SoftwareOne Holding has raised its full-year adjusted EBITDA margin target after reporting third-quarter earnings that exceeded analyst expectations. The company now anticipates a margin of more than 24%, up from its previous forecast of more than 23%. Adjusted EBITDA for the quarter reached CHF 79.5 million, surpassing the CHF 77.7 million estimate, while the adjusted EBITDA margin improved to 21.1% from 19% a year earlier.
The Swiss software and cloud solutions provider attributed the strong performance to cost savings from its Crayon acquisition. Since the integration began in 2025, SoftwareOne has achieved CHF 85 million in Crayon-related savings and expects an additional CHF 5 million to CHF 10 million by the end of 2026, on top of CHF 100 million in annualized savings already realized.
Revenue grew 9.9% to CHF 377.3 million, exceeding the CHF 372.2 million forecast. Excluding currency effects, revenue growth was 7.4%, in line with expectations. The decline of the Swiss franc against several major currencies contributed 2.1 percentage points to the growth. Unadjusted EBITDA rose to CHF 65.6 million from CHF 42 million a year earlier but fell short of the CHF 69.4 million forecast.
Services revenue increased 11.2% excluding currency effects, while adjusted EBITDA in this segment rose to CHF 19.2 million from CHF 8.3 million a year earlier. Direct revenue grew 2.9% excluding currency effects, with adjusted EBITDA reaching CHF 68.8 million, above the CHF 62.5 million forecast. Channel revenue, however, was below expectations at CHF 34.6 million, with adjusted EBITDA falling to CHF 17.8 million.
SoftwareOne reaffirmed its 2026 guidance for mid- to high-single-digit revenue growth excluding currency effects, cash conversion above 60%, and a dividend payout ratio of 30% to 50% of adjusted profit. Chief executive Raphael Erb highlighted that increasing AI adoption is driving demand across cloud, data, security, governance, and cost optimization.