Serviceware SE Shows Continued SaaS Growth

Serviceware SE recently reported a solid performance for Q1 2025/2026, as per the latest analysis by Quirin Privatbank Kapitalmarktgeschäft. The company enjoyed a 5.6% year-over-year revenue growth, slightly exceeding expectations, owing to strong SaaS momentum and international expansion. However, challenges remain with declining license revenues and deferred SaaS-related income affecting overall growth figures.

Despite these challenges, Serviceware's management retained its optimistic outlook for fiscal year 2025/2026, projecting a 5.0%-15.0% increase in revenues. The EBITDA margin saw a decline from 2.4% to 0.9%, primarily due to upfront sales costs and a strategic shift from licenses to recurring revenue. Nevertheless, rising contractual liabilities provide positive revenue visibility.

Quirin Privatbank has raised the target price for Serviceware's shares from EUR 30 to EUR 33, maintaining a 'Buy' recommendation due to the firm's strong recurring revenue base and expanding international reach.