ATOSS Software SE Original-Research: ATOSS Software SE (von NuWays AG): BUY
Summary
ATOSS reported a strong Q1 with group sales up 11% year-over-year to €51.4m, driven by software growth and a 27% increase in cloud & subscription revenue to €27.0m, now 53% of total sales. Cloud ARR rose 27% to €110m, recurring revenues reached €36.7m (71% of sales), and the 12-month cloud order backlog grew 23% to €114m, underpinning management's FY26 sales guidance of roughly €215m. Profitability held up: EBIT was €18.2m (35.3% margin) and free cash flow jumped 97% to €39.4m, while liquidity totaled €162.1m, giving the company flexibility for AI investment or bolt-on deals. Management raised the FY26 EBIT margin target to 34% and outlined an AI roadmap with an agentic ATC assistant due Q2 2026 and two new scheduling agents planned for Q4 2026 that aim to accelerate cloud migration.
