Intershop Communications AG (ISIN: DE000A254211), a global provider of B2B commerce solutions for the upper mid-market in the manufacturing and wholesale sectors, reported its financial results for the first quarter of 2026. The company achieved a slightly positive EBIT of EUR 0.1 million, a modest improvement from EUR 73 thousand in the prior year, primarily due to cost-cutting measures implemented in the previous year. However, total revenues decreased to EUR 7.9 million from EUR 9.1 million in the same period last year, as anticipated.
Despite the overall revenue decline, Intershop's cloud business continued to show positive trends. Cloud revenues increased by 3% to EUR 5.3 million, accounting for 67% of total revenues, up from 56% in the previous year. Incoming cloud orders rose by 8% to EUR 4.2 million, while annual recurring cloud revenues (ARR) decreased by 4% to EUR 19.6 million as of March 31, 2026. New ARR remained stable at EUR 0.6 million, but net new ARR was negative EUR 0.6 million, reflecting lag effects from non-renewed customer contracts. The cloud margin improved slightly to 65%.
As expected, revenues from licenses and maintenance dropped to EUR 1.0 million from EUR 1.8 million, and service revenues fell to EUR 1.6 million from EUR 2.2 million, due to the strategic shift of projects to the Intershop partner network. The acceptance of a complex large-scale project in February 2026 positively impacted service margins. Gross profit stood at EUR 3.9 million (previous year: EUR 4.4 million), with gross margin edging up to 49%.
Operating expenses and income decreased by 13% to EUR 3.8 million, reflecting cost-cutting measures. R&D expenses fell 11% to EUR 1.7 million, and selling and marketing expenses declined 19% to EUR 1.3 million. General administrative expenses remained unchanged at EUR 0.8 million. Total expenses, including cost of revenues, dropped 14% to EUR 7.8 million. EBITDA improved to EUR 0.9 million from EUR 0.8 million.
Markus Dränert, CEO of Intershop, stated: “The market environment remains challenging – but our cost-cutting measures are taking effect and have laid the foundation for the balanced result we are targeting for the year as a whole. Right now our main focus is on our Spring Release 2026 planned for May, featuring AI agents that automate business processes, lower our customers’ costs and redefine B2B e-commerce in the mid-market.”
As of March 31, 2026, equity remained at EUR 12.0 million, with an equity ratio of 35%. Cash flow from operating activities improved significantly to EUR 2.9 million, compared to a cash outflow of EUR 0.1 million in the prior year. Cash and cash equivalents rose 25% to EUR 10.9 million. For the full year 2026, Intershop expects incoming cloud orders and net new ARR to stay at the previous year’s level, with a slightly smaller decline in revenues and a balanced operating result (EBIT). The detailed quarterly statement is available at https://www.intershop.com/en/financial-reports.
