Translation: Original published in Finnish on 07/17/2026 at 08:59 am EEST

Source: Inderes

Digital Workforce published its half-year report this morning, which was positive and gave confidence that the good momentum will continue. Revenue grew strongly, driven by the acquisition and also organically, which was in line with our estimate. The EBIT was also well in line with our expectations. The company also reported strong sales and continues to invest, which we find natural given the demand outlook. In addition, the company upgraded its growth guidance yesterday evening, which was also well in line with our pre-report expectations. Overall, we believe the report was positive and strengthened our confidence in the continuation of good performance.

Revenue grew strongly in line with our expectations, investments continue

Digital Workforce's revenue grew by 31% to 7.8 MEUR in Q2 and was fully in line with our estimate. Growth was driven by the e18 acquisition and slightly by the Front AI acquisition. We estimate organic growth to have been 11%. We consider the continued strong organic growth to be positive, which is clearly better than the IT services sector (Q1'26 -3%). By business area, "higher value" continuous services grew by 29%, which was weaker than our forecast of 36% growth. Professional Services grew by 33%, and developed significantly better than the 24% growth estimate. The company states that organic growth has been driven by new customer acquisition and upselling, which we consider positive in many ways. Growth was still driven by the strong performance of the healthcare sector in Finland and the UK, as well as the expansion in Enterprise & Public accounts. The company achieved an NPS score of 72 in the spring, which is very good and indicates that customers are highly satisfied with Digital Workforce, reinforcing confidence in the company's competitiveness.  

The company also stated that new orders had developed favorably, particularly in Q2, and had exceeded the company's targets. In the healthcare business, the company has achieved several wins, and sales of agent-based AI products have grown. In addition, existing customer contracts have been renewed at the expected level. We estimate that the unit prices of contracts are slightly lower than before, but volumes have grown as expected.

Regarding the recent acquisition of Front AI, the company expects that the acquisition of AI agent-based customer service will bring synergies that will accelerate revenue growth as early as 2026. Thus, we believe there will be many interesting topics in the CEO's interview today.

In line with its strategy, the company continued and will continue to recruit new professionals in H2. Recruitments are particularly focused on growing the healthcare business in the UK and the US, and on supporting the agent-based AI business internationally.

The operating result was in line with our expectations in Q2

Adjusted for non-recurring items, the Q2 earnings level was in line with our estimates. Gross margin was 39%, which decreased from 45% in the comparison period but was at the Q1 level. In our view, the company has continued to invest in launching large customer contracts, which we understand has limited the scaling of growth to profitability more significantly. Adjusted EBITDA was 0.37 MEUR, and adjusted for non-recurring items, it was 0.51 MEUR, which was in line with our estimate. This corresponds to an adjusted EBITDA margin of 7%. The reported result was mainly weighed down by non-recurring costs related to the acquisition. Other lines showed slightly higher expenses than expected. This resulted in EPS of EUR -0.03, below our forecast of EUR 0.00.

Increased growth guidance in line with our estimates

Digital Workforce raised its guidance and now expects the Group's revenue to grow by 27-37% compared to 2025 (was at least 15%). In addition, the company still expects adjusted EBITDA to be 7–13% of revenue. Ahead of the Q2 report, we estimated the company's revenue to grow by 31% in 2026, driven by acquisitions (organically 10%), and the adjusted EBITDA margin to be close on 10%.