GFT Technologies Maintains Growth Amidst Challenges

On May 8, 2025, GFT Technologies released its Q1 financial results, affirming its 2025 growth outlook. The company experienced stable revenue growth, largely driven by the insurance sector and expansion in Latin and North America. The integration of Sophos Solutions bolstered inorganic growth, while new ventures in robotics diversified its sectors.

Despite facing structural challenges in the UK and economic headwinds in Continental Europe, GFT's adjusted EBIT margin of 6.8% surpassed expectations. Higher personnel costs and reduced R&D subsidies impacted margins. However, GFT raised its EBIT guidance to EUR 75.0m, up from EUR 68.0m, attributing the increase to a broader definition of adjusted EBIT.

With robust demand for cloud and AI solutions, GFT's international presence and AI-focused strategies reinforce its investment appeal. Quirin Privatbank has upgraded its target price to EUR 38.00, maintaining a Buy recommendation.