ecotel communication ag, a leading German quality provider for business customers, announced its financial results for the first half of 2026, demonstrating continued stable growth. The company reported a 14.7% increase in group revenue to EUR 65.4 million, up from EUR 57.0 million in the prior-year period. This growth was primarily driven by the ecotel Wholesale segment, which saw revenue rise to EUR 40.7 million from EUR 32.1 million, fueled by strong Voice business and positive developments in the Data segment.
The Business Customer segment remained stable with revenue of EUR 24.7 million. Gross profit improved to EUR 18.7 million from EUR 17.8 million, and EBITDA increased to EUR 3.7 million from EUR 3.2 million. EBIT rose to EUR 1.5 million compared with EUR 0.9 million in the previous year, while net income grew to EUR 0.9 million from EUR 0.7 million, translating to earnings per share of EUR 0.25 versus EUR 0.20.
Cash flow performance was notably positive, with cash flow from operating activities reaching EUR 2.8 million, a significant improvement from a cash outflow of EUR 0.6 million in the prior-year period. Free cash flow also turned positive at EUR 0.9 million, compared with a negative EUR 2.8 million previously. As of June 30, 2026, the group reported cash and cash equivalents of EUR 1.4 million, and net financial assets improved by EUR 3.5 million year-on-year to EUR 1.4 million.
In August 2026, ecotel will make a VAT payment of EUR 2.8 million to avoid additional interest charges, despite maintaining its differing legal opinion and having filed legal remedies against the assessment notice. This payment will impact cash flow in the second half of the year, but the company reaffirms its solid financial and liquidity position. Management confirms its expectations for fiscal year 2026, with revenue likely at the lower end of the guided range. The focus remains on maintaining stable operating performance, expanding higher-margin services, and strengthening the group's financial position.
For more details, visit ecotel's website or view the original release on NewMediaWire.
