IT firm Alithya's Q1 revenue beats expectations
Overview
Alithya fiscal Q1 2026 revenue grows 2.7% yr/yr, beating analyst expectations
Adjusted net earnings rise 31.8% yr/yr, driven by acquisitions
Co acquires eVerge Interests, enhancing enterprise application services
Outlook
Company aims for profitable growth and value creation
Alithya focuses on leveraging AI and digital transformation
Company expects continued synergies from recent acquisitions
Alithya targets expanding service offerings and market penetration
Result Drivers
U.S. GROWTH - Organic growth in enterprise transformation services and higher billing rates boosted U.S. revenues by 17.3%
ACQUISITIONS - Positive contributions from eVerge and XRM Vision acquisitions enhanced revenue and gross margin
COST MANAGEMENT - Decreased selling, general and administrative expenses contributed to improved net earnings
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Revenue | Beat | C$124.16 mln | C$123.50 mln (6 Analysts) |
Q1 Adjusted EPS |
| C$0.07 |
|
Q1 Adjusted Net Income |
| C$6.52 mln |
|
Q1 Net Income |
| C$185,000 |
|
Q1 Adjusted EBITDA |
| C$11.63 mln |
|
Q1 Adjusted EBITDA Margin |
| 9.4% |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Alithya Group Inc is C$3.00, about 15.3% above its August 12 closing price of C$2.54
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 19 three months ago
Press Release: ID:nCNWf3NPfa
Related Articles
U.S. Stock Market Risk Assessment: Learning from History, Mid-Term Outlook Remains Secure
We argue that the Federal Reserve’s monetary policy is the most critical factor influencing the stock market.
Don't Miss Walmart's Aug 21 Earnings: $0.73 EPS Forecast, Grocery + E-Com Dual Engines – Unlimited Upside Potential?
TradingKey - Walmart's stock price has shown an overall fluctuating upward trend since the release of its first-quarter earnings report, benefiting from investors' favoritism towards Walmart as a defensive stock, as well as expectations for its stable growth in e-commerce and grocery businesses.
Powell's Jackson Hole Speech: For U.S. Stocks, Hawk or Dove Signal Could Be a Lose-Lose?
TradingKey - As U.S. inflation and labor market data show signs of rebalancing, Treasury traders and Wall Street banks have largely priced in a rate cut at the September FOMC meeting — the first of 2025. Yet both a more dovish-than-expected tone and a potential surprise hawkish signal from Fed Chair
Eurozone Q2 GDP Commentary: Will the Euro's Upward Momentum Persist?
TradingKey - On 14 August 2025, Eurostat published Q2 GDP figures, revealing a drop in the Eurozone's quarter-on-quarter growth from 0.6% in the first quarter to 0.1%. Consequently, annual growth eased from 1.5% to 1.4%. The slowdown primarily stems from the diminishing boost from European...
Bridgewater Associates Q2 2025 13F Analysis: Founder Ray Dalio’s Final Act
TradingKey - Bridgewater Associates, the world’s largest hedge fund and renowned for its macroeconomic analysis, continues to command market respect with its “risk parity” strategy and precise economic cycle timing.
