Adjusted EBITDA More Than Doubled Year-on-Year on Continued Cost Discipline

FY 2026 Guidance of Full Year Cash EBITDA Break-even and Flat CARR

LONDON--(BUSINESS WIRE)--July 24, 2026-- 

Regulatory News:

MotorK PLC (AMS: MTRK) ("MotorK", the "Group" or the "Company"), a leading SaaS provider to the automotive retail industry in the EMEA region, today announced its financial results for the first six months of the year ended on 30 June 2026 ("H1 26").

H1 26 FINANCIAL HIGHLIGHTS

   --  Committed Annual Recurring Revenue $(CARR)$: EUR33.1 million at 30 June 
      2026, decreasing 7.5% versus EUR35.8 million in the same period last 
      year. 
 
   --  Annual Recurring Revenue $(ARR)$: EUR30.2 million, compared with EUR32.3 
      million in H1 25 (-6.5%), reflecting the deliberate exit from low-margin 
      contracts during the strategic refocus. 
 
   --  Recurring Revenues: EUR14 million in the first six months of 2026, 
      representing approximately 76% of total revenue and underlining the 
      strength and predictability of the Group's recurring revenue model. 
 
   --  Total Revenues: EUR18.5 million, compared with EUR20.3 million in H1 25 
      (-9%), impacted by planned legacy churn and extended OEM and dealer 
      decision cycles. 
 
   --  Adjusted EBITDA: EUR2.1 million, more than double the EUR1.0 million 
      reported in H1 25, reflecting disciplined cost management and an 
      improving revenue mix. 
 
   --  Cash EBITDA: negative EUR0.8 million for the first six months, a c.69% 
      year-on-year improvement from negative EUR2.6 million. 
 
   --  Cost Efficiency: continued reduction of the operating cost base, driven 
      by hiring restrictions, platform consolidation and AI-enabled 
      productivity gains across delivery, support and engineering. 
 
   --  Net Borrowing Position: EUR14.1 million at 30 June 2026. 

COMMENTS ON H1 26 RESULTS FROM ZOLTAN GELENCSER, CEO AD INTERIM

The first half of 2026 confirmed that the disciplined choices we have made over the past eighteen months are translating into structurally better economics. Cash EBITDA was negative EUR0.8 million during the period and Adjusted EBITDA more than doubled year-on-year, while the Group continued to invest in the AI-native capabilities that are reshaping automotive retail. The European market showed encouraging signs of recovery in the last few months, but customer decision cycles remained extended and the operating environment stayed demanding. Against that backdrop, our priority is clear: convert a higher-quality, more focused revenue base into sustainable, profitable growth.

We continued to migrate retail customers onto our next-generation SparK platform and to scale our AI-powered Customer Data Platform, positioning MotorK to capture the growing demand for intelligent, data-driven solutions across the ecosystem.

MARKET CONTEXT

The European automotive market returned to growth in the first half of 2026, with EU new-car registrations up approximately 4% in the year to date, a marked improvement on the 1.9% decline recorded over the same period in 2025. The recovery nonetheless took place against persistent headwinds, including tariff-related uncertainty, geopolitical instability, intensifying competition and continued pressure on manufacturer profitability, keeping OEMs and dealers focused on cost discipline and efficiency.

These dynamics continue to reinforce the structural case for MotorK's offering. As dealers and manufacturers navigate margin pressure and an accelerating shift to electrified, digitally-led retail, demand continues to migrate toward cloud-based, AI-enabled platforms that consolidate fragmented systems, unify customer data and reduce operating cost. The continued investment by major industry players in customer data platforms and AI-driven retail tools underscores the direction of travel and validates MotorK's product strategy.

STRATEGIC AND OPERATIONAL HIGHLIGHTS

CARR stood at EUR33.1 million at 30 June 2026, reflecting two opposing dynamics that have characterised the Company's strategic transition. Net new CARR was negative in the first and second quarters of the year, driven by a concentration of pre-determined and M&A-related contract expiries and by the exit of legacy, highly-customised and non-core contracts. The Group enters the second half with a higher-quality, more scalable customer base and more close-to-customer processes and tools, with the aim of improving the adoption of our platform offering.

Commercial momentum in the second quarter was supported by disciplined execution on higher-value opportunities and by price-increase initiatives already in execution across several markets. The enterprise segment was a particular bright spot, anchored by a broader pipeline of OEM and large-account opportunities.

FINANCIAL PERFORMANCE AND COST OPTIMISATION

While top-line performance reflected market conditions and the impact of the strategic portfolio refocus, profitability reflected the Group's discipline, controls and execution. Adjusted EBITDA more than doubled year-on-year to EUR2.1 million, and Cash EBITDA improved by approximately 69% to negative EUR0.8 million, with the Group approaching a break-even position in the last months, confirming the path to sustained profitability.

Cost discipline remained central. The Group maintained hiring restrictions and realised efficiencies in licences, hosting and third-party costs, while continuing to embed AI-enabled productivity gains across engineering, delivery and support. These actions are expected to deliver further reductions in the cost base on a full-year basis.

COMMERCIAL MOMENTUM AND GEOGRAPHIC PERFORMANCE

Geographically, Italy remained the Company's largest and most resilient market, while Spain's performance was impacted by the phase-out of the long tail of the customer base acquired in 2022. France, Germany and Benelux reflected the planned phase-out of legacy engagements alongside a progressive return toward growth as the realigned commercial engine takes effect.

As of 30 June 2026, MotorK carried forward a qualified pipeline of EUR10 million, comprising EUR5.9 million in enterprise opportunities and EUR4.1 million in retail, with several high-value enterprise contracts in advanced stages. Management maintains good visibility over their expected conversion during the second half of the year.

SPARK PLATFORM AND AI-POWERED CUSTOMER DATA PLATFORM

MotorK continued to execute its product-led, AI-native strategy during the first half. The Group accelerated the migration of retail customers onto its unified SparK suite, harmonising the user experience across products and progressively embedding AI capabilities - from conversational, "chat-with-the-product" assistance to autonomous, action-taking features that simplify day-to-day work for dealers and manufacturers.

In parallel, MotorK continued to scale its Customer Data Platform, an AI-powered decision engine that unifies first-party data across advertising, lead generation, CRM, DMS and aftersales. By turning fragmented data into actionable intelligence, the Customer Data Platform positions MotorK to address the growing demand for AI-enabled, data-driven solutions across the automotive retail ecosystem, and underpins the Company's ambition to move from a traditional software vendor to a frictionless, AI-enabled partner for its customers.

OUTLOOK

Looking ahead to the second half of the year, the Company expects its realigned commercial engine to deliver improved retention and to rebuild CARR growth from a higher-quality base, supported by new bookings and a growing enterprise pipeline. Based on the above comments and the results shown below, management now expects a close-to-flat CARR year-on-year growth in FY 26 and a full-year break-even Cash EBITDA position.

The Group continues to expect further efficiencies in its cost base on a full-year basis, as the benefits of platform consolidation, headcount discipline and AI-enabled productivity initiatives are realised in full. To support its growth ambitions and reinforce its financial flexibility, the Company is evaluating a range of financing options, and will provide further information in due course.

While the macroeconomic environment remains uncertain, MotorK's strategic choices over the past eighteen months have created a more agile, profitable and resilient operating model. The Company remains confident in its long-term outlook and its ability to deliver sustainable value creation through disciplined execution and a clear focus on product-led, AI-native growth.

NEXT PUBLICATION: Q3 26 TRADING UPDATE, 26 OCTOBER 2026

 
H1 2026 UNAUDITED CONSOLIDATED PROFIT AND LOSS 
In kEUR                                  Jun-26    Jun-25 
Revenues                                 18,476    20,259 
Costs for customers media services      (3,094)   (3,993) 
Personnel costs                         (10,682)  (12,621) 
R&D capitalization                       2,921     3,590 
Other costs                             (5,499)   (6,220) 
Total costs                             (16,354)  (19,244) 
EBITDA Adjusted                          2,122     1,015 
Exceptional income/(costs)               (457)     (793) 
Stock Option Plan costs                  (992)     (179) 
EBITDA                                    673        43 
Depreciation & Amortization             (5,400)   (4,157) 
EBIT                                    (4,727)   (4,114) 
Finance costs (net of finance income)   (1,326)   (1,233) 
Profit/(Loss) before tax                (6,053)   (5,347) 
Corporate income tax                     (244)     (118) 
Profit/(Loss) for the period            (6,297)   (5,465) 
 
 
H1 2026 UNAUDITED CASH FLOW STATEMENT 
In kEUR                                                 Jun-26   Jun-25 
Cash - Beginning of the period                           3,656    3,362 
 
EBITDA Adjusted                                          2,122    1,015 

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