Viridien (VIRI) Q1 2026 earnings summary

Executive summary

• Q1 2026 began with softer market conditions and revenue declines due to cautious client spending and Middle East volatility, but strong cash generation of $26 million enabled further deleveraging, including $41 million in bond repayments, reducing net debt to ~$700 million.

• Segment revenue was $214 million, down 29% year-over-year, with profitability aligned to lower revenues and adjusted segment EBITDAs at $76 million, down 47%.

• Leadership transition announced: CEO Sophie Zurquiyah to become Chair, with Henning taking over as CEO in June.

• Net cash flow objective for full year 2026 reiterated at $100 million, with performance expected to be more weighted toward the second half.

Financial highlights

• Segment revenue was $214 million in Q1 2026, reflecting a 29% year-over-year decline and project timing delays.

• Adjusted EBITDA/EBITDAS was $76 million, down 47% year-over-year; IFRS EBITDAS reached $63 million, down 36%.

• Net cash flow improved to $26 million from -$20 million in Q1 2025, driven by working capital improvements.

• Net income improved to -$10 million from -$28 million in Q1 2025.

• IFRS 15 adjustment negatively impacted revenue by $13 million in Q1 2026.

Outlook and guidance

• FY 2026 net cash flow guidance of $100 million reiterated, with performance expected to ramp up from Q2 and be backend-loaded.

• Project delays and deliveries are mainly timing-related, not due to underlying demand.

• Structural tailwinds from energy security, supply diversification, and reserve replacement support medium-term demand.

• Continued focus on deleveraging and maintaining strong financial discipline.