Original-Research: Bittium Oyj - from NuWays AG 30.10.2026 / 09:00 CET/CEST Dissemination of a Research, transmitted by EQS News - a service of EQS Group. The issuer is solely responsible for the content of this research. The result of this research does not constitute investment advice or an invitation to conclude certain stock exchange transactions.
Classification of NuWays AG to Bittium Oyj
| Company Name: | Bittium Oyj |
| ISIN: | FI0009007264 |
| |
| Reason for the research: | Update |
| Recommendation: | BUY |
| Target price: | EUR 46 |
| Target price on sight of: | 12 months |
| Last rating change: | |
| Analyst: | Julius Neittamo |
Exceptional Q3 beat on Indra licence; guidance up Bittium Q3 numbers beat consensus by a wide margin, combining robust Defense & Security (D&S) deliveries with a substantial licence milestone from the Indra technology transfer.
Sales nearly doubled yoy to € 45.8m (eNuW: € 38.9m, eCons: € 34.9m), a 31% beat vs consensus. D&S sales rose c. 145% yoy to € 38.1m (eNuW: € 31.2m, eCons: € 27.3m), 40% above consensus,
driven by product deliveries and Indra licence revenue. The latter should have contributed € 18-22m in Q3. If our Indra contribution holds, D&S still grew by mid-teens without the licence revenue (eNuW).
Medical delivered a strong quarter, with sales up 18.5% yoy to € 5.1m (eNuW: € 4.4m, eCons: € 4.5m), supported by c. 25% growth in Cardiac sales outside the US and the launch of the Faros Pro ECG device.
Engineering Services were flat and in line with eCons/eNuW at € 3.3m despite a weak market for product development services and returned to profit at the EBIT level.
On profitability, group EBITDA reached an exceptional € 27.0m (eNuW: € 12.7m, eCons: € 10.5m), a 59.0% margin (+39.0pp yoy), lifted by the high-margin Indra licence income. Group EBIT came in at € 16.5m (eNuW: € 7.7m, eCons: € 6.6m), a 36.0% margin (+25.2pp yoy). This was despite significantly elevated D&A of € 10.5m (Q2'26: € 2.0m; eNuW: € 5.0m), driven by accelerated amortisation linked to the Indra licence. Medical displayed solid profitability with an EBIT of € 0.6m (as expected), an 11.0% margin (-1.3pp yoy). Ahead of the report,
Bittium raised its FY26 EBIT guidance to € 29-36m (old: € 26-32m), as 9M’26 EBIT of € 26.1m had already reached the lower end of the previous guidance. Typical for a third quarter,
order intake was seasonally soft at € 14.7m (Q3'25: € 13.4m), implying a book-to-bill of 0.32x, with D&S orders at € 6.9m (Q3'25: € 7.1m).
Group backlog more than doubled yoy to € 71.7m (Q2’26: € 102.2m), of which € 63.3m sits in D&S.
Looking ahead, whether further Indra milestones fall in Q4 remains open, but with D&A only seen to normalise in 2027e, we expect some additional Indra licence revenue to land in Q4, albeit well below the Q3 level (eNuW). We previously estimated that the € 50m licensing deal from last December contributed c. € 10m in Q4'25, and we now estimate a further c. € 20m was recognised in Q3'26. This leaves max € 20m still to be recognised, which is seen to be spread across Q4'26 and FY27 (eNuW). With a
backlog of € 71.7m, Bittium is well positioned to deliver on this year's sales guidance, and we stay slightly above the range at € 156m (guidance: € 140-155m).
Order intake in Q4 remains the
key item to monitor for 2027 runway, and given the typical seasonality of the business,
we expect a strong Q4 once again. Raised FY26 EBIT estimates. We keep our FY26 sales estimate at € 156m but cut Q4'26 sales from € 59.3m to € 52.3m, as Bittium recognised a larger share of the Indra milestones earlier than we anticipated. We
raise our FY26 EBIT estimate to € 34.7m (old: € 29.2m), in the upper half of the new guidance (€ 29-36m), reflecting the outstanding margin profile, as displayed by the Q3 print. We reiterate our
BUY rating and
€ 46 PT on continued momentum. You can download the research here:
bittium-oyj-2026-10-30-update-en-ae807 For additional information visit our website:
https://www.nuways-ag.com/research Contact for questions: NuWays AG - Equity Research Web: www.nuways-ag.com Email: research@nuways-ag.com LinkedIn: https://www.linkedin.com/company/nuwaysag Adresse: Mittelweg 16-17, 20148 Hamburg, Germany ++++++++++ Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte. Offenlegung möglicher Interessenkonflikte nach § 85 WpHG beim oben analysierten Unternehmen befindet sich in der vollständigen Analyse. ++++++++++
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