ecotel Reports Strong First Half 2026 Results with 14.7% Revenue Growth

ecotel communication ag, a leading quality provider for business customers in Germany, has reported a stable and improved business performance for the first half of 2026. The company's group revenue increased by 14.7% 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, supported by strong Voice and Data business. The Business Customer segment remained stable, generating EUR 24.7 million in revenue.

The company's profitability metrics also improved. Gross profit increased to EUR 18.7 million, compared with EUR 17.8 million in the previous year. EBITDA rose to EUR 3.7 million from EUR 3.2 million, and EBIT increased to EUR 1.5 million from EUR 0.9 million. Net income climbed to EUR 0.9 million, with earnings per share (EPS) rising to EUR 0.25 from EUR 0.20.

Cash flow saw a significant positive turnaround. Cash flow from operating activities amounted to EUR 2.8 million, compared with a cash outflow of EUR 0.6 million in the prior-year period. Free cash flow improved substantially to EUR 0.9 million, versus a negative EUR 2.8 million in the previous year. 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.

Looking ahead, ecotel will make a VAT payment of EUR 2.8 million in August 2026 to avoid additional interest charges, while maintaining its legal remedies against the assessment. This payment will affect cash flow for the remainder of the year, but the company maintains a solid financial and liquidity position. Based on the first-half performance, ecotel confirms its expectations for fiscal year 2026, anticipating revenue within the guided range, likely at the lower end. Management remains focused on maintaining stable operating performance, expanding higher-margin services, and strengthening the group's financial position and balance sheet structure.

The results reflect ecotel's strategic focus on cloud and fiber services, which are key growth areas in the German telecommunications market. With around 210 employees, ecotel continues to serve business customers nationwide, positioning itself for sustained growth. For more information, visit ecotel.de.