Nemetschek Group: Q3 2026 with high profitability and continued strong growth – financial year 2026 guidance fully confirmed

Corporate News

• +26.6% reported (+25.9% currency-adjusted) Group revenue growth (including HCSS) to EUR 371.1 million
• +13.7% reported (+12.5% currency-adjusted) organic Group revenue growth* (excluding HCSS) to EUR 333.3 million
• +35.8% reported (+35.1% currency-adjusted) ARR growth to EUR 1,462.2 million; +18.0% (+16.6% currency-adjusted) organic ARR growth, both outpacing revenue growth
• Reported Group EBITDA margin at 31.2% (including HCSS effects & M&A-related one-off costs)
• Organic EBITDA margin** at 34.8%
• Organic and expanded outlook following the acquisition of HCSS fully confirmed for financial year 2026

Munich, November 5, 2026 – The Nemetschek SE (ISIN DE0006452907), a leading global, vertical provider of AI-powered software solutions for the construction and media industries, continued to deliver profitable strong growth in the third quarter of 2026 with a significant increase in EBITDA margin. Following the strong business performance in the first nine months of the year, the Executive Board fully confirms both its organic full-year guidance and the expanded outlook reflecting the preliminary effects of the consolidation of HCSS. With the first-time consolidation of HCSS as of July 1, 2026, the Group strategically expanded its product portfolio in the Build segment and significantly increased its market opportunity in infrastructure and heavy civil construction.

“Our third-quarter performance once again demonstrates the resilience of our overall business and our ability to deliver strong and profitable growth in the Group,” says Yves Padrines, CEO of the Nemetschek Group. “We are also making excellent progress with the integration of HCSS, further strengthening our position in the highly attractive infrastructure and heavy civil market with significant long-term growth potential. Equally importantly, we continue to successfully execute our AI strategy and product roadmap. The launch of new AI-powered suites across our business segments highlights our innovation strength and the ambition to lead the AI-driven transformation of our industries. Overall, after our strong performance year-to-date we are on track to achieve our full-year targets and remain confident in our ability to sustain profitable growth and further strengthen our competitive position.”

Key Group Financial Highlights for Q3 and the First Nine Months of 2026

• Group revenue, including HCSS, consolidated since July 1, 2026, increased strongly by 26.6% (currency-adjusted: 25.9%) to EUR 371.1 million in Q3. As expected, the revenue contribution of HCSS was impacted by a deferred revenue haircut effect related to purchase price allocation (PPA) under IFRS of approximately EUR 15 million. Excluding HCSS, organic revenue growth* reached 13.7% (currency-adjusted: 12.5%). In the first nine months of 2026, Group revenue increased by 16.8% (currency-adjusted: 19.2%) to EUR 1,011.8 million. Organic revenue growth* was 12.5% on a reported basis and 14.6% on a currency-adjusted basis, in line with the Group’s full-year guidance.
• Annual Recurring Revenue (ARR) continued to grow strongly by 35.8% (currency-adjusted: 35.1%) to EUR 1,462.2 million in Q3 2026, significantly outpacing Group revenue growth. Subscription and SaaS revenues also maintained strong momentum, increasing by 52.4% (currency-adjusted: 51.7%) to EUR 321.9 million. Organic ARR grew by 18.0% (constant-currency: 16.6%) to EUR 1,270.1 million, while organic subscription and SaaS revenue increased by 29.7% (currency-adjusted: 28.1%) to EUR 273.9 million.
  For the first nine months of 2026, subscription and SaaS revenue increased by 36.1% (currency-adjusted: 39.0%) to EUR 836.5 million, with organic growth reaching 28.3% (currency-adjusted: 30.9%).
• Consolidated operating earnings before interest, taxes, depreciation and amortization (EBITDA) increased by 21.8% (currency-adjusted: 22.1%) to EUR 115.9 million in Q3. The EBITDA margin reached 31.2%, reflecting in particular the deferred revenue haircut effect related to purchase price allocation under IFRS for the HCSS acquisition. In addition, one-off HCSS related M&A costs in the mid-single-digit million-euro range weighed on EBITDA. Ongoing integration costs and recurring expenses related to the share-based compensation program established in connection with the HCSS acquisition impacted Q3 EBITDA by a low-single-digit million-euro amount. For FY 2026, integration costs and expenses related to the share-based compensation program are expected to total approximately EUR 10 million. The organic EBITDA margin** amounted to 34.8% in Q3.
  In the first nine months of 2026, EBITDA grew stronger than revenue, increasing by 18.4% (currency-adjusted: 23.3%) to EUR 312.9 million. This corresponds to an EBITDA margin of 30.9% (prior-year period: 30.5%). The organic EBITDA margin** was at 32.1%.
• Net income attributable to shareholders of the parent company amounted to EUR 46.6 million in Q3 2026, down 15.7% year on year as expected following the first-time consolidation of HCSS. These effects include higher amortization from purchase price allocation, non-controlling interests of EUR 12.3 million, and increased financing costs. Reported earnings per share (EPS) reached EUR 0.40 (Q3 2025: EUR 0.48). Adjusted EPS*** increased by 20.0% to EUR 0.66 (Q3 2025: EUR 0.55) in Q3, highlighting the Group’s strong underlying earnings performance.
  In the first nine months of 2026, net income attributable to shareholders of the parent company increased by 13.4% to EUR 173.0 million, with reported EPS reaching EUR 1.50 (9M 2025: EUR 1.32). Adjusted EPS*** increased strongly by 26.3% to EUR 1.92 (9M 2025: EUR 1.52).

Strategic Highlights

In the first nine months of 2026, the Nemetschek Group continued to execute its growth strategy, achieving important milestones in expanding its market presence, accelerating AI innovation, and strengthening its global footprint.

• HCSS integration progressing as planned: Following the successful closing of the acquisition in July 2026, the integration of HCSS is progressing according to plan. The focus is on leveraging the complementary strengths of HCSS and the existing Build portfolio, fostering collaboration and unlocking future cross-selling opportunities.
• Accelerating AI innovation across the Group: The Nemetschek Group has made significant progress in executing its AI strategy with the introduction of its new Max solutions – Archicad Max, Allplan Max, Bluebeam Max – and the AI powered Solibri suite. Powered by the shared Nemetschek Intelligence Platform, these AI-driven offerings bring advanced, agentic capabilities directly into professional workflows, enhancing productivity, efficiency, and collaboration. The launches underscore the Group's ambition to lead the AI-driven transformation of the AEC/O industry.
• Expanding international presence: The Nemetschek Group continued to strengthen its presence in key growth markets, particularly India, the Middle East, and Southeast Asia, while further advancing its Group-wide go-to-market approach and cross-selling initiatives.

Segment Performance in Q3 and First Nine Months of 2026 (see table)

• The Design segment recorded revenue growth of 7.2% (currency-adjusted: 6.5%), reaching EUR 138.5 million in Q3 2026. The development in the quarter reflects a more gradual pace of the transition of existing customers from service contracts to subscription models.
  In the first nine months of 2026, segment revenue increased by 7.3%, and 8.6% currency-adjusted and therefore in line with full-year expectations. The transition to subscription and SaaS continued to progress and was supported by a particularly strong performance in the first half of the year. This is reflected in the subscription and SaaS revenue growth of 47.3% (currency-adjusted: 49.0%) to EUR 272.6 million in the first nine months of 2026.
  The EBITDA margin reached 26.2% in Q3 (prior-year quarter: 28.1%) and 24.7% in the first nine months (prior-year period: 27.5%).
• The Build segment continued to demonstrate very strong growth in Q3 2026, with revenue increasing by 56.6% (currency-adjusted: 55.7%) to EUR 190.8 million in Q3, including the first-time contribution from HCSS. Organic growth, excluding HCSS, also remained strong at 25.6% (currency-adjusted: 23.6%) driven among others by continued strong international expansion and the successful rollout of the agentic AI suite Bluebeam Max.
  In the first nine months of 2026, revenue increased by 33.4% (currency-adjusted: 37.0%) to EUR 468.5 million, with organic growth reaching 22.7% (currency-adjusted: 25.8%).
  The EBITDA margin amounted to 35.7% in Q3 (prior-year quarter: 37.7%), reflecting mainly the HCSS-related deferred revenue haircut effect resulting from PPA. Organic EBITDA margin was at a high 44.7% in Q3. For the first nine months, the EBITDA margin improved to 38.1% (prior-year period: 35.7%), with an organic EBITDA margin of 41.5%
• In the Manage segment, revenue increased by 4.0% (both reported and currency-adjusted) to EUR 13.0 million in Q3 2026. The segment continued to grow at a pace consistent with the first half of the year, supported by significantly stronger demand for Workspace Management and Energy Efficiency solutions, which account for the larger part of the segment’s business. The sales pipeline remained healthy across both existing and new customers, particularly in the public and financial sectors, while the property management market in Germany continued to face challenging conditions and weighed on the segment’s overall revenue growth.
  In the first nine months of 2026, revenue grew by 3.9%. The EBITDA margin reached 9.2% in Q3 (prior-year quarter: 12.9%) and 8.3% in the first nine months (prior-year period: 10.5%).
• The Media segment continued to face a challenging market environment, with revenue declining by -2.7% (currency-adjusted: -3.1%) to EUR 29.5 million in Q3 2026, below expectations. Customer spending remained subdued, reflecting ongoing budget constraints, consolidation among customers, and prolonged purchasing decisions in the Media & Entertainment market. Strategically, the segment remains focused on diversifying its revenue streams, expanding into adjacent markets, and leveraging synergies with the Group’s AEC/O business to unlock additional growth opportunities. In the first nine months of 2026, revenue remained broadly stable at EUR 88.5 million (reported: -1.4%; currency-adjusted: +1.2%). The EBITDA margin reached 34.8% in Q3 and 31.5% in the first nine months (prior-year period: 31.3%).

Outlook for Financial Year 2026 Fully Confirmed

Following the first nine months of 2026, the Executive Board fully confirms its previous targets for organic business, excluding the acquisition of HCSS. The Executive Board continues to expect currency-adjusted organic revenue growth* in the range of 14% to 15% for financial year 2026, as well as an EBITDA margin between 32% and 33%.

Following the first-time consolidation of HCSS as of July 1, 2026, the Executive Board estimates an additional, currency‑adjusted contribution to Group revenue growth of around 600 basis points (including the deferred revenue haircut resulting from PPA for HCSS) in the financial year 2026. Including one-off M&A costs and therefore starting from the mid-point of the reported EBITDA margin guidance of 32% to 33%, a dilution of around 150 basis points is expected following the HCSS acquisition. This mainly reflects the impact of the deferred revenue haircut resulting from PPA for HCSS, as well as ongoing integration expenses and recurring expenses related to a newly established share-based compensation program for the Build segment.

The contribution of the HCSS acquisition in terms of revenue and EBITDA does not yet reflect the full potential. The PPA will be recognized over a period of twelve months and is expected to be front-end loaded, with the majority being recognized during the first six months. It is expected that the PPA effect reduces the revenue of HCSS by a mid- to high-twenties million-euro amount in the second half of 2026, with a corresponding impact on EBITDA.

The statements on the effects of the acquisition of HCSS are subject to the proviso that important key figures, including the calculation of the purchase price allocation (PPA), have not yet been finalized.

The full-year 2026 outlook for the Design and Build segments is fully confirmed. For the Manage segment, constant-currency revenue growth* is now expected to be in the mid-single-digit percentage range (previously: low-double-digit growth), with an EBITDA margin in the higher single digit percentage range (previously: a slight increase from the prior-year margin of 12%). For the Media segment, constant-currency revenue* is now expected to remain broadly stable (previously: mid-single-digit growth), while the EBITDA margin outlook is confirmed. The revised revenue outlooks for both segments are in line with market expectations and have no impact on the Group’s overall outlook.

These forecasts are based on the assumption that global economic and industry-specific conditions will not deteriorate during the current fiscal year. Furthermore, it is assumed that the current conflict in the Middle East will neither escalate significantly nor persist over an extended period.

* The currency-adjusted (Group) revenue growth is calculated as the nominal revenue growth less or plus the translation effects during the course of the year from the revenue attained in foreign currencies. The currency-adjusted organic revenue growth is the currency-adjusted revenue growth excluding the HCSS contribution.

** The organic EBITDA margin is the EBITDA margin excluding HCSS contribution, ongoing HCSS- as well as M&A-related one-off costs.

*** The EPS is adjusted for PPA effects as well as the impact of the HCSS deferred revenue haircut.

Key Figures in Quarterly Overview (Q3-26)

Key figures by segment in the quarterly overview (Q3-26)

Key Figures: Nine Month Overview (9M-26)

Key Segment Figures in the 9 month Review (9M-26)

For further information about the company, please contact
Nemetschek Group
Stefanie Zimmermann
Investor Relations
+49 89 540459 250
szimmermann@nemetschek.com

About the Nemetschek Group

The Nemetschek Group is a global Construction AI leader and software provider driving the digital transformation of the AEC/O and media industries. With our deep domain expertise and intelligent, connected software solutions, we enable customers to turn data into real-time insights and smarter decisions throughout the entire lifecycle of buildings and infrastructure from ideation through planning, visualization, construction, operation, and renovation. Our AI-powered technologies and open standards approach boost productivity, collaboration, and sustainability for architects, engineers, contractors, building operators, and creative professionals. More than 7 million users worldwide rely on our customer-centric, human-led AI solutions. Founded by Professor Georg Nemetschek in 1963, today we employ over 4,500 experts globally and are ISO 27001-certified, underlining our strong commitment to data security and trustworthy digital innovation.

The Nemetschek Group has been listed on the MDAX and TecDAX since 1999 and generated revenue of EUR 1.19 billion and EBITDA of EUR 371.1 million in 2025.

www.nemetschek.ai