October - December 2025 (compared to the same period last year, Upsales group)
- Annual recurring revenue (ARR) at the end of the quarter was MSEK 153.0 an increase of 7.8% during the last 12 months
- ARR increased by MSEK 5.3 during the quarter
- Net sales increased by 10.8% to MSEK 40.4 (36.4)
- EBITDA increased to MSEK 10.4 (5.5)
- EBITDA margin increased to 25.7% (15.1%)
- Operating profit (EBIT) increased to MSEK 7.4 (3.3)
- Net income increased to MSEK 5.8 (2.6)
- Cash flow from operating activities increased to MSEK 21.9 (20.8)
January - December 2025 (compared to the same period last year, Upsales group)
- Net sales increased by 5.0% to MSEK 152.0 (144.8)
- EBITDA increased to MSEK 38.6 (31.8)
- EBITDA margin increased to 25.4% (22.0%)
- Operating profit (EBIT) increased to MSEK 28.2 (22.9)
- Net income increased to MSEK 22.5 (18.5)
- Cash flow from operating activities increased to MSEK 35.2 (30.7)
CEO COMMENT
In Q4, Annual Recurring Revenue (ARR) grew to MSEK 153.0, an increase of 7.8% over the last twelve months. Quarterly net ARR addition was MSEK 5.3 - a clear acceleration from previous quarters and the strongest quarterly contribution in three years. Net sales increased by 10.8% to MSEK 40.4 (36.4), returning to double-digit revenue growth. EBITDA increased to MSEK 10.4 (5.5), with the margin expanding to 25.7% (15.1%). Operating profit (EBIT) was MSEK 7.4 (3.3), net income MSEK 5.8 (2.6), and cash flow from operating activities was MSEK 21.9 (20.8).
The improvement in profitability is driven by revenue growth now outpacing our cost base, combined with efficiency gains from a more streamlined organization. We expect this trend to continue.
Outlook
Looking into 2026, the dynamics of the business are moving in the right direction. Churn rates have continued to decline and we expect them to stay at lower levels. Both new sales and expansion within existing accounts are progressing well. As we combine lower churn with stronger commercial activity, the conditions for continued acceleration in revenue growth are clearly in place. We expect revenue growth rates to increase further throughout 2026.
AI is an accelerator
AI accelerates digitalization. When we meet customers, we still see vast amounts of manual work, even in large organizations. The AI wave is driving more demand for software, not less. For Upsales specifically, AI is the single biggest opportunity in our history. It makes us faster at building, better at delivering value, and more competitive against larger players. We are not adding AI to old software - we are building an AI-native platform from the ground up, using many years and thousands of client's experiences in what really provides value to our clients' businesses.
The European tailwind
European companies and public institutions are actively moving away from US software providers. This is not a theoretical discussion - procurement policies are shifting, and the demand for sovereign cloud and European alternatives is growing across the continent. The US CLOUD Act gives US authorities legal access to data stored by US companies regardless of server location, and the stability of current EU-US data frameworks depends on political decisions that could change. European decision-makers are taking notice.
For Upsales - Swedish-owned, Swedish-hosted, fully GDPR-compliant, with zero exposure to the CLOUD Act - this is a competitive advantage that barely existed two years ago. We are competing on trust and data sovereignty in addition to product.
Professional services and customer success
As we expand our AI capabilities and add more use cases to the platform, we are seeing growing demand from customers who want our help getting maximum value from Upsales. We have responded by investing in our Professional Services team, with a focus on senior expertise and hands-on delivery. This is already showing up in the numbers - services revenue contributed meaningfully in Q4, and more importantly, we see a direct correlation between customers who engage with our services team and lower churn.
The services we provide are tightly integrated with our product and focused on solving specific business challenges for our clients. This is not generic IT consulting. When customers get the right support, they adopt faster, use more of the platform, and see stronger returns. For us, that translates into deeper relationships and higher retention.
AI and the evolving organization
In December, we announced a reorganization of our product team, where approximately 14 positions were phased out. This was a hard decision, but not one driven by cost reduction or lower ambition. It was about adapting to how software is actually built today and secure that Upsales development stays on the edge of the industry.
AI tools have changed the development process fundamentally. Tasks that used to require several specialists can now be handled by smaller, more versatile teams. The traditional split between developer, designer, product owner, and project manager is increasingly giving way to broader profiles where one person with AI assistance can move faster than a larger team could before. We can maintain - and increase - our pace of product development with a leaner, more focused organization.
We continue to invest aggressively in product development, sales, and marketing. The people building Upsales today are highly skilled and deeply committed. These changes position us to execute faster in the years ahead.
Dividend and capital allocation
The board will propose a dividend of SEK 0.75 per share for the annual general meeting, compared to SEK 1.50 last year. When I talk to shareholders, the consensus is clear: prioritize growth over dividends. We agree. We are in a position where we can run a profitable business with accelerating growth, invest in strategic initiatives, carry zero debt, and still return capital to shareholders. Few companies in our space can say that.
We are publishing an updated investment case for Upsales on Upsales' website. I encourage current and prospective shareholders to review it for a more detailed view of our strategy and the opportunity ahead.
Daniel Wikberg
Founder & CEO
Further information
All financial reports are available at www.upsales.com
Contacts
CEO Daniel Wikberg: +46 8-505 806 00
ir@upsales.com
This information is information that Upsales Technology is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2026-02-18 08:30 CET.
About Upsales
Upsales is a Stockholm-based software company on a mission to build the leading AI platform for B2B revenue growth. With best-in-class data and proprietary AI agents, Upsales helps companies accelerate profitable growth. In the last two decades, the company has built a track record of organic, profitable growth. Upsales is a net cash company with zero debt, strong cash flows, and has been paying annual dividends since 2022. Its scalable business model is powered by over 90% recurring subscription revenue. Upsales serves customers in 10 countries, with the majority of its customer base in Sweden. The company is 44% founder- and management-owned, with institutional shareholders including Danske Invest, Nordea Funds, TIN Fonder, SEB Funds, Herald Investment Management, and Schroders.
Upsales Technology AB (publ) is a public company listed on the Nasdaq First North Growth Market. The Company's Certified Adviser is DNB Carnegie Investment Bank AB (publ).
