. On an organic basis, the nine-month revenue remains stable compared to last year, with a nearly neutral day effect. The firm records a clear improvement in its utilization rate, which stands at 72% over nine months, compared to 71% during the first half of 2025/26. As of December 31, 2025, the average daily rate is 938 euros, almost stable compared to the previous fiscal year (939 euros). On a constant scope and exchange rate basis, the average daily rate shows a 1% increase compared to the previous year.

Order Book and Employee Dynamics

Wavestone's order book showed significant growth at the end of the calendar year, in line with usual seasonality, standing at 4.7 months as of December 31, 2025, compared to 3.6 months on September 30, 2025, and 4.5 months on December 31, 2024. As of December 31, 2025, Wavestone had 6,064 employees, including 98 staff members from the merger with Wivoo, compared to 6,076 on March 31, 2025. The 12-month rolling turnover rate was 12% at the end of December, compared to 13% at the end of September and 12% for the entire previous fiscal year. Regarding artificial intelligence activities, Wavestone emphasizes that AI-related projects continue to show strong momentum. The firm aims for significant growth in its AI business in 2025/26, which will represent at least 14% of its total revenue, compared to 8% in the previous fiscal year.

Financial Targets and Outlook

Wavestone confirms its goal for positive organic growth in 2025/26. In terms of profitability, the firm targets an annual recurring operating margin of around 13%, these targets being understood at constant exchange rates and excluding new acquisitions. The beginning of the fourth quarter of 2025/26 confirms the gradual improvement in the firm's activity, despite the usual slowdown in the utilization rate at the start of the calendar year. Consequently, the fourth quarter is also expected to show positive organic growth, potentially moderated by the continued reduction in subcontracting. Sector trends remain similar to those observed in the last months of the year 2025. The next revenue publication for the fourth quarter of 2025/26 is scheduled for Thursday, April 30, 2026, after the closing of the Euronext markets.