Earnings call transcript: GPI H1 2026 margins rise as revenue slips 1%

GPI reported H1 2026 earnings showing a 1% year-over-year revenue decline to EUR 256.4 million, despite a 8% increase in EBITDA margin to 19.9%. Net income rose 3%. The company's software segment dominated the business, generating over 60% of revenue and 91% of EBITDA. International sales increased to 26% of total revenue, nearing the target of 30%.

GPI emphasized a new operating model aimed at improving growth later in the year and into 2027. The company exited some lower-margin contracts, such as ASA Care, which had minimal impact on EBITDA. Foreign revenue grew by 23% year-over-year. Market sentiment was positive, with the stock up 0.99% to $14.28. Investors believe the margin gains and 2027 growth potential outweigh the revenue decline and short-term challenges.