Tecnotree Raises 2026 Revenue Growth Outlook to Mid-to-High Single Digits
Key Facts
Tecnotree raised its revenue growth outlook for 2026 after reporting increases in revenue and operating profit in the first nine months, while Etteplan cut its annual estimates after quarterly and cumulative results declined. Tecnotree said in its financial report that revenue reached 57.0 million euros between January and September, up 7.8% year over year, while operating profit rose 43.8% to 19.0 million euros. Etteplan reported revenue of 78.4 million euros in the third quarter, down 4.6%, and operating profit fell 13.0% to 3.5 million euros. The results reflect divergent trajectories for the two Finnish companies, with the former raising its sales growth outlook and the latter lowering its targeted revenue and profit ranges for 2026.
In the third quarter alone, Tecnotree revenue rose 8.4% to 20.2 million euros from the same period a year earlier, according to the company’s report. Operating profit also increased 58.9% to 5.8 million euros, outpacing revenue growth. Net income, however, moved in the opposite direction, falling 13.6% to 3.0 million euros from 3.4 million euros a year earlier. The figures show that improved operating profit did not translate into net income growth during the quarter. For January to September, operating profit was 19.0 million euros, compared with 13.2 million euros in the corresponding period, while revenue reached 57.0 million euros, compared with 52.8 million euros.
Based on its performance, Tecnotree raised its 2026 guidance on October 21, forecasting revenue growth in the mid-to-high single digits in constant currency, compared with its previous guidance for low-to-mid single-digit growth. The company meanwhile maintained its full-year free cash flow target of more than 5.0 million euros. The new guidance sets a growth range without specifying a single percentage and measures revenue in constant currency. Maintaining the cash flow target is separate from the revenue growth outlook, as the company did not raise that target in the update. Etteplan reported its results on October 29, after announcing a profit warning and guidance cut on September 16.
Etteplan’s results also declined in the first nine months, with revenue down 4% to 257.9 million euros and operating profit falling 21.5% to 9.9 million euros from the same period in 2025. The company cut its full-year revenue estimate to a range of 355 million to 365 million euros, from 360 million to 375 million euros in its August 5 guidance. It also lowered its expected operating profit range to 16.5–20 million euros from 19–22 million euros. The revisions set lower ceilings for both revenue and operating profit expected in 2026. The company said AI-enabled service solutions accounted for 7% of third-quarter revenue.
Etteplan attributed part of the weakness to customer decisions, saying the escalation of the Middle East crisis in July prompted them once again to postpone decisions. The company added that demand began to improve near the end of the review period, but that improvement did not prevent quarterly revenue and profit from declining. Its chief executive said that “the defense and energy sectors continued to perform well,” while “demand in the automotive sector remained very weak.” This highlights differences among the sectors served by the company: strong performance in defense and energy alongside continued weakness in automotive. Etteplan said it expects the market situation to improve in the fourth quarter.
The companies’ announcements came against the backdrop of the European Central Bank’s October 29 decision to leave its key interest rates unchanged. The bank kept the deposit facility rate at 2.50%, the main refinancing rate at 2.65% and the marginal lending rate at 2.90%. It said higher energy prices were weighing on growth prospects and increasing inflation risks. This provides an economic backdrop that intersects with Etteplan’s remarks about customers delaying decisions and weak demand in the automotive sector, while the companies’ own results remained mixed, with growth at Tecnotree and a decline at Etteplan. In the fourth quarter, markets will be watching whether the signs of improving demand observed by Etteplan are accompanied by an actual improvement in market performance.