Tiny (TINY) Q1 2026 earnings summary

Executive summary

• Leadership transition with Austin Singhera appointed CEO, emphasizing continuity, growth, and increased executive involvement.

• Q1 2026 revenue grew 7% year-over-year to CAD 51.5 million (12% on constant currency), driven by the Serato acquisition and recurring revenue growth.

• Recurring revenue surged 80% year-over-year to CAD 17.6 million, now 34% of total revenue, with annualized recurring revenue at CAD 70.5 million.

• Adjusted EBITDA for Q1 2026 was CAD 9.2 million (18% margin), with LTM adjusted EBITDA at CAD 37.4 million, up 11% year-over-year.

• Net loss widened to CAD 10.2 million, impacted by amortization, fair value adjustments, and FX movements.

Financial highlights

• Q1 2026 total revenue was CAD 51.5 million, up 7% year-over-year (12% on constant currency).

• Adjusted EBITDA reached CAD 9.2 million (18% margin); LTM adjusted EBITDA was CAD 37.4 million, up 11% year-over-year.

• Recurring revenue for Q1 was CAD 17.6 million, up 80% year-over-year, with annualized recurring revenue at CAD 70.5 million.

• LTM free cash flow was CAD 17.6 million or CAD 0.60 per share, a 36% improvement year-over-year.

• Net debt to adjusted EBITDA stood at 2.7x as of March 31, 2026, slightly above the 2x-2.5x target range.

Outlook and guidance

• Focus remains on profitable growth, margin improvement, and free cash flow enhancement.

• Continued integration of Serato and active pursuit of new acquisition opportunities.

• Ongoing efforts to reduce leverage and optimize capital structure, including refinancing debt facilities.

• Expectation to share more on AI-driven margin improvements and portfolio expansion in coming quarters.

• Broader acquisition strategy targeting businesses with durable advantages.