Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

France's 74Software Q3 revenue rises on subscription growth

By Reuters News


Overview

  • France enterprise software group's Q3 revenue rose 5.8% organically to €183.9 mln

  • Product revenue increased 9.5% organically, driven by subscription expansion at Axway and SBS

  • Company confirmed full-year guidance, citing continued shift to subscriptions and product investment


Outlook

  • 74Software confirms 2026 guidance for 4%-6% organic revenue growth at constant exchange rates

  • Company expects Q4 organic revenue growth to be more moderate due to contract phasing and comparisons

  • 74Software targets 2026 margin on operating activities of 16%-18% and unlevered free cash flow near 10% of revenue


Result Drivers

  • SUBSCRIPTION GROWTH - Co said expansion in both Axway and SBS subscriptions more than offset declines in Maintenance & Support revenue

  • NEW CONTRACT WINS - Axway recorded new MFT customer wins in automotive and luxury goods, and Amplify Fusion added 83 new contracts over nine months

  • SERVICES REVENUE DECLINE - Lower Services activity, especially at SBS, moderated overall revenue growth as the company focused on higher-value engagements


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

EUR 183.90 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the software peer group is "buy"

  • Wall Street's median 12-month price target for 74Software SA is €47.00, about 26% above its October 28 closing price of €37.30

  • The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 15 three months ago


Reuters Recommended Reads

  • Oct 28 - Dassault Systèmes raises 2026 targets

  • Oct 29 - Sopra Steria raises 2026 growth target again as defence, cybersecurity lift Q3 sales

  • Oct 27 - Finland's TietoEVRY Q3 revenue falls on soft demand


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.
The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.
To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.
 

Cryptocurrency-related content is intended solely as news and market commentary. Crypto Derivatives are not available to Retail clients registered with Capital Com (UK) Ltd.