Basic information
Sitowise is a Nordic expert in the built environment with a strong focus on digitality. Company offers sustainable design and consultancy services for projects of all sizes to enable more sustainable and smarter urban development as well as smooth transportation. Sitowise has four business areas that are Infrastructure, Buildings, Digital Solutions and Sweden. Value creation for clients and other stakeholders is based on the strong expertise and industry knowledge of Sitowise employees. In future, the company aims to strengthen its position as one of the leading providers of technical consulting and digital services for the built environment and forest assets.
The Group\u2019s parent company is the Finnish limited liability company Sitowise Group Plc (hereinafter referred to as the \"company\u201d), domiciled in Espoo, with the mailing address Linnoitustie 6, FI-02600 Espoo, Finland. The Company was listed on the main list of Nasdaq Helsinki Ltd in March 2021.
The consolidated financial statements are available at the company's head office at Linnoitustie 6 D, FI-02600 Espoo, Finland, and on the Group's website www.sitowise.com.
The Board of Directors of Sitowise Group Plc approved these financial statements in its meeting on 3 March 2026.
In accordance with the Finnish Limited Liability Companies Act, shareholders can adopt or reject the financial statements in a general meeting of shareholders organized after their publication. The general meeting can also resolve to amend the financial statements.
1.1\tACCOUNTING POLICIES
IFRS refers to standards and interpretations that companies referred to in the Finnish Accounting Act and regulations issued under it must comply with and that have been approved for application in accordance with the procedure enacted by Regulation (EC) No. 1606/2002 of the European Parliament and of the Council. The notes to the consolidated financial statements also fulfill the requirements of Finnish accounting and company legislation supplementing the IFRS standards.
The consolidated financial statements have been prepared on the basis of original cost, unless otherwise specified in the accounting policies. The consolidated financial statements include the parent company\u2019s financial statements and the financial statements of all companies over which the Group has control. A subsidiary is consolidated into the financial statements as of the moment when the Group receives control. Consolidation is discontinued once control ceases to exist. All intra-Group transactions are eliminated in the consolidated financial statements.
Associated companies are consolidated using the equity method. In the equity method, the Group\u2019s share of the results of associated companies corresponding to its ownership stake is included in the consolidated income statement. Correspondingly, the Group\u2019s share of the equity in the associated company, including the goodwill arising from its acquisition, is recorded as the value of the Group\u2019s holding in the entity on the consolidated statement of financial position. If the Group\u2019s share of the losses of an associated company exceeds the investment\u2019s carrying amount, the investment is assigned a value of zero on the statement of financial position and the excess is disregarded, unless the Group has obligations related to the associated company.
Item-specific accounting policies and descriptions of decisions requiring management discretion and the use of estimates and assumptions are presented in conjunction with each item.
The operating currency of the Sitowise Group is the euro. The figures disclosed in the financial statements are rounded up, so the sum of individual figures can deviate from the reported sum.
The notes are an integral part of the financial statements.
New and amended standards
The amendment to IAS 21 \u201cThe Effects of Changes in Foreign Exchange Rates\u201d (non-convertibility of a currency) that became effective during the financial year had no impact on the Group\u2019s reporting.
The Group has not adopted any new and revised IFRS standards or interpretations that have been published but have not yet entered into force in the financial period beginning on January 1, 2025 (early application). The Group is currently assessing the effects of the new IFRS 18 \u201cPresentation of Financial Statements and Disclosure of Accounting Policies\u201d (effective for annual periods beginning on or after 1 January 2027; earlier application is permitted) on the presentation of the Group\u2019s financial statements.
1.2\tTRANSLATION OF ITEMS DENOMINATED IN FOREIGN CURRENCIES
The consolidated financial statements are reported in euros, which is also the parent company\u2019s operating currency. Items included in the financial statements of Group companies are measured at the currency of the primary economic operating environment of the respective company (operating currency).
Transactions denominated in foreign currencies are translated into the operating currency at the exchange rate of the transactions. Foreign exchange gains and losses arising from payments associated with such transactions and translation of monetary assets and liabilities denominated in foreign currencies at the exchange rate of the closing date are recognized through profit and loss.
The profit and loss accounts and balance sheets of international units using an operating currency different from the reporting currency are translated into the reporting currency as follows:
the assets and liabilities on each reported balance sheet are translated using the exchange rate of the closing date; and
the income and expenses on each profit and loss account are translated at average exchange rates for the financial period.
Exchange rate differences arising from the consolidation of foreign units are recognized as translation differences in other comprehensive income.
1.3\tKEY DECISIONS MADE BY THE MANAGEMENT REQUIRING DISCRETION AND MAIN UNCERTAINTY FACTORS RELATING TO ESTIMATES
Preparing the financial statements in accordance with the IFRS requires the management to make discretionary decisions and use estimates and assumptions that have impacts on the amounts of assets and liabilities on the closing date, reporting of contingent assets and liabilities and the amounts of income and expenses for the reporting period. These estimates and assumptions are based on prior experience and other justifiable factors, such as expectations concerning future events that the management of the Sitowise Group considers reasonable, taking into account the conditions on the closing date and when the said estimates and assumptions were made.
Even though these estimates are based on the best view of the Sitowise Group\u2019s management of events and measures on the closing date, it is possible that the outcomes differ from these estimates. The estimates and underlying assumptions are continuously updated when preparing the financial statements. The Group may need to adjust its estimates if the conditions on which the estimates are based change, or if the Group receives new information or accumulates more experience. Any changes are recognized in the accounts for the financial period during which the estimate or assumption is updated.
Decisions based on management discretion which the management has made when applying the accounting policies and which have impacts on the figures disclosed in the financial statements are associated with the following areas, among others: segment reporting, recognition of revenue based on the percentage of completion. Management estimates and assumptions used relate, in turn, to the following areas, among others: goodwill impairment testing, provisions, allocation of the cost of acquisitions, measurement of tangible assets, and economic lives of other intangible assets.
The revenue recognition practices are described in Note 2.2. Impairment testing is described in Note 3.2.
6.1\tGROUP STRUCTURE
Accounting policy
The consolidated financial statements include the parent company Sitowise Group Plc and all subsidiaries over which the parent company had control on the closing date of the reporting period. Sitowise Group Plc has control when it is exposed, or has rights, to variable returns from its involvement with a company and has the ability to affect those returns through its power over the company. Acquired subsidiaries are consolidated as of the date on which Sitowise Group Plc gains control. Divested subsidiaries are consolidated until control ceases to exist.
Intra-Group transactions, receivables, debts, and unrealized margins and internal distribution of profits are eliminated in preparing the consolidated financial statements using the acquisition cost method. The allocation of profit (loss) for the financial period to non-controlling interests is presented in the statement of comprehensive income. Non-controll ing interests\u2019 share of shareholders\u2019 equity is reported as a separate figure under shareholders\u2019 equity on the balance sheet.
Associated companies are companies in which the Group has considerable influence. The Group considers considerable influence to emerge primarily when the Group holds 20\u201350 percent of a company\u2019s votes or has otherwise considerable influence, but no control. Associated companies are consolidated in the financial statements using the equity method.
In financial period 2024 Sitowise Oy sold shares of AS DWG to the other shareholders, reducing its ownership from 55 percent to 25 percent (20 November 2024). After the change, AS DWG will be presented as an associated company of Sitowise.
At the end of the financial period, the Sitowise Group consisted of the parent company Sitowise Group Plc and the following companies:
Company | Domicile | Ownership 2025 | Ownership 2024 |
Sitowise Oy | Espoo, Finland | 100.0% | 100.0% |
Sitowise Sverige AB | Stockholm, Sweden | 100.0% | 100.0% |
Infracontrol AB | M\u00f6lndal, Sweden | 100.0% | 100.0% |
Infracontrol Espana SL | Madrid, Spain | 100.0% | 100.0% |
Infracontrol Portugal Lda | Vila Pouca de Aguiar, Portugal | 100.0% | 100.0% |
Infracontrol Danmark ApS | Copenhagen, Denmark | 100.0% | 100.0% |
Landpro Oy | Espoo, Finland | 100.0% (1 | 100.0% |
Associated companies | Domicile | Ownership 2025 | Ownership 2024 |
AS DWG | Riga, Latvia | 25.0% | 25.0% (2 |
(1Landpro Oy merged with Sitowise Oy on 30 April 2025
(2 AS DWG changed to an associate company on 20 November 2024
Financial information of associated company, AS DWG
EUR thousand | 2025 | 2024 |
Net sales | 1,298 | 1,119 |
Profit for the period | 23 | -202 |
Non-current assets | 8 | 19 |
Current assets | 900 | 690 |
Non-current liabilities | 166 | 166 |
Current liabilities | 458 | 276 |
Net assets | 284 | 267 |
EUR thousand | 2025 | 2024 |
Carrying amount | 0 | 0 |
Share of result | 0 | 0 |
Basic information
Sitowise is a Nordic expert in the built environment with a strong focus on digitality. Company offers sustainable design and consultancy services for projects of all sizes to enable more sustainable and smarter urban development as well as smooth transportation. Sitowise has four business areas that are Infrastructure, Buildings, Digital Solutions and Sweden. Value creation for clients and other stakeholders is based on the strong expertise and industry knowledge of Sitowise employees. In future, the company aims to strengthen its position as one of the leading providers of technical consulting and digital services for the built environment and forest assets.
The Group\u2019s parent company is the Finnish limited liability company Sitowise Group Plc (hereinafter referred to as the \"company\u201d), domiciled in Espoo, with the mailing address Linnoitustie 6, FI-02600 Espoo, Finland. The Company was listed on the main list of Nasdaq Helsinki Ltd in March 2021.
The consolidated financial statements are available at the company's head office at Linnoitustie 6 D, FI-02600 Espoo, Finland, and on the Group's website www.sitowise.com.
The Board of Directors of Sitowise Group Plc approved these financial statements in its meeting on 3 March 2026.
In accordance with the Finnish Limited Liability Companies Act, shareholders can adopt or reject the financial statements in a general meeting of shareholders organized after their publication. The general meeting can also resolve to amend the financial statements.
", "dimensions": { "concept": "ifrs-full:DisclosureOfGeneralInformationAboutFinancialStatementsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__6": { "value": "Sitowise Group Plc ", "dimensions": { "concept": "ifrs-full:NameOfReportingEntityOrOtherMeansOfIdentification", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__12": { "value": "Sitowise Group Plc ", "dimensions": { "concept": "ifrs-full:NameOfParentEntity", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__7": { "value": "Plc ", "dimensions": { "concept": "ifrs-full:LegalFormOfEntity", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__9": { "value": "Linnoitustie 6, FI-02600 Espoo", "dimensions": { "concept": "ifrs-full:AddressOfRegisteredOfficeOfEntity", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__8": { "value": "Finland", "dimensions": { "concept": "ifrs-full:DomicileOfEntity", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__10": { "value": "Finland", "dimensions": { "concept": "ifrs-full:CountryOfIncorporation", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__11": { "value": "Finland", "dimensions": { "concept": "ifrs-full:PrincipalPlaceOfBusiness", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__14": { "value": "The Board of Directors of Sitowise Group Plc approved these financial statements in its meeting on 3 March 2026.
In accordance with the Finnish Limited Liability Companies Act, shareholders can adopt or reject the financial statements in a general meeting of shareholders organized after their publication. The general meeting can also resolve to amend the financial statements.
", "dimensions": { "concept": "ifrs-full:DisclosureOfAuthorisationOfFinancialStatementsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__17": { "value": "1.1\tACCOUNTING POLICIES
", "dimensions": { "concept": "ifrs-full:StatementOfIFRSCompliance", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__18": { "value": "1.1\tACCOUNTING POLICIES
", "dimensions": { "concept": "ifrs-full:DisclosureOfBasisOfPreparationOfFinancialStatementsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__19": { "value": "The operating currency of the Sitowise Group is the euro. The figures disclosed in the financial statements are rounded up, so the sum of individual figures can deviate from the reported sum.", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForFunctionalCurrencyExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__20": { "value": "New and amended standards
The amendment to IAS 21 \u201cThe Effects of Changes in Foreign Exchange Rates\u201d (non-convertibility of a currency) that became effective during the financial year had no impact on the Group\u2019s reporting.
The Group has not adopted any new and revised IFRS standards or interpretations that have been published but have not yet entered into force in the financial period beginning on January 1, 2025 (early application). The Group is currently assessing the effects of the new IFRS 18 \u201cPresentation of Financial Statements and Disclosure of Accounting Policies\u201d (effective for annual periods beginning on or after 1 January 2027; earlier application is permitted) on the presentation of the Group\u2019s financial statements.
", "dimensions": { "concept": "ifrs-full:DisclosureOfChangesInAccountingPoliciesAccountingEstimatesAndErrorsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__21": { "value": "New and amended standards
The amendment to IAS 21 \u201cThe Effects of Changes in Foreign Exchange Rates\u201d (non-convertibility of a currency) that became effective during the financial year had no impact on the Group\u2019s reporting.
The Group has not adopted any new and revised IFRS standards or interpretations that have been published but have not yet entered into force in the financial period beginning on January 1, 2025 (early application). The Group is currently assessing the effects of the new IFRS 18 \u201cPresentation of Financial Statements and Disclosure of Accounting Policies\u201d (effective for annual periods beginning on or after 1 January 2027; earlier application is permitted) on the presentation of the Group\u2019s financial statements.
", "dimensions": { "concept": "ifrs-full:DisclosureOfChangesInAccountingPoliciesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__23": { "value": "1.2\tTRANSLATION OF ITEMS DENOMINATED IN FOREIGN CURRENCIES
The consolidated financial statements are reported in euros, which is also the parent company\u2019s operating currency. Items included in the financial statements of Group companies are measured at the currency of the primary economic operating environment of the respective company (operating currency).
Transactions denominated in foreign currencies are translated into the operating currency at the exchange rate of the transactions. Foreign exchange gains and losses arising from payments associated with such transactions and translation of monetary assets and liabilities denominated in foreign currencies at the exchange rate of the closing date are recognized through profit and loss.
The profit and loss accounts and balance sheets of international units using an operating currency different from the reporting currency are translated into the reporting currency as follows:
the assets and liabilities on each reported balance sheet are translated using the exchange rate of the closing date; and
the income and expenses on each profit and loss account are translated at average exchange rates for the financial period.
Exchange rate differences arising from the consolidation of foreign units are recognized as translation differences in other comprehensive income.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForForeignCurrencyTranslationExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__25-1": { "value": "1.3\tKEY DECISIONS MADE BY THE MANAGEMENT REQUIRING DISCRETION AND MAIN UNCERTAINTY FACTORS RELATING TO ESTIMATES
Preparing the financial statements in accordance with the IFRS requires the management to make discretionary decisions and use estimates and assumptions that have impacts on the amounts of assets and liabilities on the closing date, reporting of contingent assets and liabilities and the amounts of income and expenses for the reporting period. These estimates and assumptions are based on prior experience and other justifiable factors, such as expectations concerning future events that the management of the Sitowise Group considers reasonable, taking into account the conditions on the closing date and when the said estimates and assumptions were made.
Even though these estimates are based on the best view of the Sitowise Group\u2019s management of events and measures on the closing date, it is possible that the outcomes differ from these estimates. The estimates and underlying assumptions are continuously updated when preparing the financial statements. The Group may need to adjust its estimates if the conditions on which the estimates are based change, or if the Group receives new information or accumulates more experience. Any changes are recognized in the accounts for the financial period during which the estimate or assumption is updated.
Decisions based on management discretion which the management has made when applying the accounting policies and which have impacts on the figures disclosed in the financial statements are associated with the following areas, among others: segment reporting, recognition of revenue based on the percentage of completion. Management estimates and assumptions used relate, in turn, to the following areas, among others: goodwill impairment testing, provisions, allocation of the cost of acquisitions, measurement of tangible assets, and economic lives of other intangible assets.
The revenue recognition practices are described in Note 2.2. Impairment testing is described in Note 3.2.
Significant decisions based on management discretion
Sitowise Group's management has used discretion in determining the Group's segment reporting. Areas requiring discretion have been the determination of the highest operational decision-maker, decisions made in Group management and the reports used. The Board of Directors and the CEO have been defined as the highest operational decision-maker. The CEO is responsible for allocating resources and evaluating performance.
Significant estimates based on management discretion
When revenue recognition is based on the percentage of completion, the outcome of the contract is assessed regularly and reliably. Revenue recognition based on the percentage of completion is based on input based estimates of the probable sales revenue and expenses of the project as well as reliable measurement of the percentage of completion of the project. If the estimates of the project outcome change, the revenue recognition based on the percentage of completion is adjusted for the reporting period during which the change is initially known. The expected loss from the project is recognized as a loss provision immediately in conjunction with the following monthly reporting.
Significant estimates based on management judgment
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives. The management has estimated the economic useful life of technology to be 5 years and the economic useful life of customer relationships to be 5 years.
Section 3.2.1.1, Business combinations, discusses the treatment of goodwill. During the 2025 financial period, the Sitowise Group did not carry out acquisitions.
Significant estimates based on management discretion
The preparation of calculations used in testing goodwill for impairment requires making estimates concerning the future. The management\u2019s estimates and related critical uncertainty factors are associated with the components of calculations concerning the recoverable amount, which include discount rate, growth rate after the projection period and development of net sales and operating profit, including the level of the company\u2019s costs. The discount rate indicates current estimates of the time value of money and a relevant risk premium, which, in turn, indicates risks and uncertainty factors not taken into account by adjusting the estimates concerning the corresponding cash flows. The discount rates used and projections of business growth and profitability, including sensitivity analyses, are presented in section 3.2.1.1 below.
Significant estimates based on management discretion
The management of the Sitowise Group regularly reviews the strategic value of locations. This influences the IFRS 16 interpretation regarding for how long the Group is likely to extend a lease on premises until further notice, for example.
Significant estimates based on management judgment
The decision on recognizing deferred tax assets on the balance sheet requires discretion. Deferred tax assets are only recognized when it is more likely that they will be realized than not realized, which, in turn, is determined by whether sufficient taxable income will be generated in the future. The assumptions concerning the accumulation of taxable income are based on future cash flows projected by the management. These estimates concerning future cash flows, on the other hand, depend on estimates concerning the volume of future sales, business expenses, investments, and other items affecting the profitability of business operations, among other things. These estimates and assumptions involve risks and uncertainty and, therefore, it is possible that changes in conditions result in charges in expectations, which in turn can affect the deferred tax assets recognized on the balance sheet as well as any other tax losses or temporary differences not yet recognized.
The ability of the Sitowise Group to accumulate taxable income also depends on general factors relating to the economy, financing, competitiveness, legislation, and regulation which are beyond its own control. If the future taxable income of the Sitowise Group is lower than projected by the management when measuring the deferred tax assets to be recognized, the value of the assets decreases or they lose all value. In this case, the amounts recognized on the balance sheet may have to be reversed through profit and loss. Changes in circumstances can also lead to recognizing deferred tax assets for confirmed losses for which no receivables have been currently recognized.
", "dimensions": { "concept": "ifrs-full:DisclosureOfAccountingJudgementsAndEstimatesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__26": { "value": "2\tOPERATING PROFIT
This section focuses on the Group's result and its formation. Next, the different components of the Group\u2019s operating profit are discussed. Operating profit is defined as profit before taxes and financial items.
", "dimensions": { "concept": "ifrs-full:DisclosureOfProfitLossFromOperatingActivitiesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__27": { "value": "2.1\tSEGMENT REPORTING
The Sitowise Group consists of a single operating segment covering all the Group's business operations. This corresponds to the way in which internal reporting is made to the highest operational decision-maker and the way in which the highest operational decision-maker makes decisions on resource allocation and evaluates performance.
Significant decisions based on management discretion
Sitowise Group's management has used discretion in determining the Group's segment reporting. Areas requiring discretion have been the determination of the highest operational decision-maker, decisions made in Group management and the reports used. The Board of Directors and the CEO have been defined as the highest operational decision-maker. The CEO is responsible for allocating resources and evaluating performance.
", "dimensions": { "concept": "ifrs-full:DisclosureOfEntitysReportableSegmentsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__28": { "value": "2.1\tSEGMENT REPORTING
The Sitowise Group consists of a single operating segment covering all the Group's business operations. This corresponds to the way in which internal reporting is made to the highest operational decision-maker and the way in which the highest operational decision-maker makes decisions on resource allocation and evaluates performance.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForSegmentReportingExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__30": { "value": "2.2\tNET SALES
Sitowise provides its customers with all the services for the built environment as well as expert and digital services under the one-stop-shop principle. The main market areas are Finland and Sweden. The net sales of the Sitowise Group primarily comprise sales of services and service packages that may also include software or system development as well as sales of various own digital products. All services provided to clients under client contracts are recognized as net sales in accordance with the variable and fixed amounts specified in the client contract, considering any incentives and sanctions. Other income that is not related to ordinary activities, such as public grants received and gains on the sale of tangible assets, are recognized in other operating income.
A five-step model is applied to revenue recognition, identifying the contract and performance obligations, determining the transaction price, and allocating it to the performance obligation. Sales revenue
is recognized as the performance obligation is fulfilled and only up to the consideration that the Group expects it to be entitled against the services delivered to the client.
Accounting policy
Identification of a contract:IFRS 15 includes the criteria for identifying and combining contracts. As a rule, Sitowise only concludes a single contract with the same customer on a single project. However, contracts can be combined when several almost simultaneous contracts concerning the same site have been concluded with the customer. If separate framework agreements have been concluded with the same customer on different areas of design, it means that the contracts should not be combined for revenue recognition. The justification of this is that the contract negotiations have often been carried out by completely different persons and they have not been negotiated as a single whole. The average duration of customer contracts varies from weeks to a few months, depending on the industry and whether the contract is a framework agreement or an individual service contract with the client. The duration of framework agreemets and individual project agreements can also be several years. Contracts related to digital products are generally valid until further notice.
Amendments to contracts:In the contracts of the Sitowise Group, additional work is most commonly addressed as part of the project whole, i.e. as expansions of the existing project. In some cases, additional and alteration work can also be established as separate projects and performance obligations. If the scope of application of a contract is expanded due to the work added to it being separable and the total contractual price increases by the separate selling prices for work, the alteration and additional work will be accounted for as a separate performance obligation and recognized as revenue as a separate project.
Identification of performance obligations:The services promised in the customer contract are estimated and the performance obligations delivered to the customer are identified at the time of concluding the contract. In the practice pursuant to IFRS\u00a015, the entire project is considered to be a single performance obligation in the customer contracts of the Infrastructure and Digital Solutions business areas. In the Buildings business area, on the other hand, performance obligation levels depend on the customer and the service offered. If the sub-areas of design are defined and priced as a single aggregate of duties in the
request for quote, quote, and contract, the assignment is treated as a single performance obligation.
Determination of transaction price and its allocation to performance obligations:The transaction price is the amount of consideration to which the Sitowise Group expects it to be entitled for the services provided to the customer. The consideration pledged in the customer contract may include fixed or variable monetary amounts or both. The most common variable considerations are associated with penalties for delay, incentives, performance-linked bonuses, and target prices. Penalties for delays are recognized once they are likely to materialize. Incentives and bonuses and additional consideration received for completion below target prices are recognized once they are very likely to materialize.
Revenue recognition:The services provided by the Sitowise Group are customized for the customer, and the Sitowise Group primarily has a contractual right to payment for the customized output received by the time of review. Performance obligations are fulfilled over time, and control is considered to be transferred to the client as the service is performed for the client.
The determination of sales revenue recognized over time is based on the percentage of completion. The percentage of completion is determined as the percentage of the working hours and costs of work performed by the time of review of the estimated total amount of work and costs of the project. If the service package involves software or software maintenance services, their license and maintenance revenue is recognized for the contract period.
The estimated sales revenue and total costs of the project are updated at the end of each reporting period. If the outcome of a long-term project cannot be reliably estimated, revenue from the project is recognized only to the extent that the monetary amount corresponding to actual costs is available. If it is probable that the total cost of project completion exceeds the total revenue received from the project, the expected loss is immediately expensed.
If the invoicing of the project is lower than the sales revenue recognized on the basis of percentage of completion, the difference is reported as a contractual asset in the Project receivables item on the balance sheet. If the invoicing of the project is higher than the sales revenue recognized on the basis of percentage of completion, the difference is reported as a contractual liability in the Trade and other liabilities item on the balance sheet.
The Sitowise Group has set principles for revenue recognition based on the percentage of completion. If the revenue recognition
based on the percentage of competion is not applied, the contract can be recognized as revenue monthly based on the work performed. In addition, there are hourly priced projects to which the practical relief is applied; in them, revenue is recognized based on expert work.
The warranty periods of customer contracts are based on the common standard contractual clauses of the industry. The Group applies payment terms pursuant to the industry\u2019s standard business practices.
Significant estimates based on management discretion
When revenue recognition is based on the percentage of completion, the outcome of the contract is assessed regularly and reliably. Revenue recognition based on the percentage of completion is based on input based estimates of the probable sales revenue and expenses of the project as well as reliable measurement of the percentage of completion of the project. If the estimates of the project outcome change, the revenue recognition based on the percentage of completion is adjusted for the reporting period during which the change is initially known. The expected loss from the project is recognized as a loss provision immediately in conjunction with the following monthly reporting.
Infrastructure (Infra)
The services of the Infrastructure business area (Infra) cover a wide range of urban development needs in diverse areas: infrastructure, transport and mobility, urban development, environment and water, as well as infrastructure project management. Urbanization supports the investment needs of municipalities and cities and the business area\u2019s most significant client segment is the public sector, which accounts for approximately 70 percent of net sales. In the private sector, key clients include construction companies and industrial and energy sector companies.
Sitowise's performance obligation consists of preparing the overall engineering of the infrastucture project.
Buildings
The Buildings business area offers building design, specialist services, and consulting services for residential and commercial properties, as well as for the needs of the healthcare sector, energy and industry, for example. Sitowise acts as a partner in both new construction and renovation projects. The business area has distinctive design expertise in areas such as structural engineering,
building services technology (HVAC and electric), acoustics design, and fire safety planning as well as construction management services.
In the area of structural and prefabricated element engineering and building systems, fulfilling the more extensive project package makes up the performance obligation. Correspondingly, in building design, the performance obligation regarding different types of engineering comprises implementing the individual projects of the engineering sectors.
In renovations, the performance obligation comprises the overall construction contracting and supervision assignment or tasks of the service areas. The Buildings area also includes specialist and design services that, when commissioned individually, make up a separate performance obligation.
Digital Solutions (Digi)
The Digital Solutions business area (Digi) focuses on smart geospatial solutions for the built environment, mobility, and forest and natural resources sector, as well as consulting services that support these fields. These services cover client-driven information system development, proprietary product solutions, analytics, information management and visualization, and consulting services. The Digital Solutions business area also includes digital solutions for infrastructure maintenance planning, reporting and support for municipalities in Sweden (Infracontrol), which were previously reported under Sweden.
The services of Digital Solutions usually make up a single project package that is treated as a performance obligation. The system maintenance phase after system development is treated as a separate performance obligation.
Sweden
In Sweden, Sitowise provides services in buildings and infrastructure. The Sweden business area\u2019s services include building construction engineering with expertise in frame and structure engineering as well as geotechnical design. It also has a robust offering in complex installations in both buildings and infrastructure, and expert services in underground installations as well as land, water, and sewerage.
Performance obligations are formed in these projects in a similar way as described above in Buildings and Infra business areas.
The Sitowise Group primarily acts as the principal in all of its contracts, as it is itself always liable for fulfilling the contract. The Sitowise Group is also responsible for final delivery to the customer when using subcontractors.
2.2.1\tNet sales by business area
EUR thousand | 2025 | 2024 |
Infra | 73,167 | 68,345 |
Buildings | 52,766 | 57,425 |
Digi | 36,320 | 35,269 |
Sweden | 26,333 | 31,872 |
Total | 188,585 | 192,910 |
2.2.2\tNet sales by market area
EUR thousand | 2025 | 2024 |
Finland | 153,290 | 153,694 |
Sweden | 34,719 | 38,045 |
Other countries | 576 | 1,171 |
Total | 188,585 | 192,910 |
The net sales of the geographical areas are reported by the customer\u2019s location.
Assets and liabilities based on customer contracts are reported in Notes 3.4 and 3.6.
Revenue from customer contracts expected to be recognized and relating to remaining performance obligations by December 31, 2025 amount to approximatelyEUR 152.5(150.6) million.
", "dimensions": { "concept": "ifrs-full:DisclosureOfRevenueExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__31": { "value": "2.2\tNET SALES
Sitowise provides its customers with all the services for the built environment as well as expert and digital services under the one-stop-shop principle. The main market areas are Finland and Sweden. The net sales of the Sitowise Group primarily comprise sales of services and service packages that may also include software or system development as well as sales of various own digital products. All services provided to clients under client contracts are recognized as net sales in accordance with the variable and fixed amounts specified in the client contract, considering any incentives and sanctions. Other income that is not related to ordinary activities, such as public grants received and gains on the sale of tangible assets, are recognized in other operating income.
A five-step model is applied to revenue recognition, identifying the contract and performance obligations, determining the transaction price, and allocating it to the performance obligation. Sales revenue
is recognized as the performance obligation is fulfilled and only up to the consideration that the Group expects it to be entitled against the services delivered to the client.
Accounting policy
Identification of a contract:IFRS 15 includes the criteria for identifying and combining contracts. As a rule, Sitowise only concludes a single contract with the same customer on a single project. However, contracts can be combined when several almost simultaneous contracts concerning the same site have been concluded with the customer. If separate framework agreements have been concluded with the same customer on different areas of design, it means that the contracts should not be combined for revenue recognition. The justification of this is that the contract negotiations have often been carried out by completely different persons and they have not been negotiated as a single whole. The average duration of customer contracts varies from weeks to a few months, depending on the industry and whether the contract is a framework agreement or an individual service contract with the client. The duration of framework agreemets and individual project agreements can also be several years. Contracts related to digital products are generally valid until further notice.
Amendments to contracts:In the contracts of the Sitowise Group, additional work is most commonly addressed as part of the project whole, i.e. as expansions of the existing project. In some cases, additional and alteration work can also be established as separate projects and performance obligations. If the scope of application of a contract is expanded due to the work added to it being separable and the total contractual price increases by the separate selling prices for work, the alteration and additional work will be accounted for as a separate performance obligation and recognized as revenue as a separate project.
Identification of performance obligations:The services promised in the customer contract are estimated and the performance obligations delivered to the customer are identified at the time of concluding the contract. In the practice pursuant to IFRS\u00a015, the entire project is considered to be a single performance obligation in the customer contracts of the Infrastructure and Digital Solutions business areas. In the Buildings business area, on the other hand, performance obligation levels depend on the customer and the service offered. If the sub-areas of design are defined and priced as a single aggregate of duties in the
request for quote, quote, and contract, the assignment is treated as a single performance obligation.
Determination of transaction price and its allocation to performance obligations:The transaction price is the amount of consideration to which the Sitowise Group expects it to be entitled for the services provided to the customer. The consideration pledged in the customer contract may include fixed or variable monetary amounts or both. The most common variable considerations are associated with penalties for delay, incentives, performance-linked bonuses, and target prices. Penalties for delays are recognized once they are likely to materialize. Incentives and bonuses and additional consideration received for completion below target prices are recognized once they are very likely to materialize.
Revenue recognition:The services provided by the Sitowise Group are customized for the customer, and the Sitowise Group primarily has a contractual right to payment for the customized output received by the time of review. Performance obligations are fulfilled over time, and control is considered to be transferred to the client as the service is performed for the client.
The determination of sales revenue recognized over time is based on the percentage of completion. The percentage of completion is determined as the percentage of the working hours and costs of work performed by the time of review of the estimated total amount of work and costs of the project. If the service package involves software or software maintenance services, their license and maintenance revenue is recognized for the contract period.
The estimated sales revenue and total costs of the project are updated at the end of each reporting period. If the outcome of a long-term project cannot be reliably estimated, revenue from the project is recognized only to the extent that the monetary amount corresponding to actual costs is available. If it is probable that the total cost of project completion exceeds the total revenue received from the project, the expected loss is immediately expensed.
If the invoicing of the project is lower than the sales revenue recognized on the basis of percentage of completion, the difference is reported as a contractual asset in the Project receivables item on the balance sheet. If the invoicing of the project is higher than the sales revenue recognized on the basis of percentage of completion, the difference is reported as a contractual liability in the Trade and other liabilities item on the balance sheet.
The Sitowise Group has set principles for revenue recognition based on the percentage of completion. If the revenue recognition
based on the percentage of competion is not applied, the contract can be recognized as revenue monthly based on the work performed. In addition, there are hourly priced projects to which the practical relief is applied; in them, revenue is recognized based on expert work.
The warranty periods of customer contracts are based on the common standard contractual clauses of the industry. The Group applies payment terms pursuant to the industry\u2019s standard business practices.
Significant estimates based on management discretion
When revenue recognition is based on the percentage of completion, the outcome of the contract is assessed regularly and reliably. Revenue recognition based on the percentage of completion is based on input based estimates of the probable sales revenue and expenses of the project as well as reliable measurement of the percentage of completion of the project. If the estimates of the project outcome change, the revenue recognition based on the percentage of completion is adjusted for the reporting period during which the change is initially known. The expected loss from the project is recognized as a loss provision immediately in conjunction with the following monthly reporting.
Infrastructure (Infra)
The services of the Infrastructure business area (Infra) cover a wide range of urban development needs in diverse areas: infrastructure, transport and mobility, urban development, environment and water, as well as infrastructure project management. Urbanization supports the investment needs of municipalities and cities and the business area\u2019s most significant client segment is the public sector, which accounts for approximately 70 percent of net sales. In the private sector, key clients include construction companies and industrial and energy sector companies.
Sitowise's performance obligation consists of preparing the overall engineering of the infrastucture project.
Buildings
The Buildings business area offers building design, specialist services, and consulting services for residential and commercial properties, as well as for the needs of the healthcare sector, energy and industry, for example. Sitowise acts as a partner in both new construction and renovation projects. The business area has distinctive design expertise in areas such as structural engineering,
building services technology (HVAC and electric), acoustics design, and fire safety planning as well as construction management services.
In the area of structural and prefabricated element engineering and building systems, fulfilling the more extensive project package makes up the performance obligation. Correspondingly, in building design, the performance obligation regarding different types of engineering comprises implementing the individual projects of the engineering sectors.
In renovations, the performance obligation comprises the overall construction contracting and supervision assignment or tasks of the service areas. The Buildings area also includes specialist and design services that, when commissioned individually, make up a separate performance obligation.
Digital Solutions (Digi)
The Digital Solutions business area (Digi) focuses on smart geospatial solutions for the built environment, mobility, and forest and natural resources sector, as well as consulting services that support these fields. These services cover client-driven information system development, proprietary product solutions, analytics, information management and visualization, and consulting services. The Digital Solutions business area also includes digital solutions for infrastructure maintenance planning, reporting and support for municipalities in Sweden (Infracontrol), which were previously reported under Sweden.
The services of Digital Solutions usually make up a single project package that is treated as a performance obligation. The system maintenance phase after system development is treated as a separate performance obligation.
Sweden
In Sweden, Sitowise provides services in buildings and infrastructure. The Sweden business area\u2019s services include building construction engineering with expertise in frame and structure engineering as well as geotechnical design. It also has a robust offering in complex installations in both buildings and infrastructure, and expert services in underground installations as well as land, water, and sewerage.
Performance obligations are formed in these projects in a similar way as described above in Buildings and Infra business areas.
The Sitowise Group primarily acts as the principal in all of its contracts, as it is itself always liable for fulfilling the contract. The Sitowise Group is also responsible for final delivery to the customer when using subcontractors.
2.2.1\tNet sales by business area
EUR thousand | 2025 | 2024 |
Infra | 73,167 | 68,345 |
Buildings | 52,766 | 57,425 |
Digi | 36,320 | 35,269 |
Sweden | 26,333 | 31,872 |
Total | 188,585 | 192,910 |
2.2.2\tNet sales by market area
EUR thousand | 2025 | 2024 |
Finland | 153,290 | 153,694 |
Sweden | 34,719 | 38,045 |
Other countries | 576 | 1,171 |
Total | 188,585 | 192,910 |
The net sales of the geographical areas are reported by the customer\u2019s location.
Assets and liabilities based on customer contracts are reported in Notes 3.4 and 3.6.
Revenue from customer contracts expected to be recognized and relating to remaining performance obligations by December 31, 2025 amount to approximatelyEUR 152.5(150.6) million.
", "dimensions": { "concept": "ifrs-full:DisclosureOfRevenueFromContractsWithCustomersExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__32-1": { "value": "2.2\tNET SALES
Sitowise provides its customers with all the services for the built environment as well as expert and digital services under the one-stop-shop principle. The main market areas are Finland and Sweden. The net sales of the Sitowise Group primarily comprise sales of services and service packages that may also include software or system development as well as sales of various own digital products. All services provided to clients under client contracts are recognized as net sales in accordance with the variable and fixed amounts specified in the client contract, considering any incentives and sanctions. Other income that is not related to ordinary activities, such as public grants received and gains on the sale of tangible assets, are recognized in other operating income.
A five-step model is applied to revenue recognition, identifying the contract and performance obligations, determining the transaction price, and allocating it to the performance obligation. Sales revenue
is recognized as the performance obligation is fulfilled and only up to the consideration that the Group expects it to be entitled against the services delivered to the client.
Accounting policy
Identification of a contract:IFRS 15 includes the criteria for identifying and combining contracts. As a rule, Sitowise only concludes a single contract with the same customer on a single project. However, contracts can be combined when several almost simultaneous contracts concerning the same site have been concluded with the customer. If separate framework agreements have been concluded with the same customer on different areas of design, it means that the contracts should not be combined for revenue recognition. The justification of this is that the contract negotiations have often been carried out by completely different persons and they have not been negotiated as a single whole. The average duration of customer contracts varies from weeks to a few months, depending on the industry and whether the contract is a framework agreement or an individual service contract with the client. The duration of framework agreemets and individual project agreements can also be several years. Contracts related to digital products are generally valid until further notice.
Amendments to contracts:In the contracts of the Sitowise Group, additional work is most commonly addressed as part of the project whole, i.e. as expansions of the existing project. In some cases, additional and alteration work can also be established as separate projects and performance obligations. If the scope of application of a contract is expanded due to the work added to it being separable and the total contractual price increases by the separate selling prices for work, the alteration and additional work will be accounted for as a separate performance obligation and recognized as revenue as a separate project.
Identification of performance obligations:The services promised in the customer contract are estimated and the performance obligations delivered to the customer are identified at the time of concluding the contract. In the practice pursuant to IFRS\u00a015, the entire project is considered to be a single performance obligation in the customer contracts of the Infrastructure and Digital Solutions business areas. In the Buildings business area, on the other hand, performance obligation levels depend on the customer and the service offered. If the sub-areas of design are defined and priced as a single aggregate of duties in the
request for quote, quote, and contract, the assignment is treated as a single performance obligation.
Determination of transaction price and its allocation to performance obligations:The transaction price is the amount of consideration to which the Sitowise Group expects it to be entitled for the services provided to the customer. The consideration pledged in the customer contract may include fixed or variable monetary amounts or both. The most common variable considerations are associated with penalties for delay, incentives, performance-linked bonuses, and target prices. Penalties for delays are recognized once they are likely to materialize. Incentives and bonuses and additional consideration received for completion below target prices are recognized once they are very likely to materialize.
Revenue recognition:The services provided by the Sitowise Group are customized for the customer, and the Sitowise Group primarily has a contractual right to payment for the customized output received by the time of review. Performance obligations are fulfilled over time, and control is considered to be transferred to the client as the service is performed for the client.
The determination of sales revenue recognized over time is based on the percentage of completion. The percentage of completion is determined as the percentage of the working hours and costs of work performed by the time of review of the estimated total amount of work and costs of the project. If the service package involves software or software maintenance services, their license and maintenance revenue is recognized for the contract period.
The estimated sales revenue and total costs of the project are updated at the end of each reporting period. If the outcome of a long-term project cannot be reliably estimated, revenue from the project is recognized only to the extent that the monetary amount corresponding to actual costs is available. If it is probable that the total cost of project completion exceeds the total revenue received from the project, the expected loss is immediately expensed.
If the invoicing of the project is lower than the sales revenue recognized on the basis of percentage of completion, the difference is reported as a contractual asset in the Project receivables item on the balance sheet. If the invoicing of the project is higher than the sales revenue recognized on the basis of percentage of completion, the difference is reported as a contractual liability in the Trade and other liabilities item on the balance sheet.
The Sitowise Group has set principles for revenue recognition based on the percentage of completion. If the revenue recognition
based on the percentage of competion is not applied, the contract can be recognized as revenue monthly based on the work performed. In addition, there are hourly priced projects to which the practical relief is applied; in them, revenue is recognized based on expert work.
The warranty periods of customer contracts are based on the common standard contractual clauses of the industry. The Group applies payment terms pursuant to the industry\u2019s standard business practices.
Infrastructure (Infra)
The services of the Infrastructure business area (Infra) cover a wide range of urban development needs in diverse areas: infrastructure, transport and mobility, urban development, environment and water, as well as infrastructure project management. Urbanization supports the investment needs of municipalities and cities and the business area\u2019s most significant client segment is the public sector, which accounts for approximately 70 percent of net sales. In the private sector, key clients include construction companies and industrial and energy sector companies.
Sitowise's performance obligation consists of preparing the overall engineering of the infrastucture project.
Buildings
The Buildings business area offers building design, specialist services, and consulting services for residential and commercial properties, as well as for the needs of the healthcare sector, energy and industry, for example. Sitowise acts as a partner in both new construction and renovation projects. The business area has distinctive design expertise in areas such as structural engineering,
building services technology (HVAC and electric), acoustics design, and fire safety planning as well as construction management services.
In the area of structural and prefabricated element engineering and building systems, fulfilling the more extensive project package makes up the performance obligation. Correspondingly, in building design, the performance obligation regarding different types of engineering comprises implementing the individual projects of the engineering sectors.
In renovations, the performance obligation comprises the overall construction contracting and supervision assignment or tasks of the service areas. The Buildings area also includes specialist and design services that, when commissioned individually, make up a separate performance obligation.
Digital Solutions (Digi)
The Digital Solutions business area (Digi) focuses on smart geospatial solutions for the built environment, mobility, and forest and natural resources sector, as well as consulting services that support these fields. These services cover client-driven information system development, proprietary product solutions, analytics, information management and visualization, and consulting services. The Digital Solutions business area also includes digital solutions for infrastructure maintenance planning, reporting and support for municipalities in Sweden (Infracontrol), which were previously reported under Sweden.
The services of Digital Solutions usually make up a single project package that is treated as a performance obligation. The system maintenance phase after system development is treated as a separate performance obligation.
Sweden
In Sweden, Sitowise provides services in buildings and infrastructure. The Sweden business area\u2019s services include building construction engineering with expertise in frame and structure engineering as well as geotechnical design. It also has a robust offering in complex installations in both buildings and infrastructure, and expert services in underground installations as well as land, water, and sewerage.
Performance obligations are formed in these projects in a similar way as described above in Buildings and Infra business areas.
The Sitowise Group primarily acts as the principal in all of its contracts, as it is itself always liable for fulfilling the contract. The Sitowise Group is also responsible for final delivery to the customer when using subcontractors.
2.3\tOTHER OPERATING INCOME
Accounting policy
The Sitowise Group recognizes net sales from non-ordinary activities in other operating income. Other income includes, for example, public grants received and gains on the sale of tangible assets. Public grants are recognized as income at the moment when there is reasonable assurance that the grant will be received and the Group both meets and complies with the terms of the grant.
EUR thousand | 2025 | 2024 |
Gains on fixed assets | 83 | 35 |
Grants received | 307 | 575 |
Other income | 114 | 314 |
Total | 503 | 923 |
The Sitowise Group has received public grants from Business Finland and the European Union, among others.
2.6\tOTHER OPERATING EXPENSES
EUR thousand | 2025 | 2024 |
Other personnel-related expenses | 5,657 | 6,464 |
ICT expenses | 10,771 | 10,391 |
Sales and marketing expenses | 745 | 1,063 |
Rent and other premise expenses | 3,127 | 3,894 |
Other expenses | 4,272 | 4,903 |
Total | 24,572 | 26,715 |
Other personnel-related expenses mainly comprise fringe benefits and diverse expenses relating to training, recruitment, and personnel meetings.
ICT expenses are primarily associated with software and IT service expenses.
The material items included in other expenses are communication expenses, legal and other counselling fees, insurance expenses and office supplies.Practical reliefs allowed by IFRS 16 have been applied, and part of lease costs are included in other operating expenses. Information on IFRS 16 is presented in Note 3.3.
2.6.1\tAuditors' fees
EUR thousand | 2025 | 2024 |
Statutory audit | 155 | 135 |
Audit related services | 63 | 25 |
Tax advice | 17 | 19 |
Other advisory services | 0 | 16 |
Total | 234 | 195 |
The auditor of the parent company and the Group is KPMG Oy Ab. Auditor\u2019s fees other than statutory audit fees were 17 (35) thousand euros.
", "dimensions": { "concept": "ifrs-full:DisclosureOfOtherOperatingIncomeExpenseExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__36": { "value": "2.3\tOTHER OPERATING INCOME
Accounting policy
The Sitowise Group recognizes net sales from non-ordinary activities in other operating income. Other income includes, for example, public grants received and gains on the sale of tangible assets. Public grants are recognized as income at the moment when there is reasonable assurance that the grant will be received and the Group both meets and complies with the terms of the grant.
EUR thousand | 2025 | 2024 |
Gains on fixed assets | 83 | 35 |
Grants received | 307 | 575 |
Other income | 114 | 314 |
Total | 503 | 923 |
The Sitowise Group has received public grants from Business Finland and the European Union, among others.
", "dimensions": { "concept": "ifrs-full:DisclosureOfOtherOperatingIncomeExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__37": { "value": "2.3\tOTHER OPERATING INCOME
Accounting policy
The Sitowise Group recognizes net sales from non-ordinary activities in other operating income. Other income includes, for example, public grants received and gains on the sale of tangible assets. Public grants are recognized as income at the moment when there is reasonable assurance that the grant will be received and the Group both meets and complies with the terms of the grant.
EUR thousand | 2025 | 2024 |
Gains on fixed assets | 83 | 35 |
Grants received | 307 | 575 |
Other income | 114 | 314 |
Total | 503 | 923 |
The Sitowise Group has received public grants from Business Finland and the European Union, among others.
", "dimensions": { "concept": "ifrs-full:DisclosureOfGovernmentGrantsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__38-1": { "value": "2.3\tOTHER OPERATING INCOME
Accounting policy
The Sitowise Group recognizes net sales from non-ordinary activities in other operating income. Other income includes, for example, public grants received and gains on the sale of tangible assets. Public grants are recognized as income at the moment when there is reasonable assurance that the grant will be received and the Group both meets and complies with the terms of the grant.
A public grant received for capital expenditure is recognized as lowering the cost of the fixed asset.", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForGovernmentGrants", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__39": { "value": "2.4\tMATERIALS AND SERVICES
EUR thousand | 2025 | 2024 |
Subcontracting expenses | 12,220 | 11,352 |
Project and other expenses | 9,413 | 8,831 |
Total | 21,634 | 20,183 |
Project and other expenses include costs relating to customer projects as well as travel and meeting expenses.
", "dimensions": { "concept": "ifrs-full:DisclosureOfExpensesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__40-1": { "value": "2.5\tEMPLOYEE BENEFITS
Accounting policy
Pension schemes are classified as either defined contribution or defined benefit schemes. The Sitowise Group has no defined benefit schemes. The defined contribution pension scheme is an arrangement in which the Sitowise Group pays fixed premiums to pension insurance policies. The Sitowise Group has no legal or factual obligations to make additional payments if the insurance does not provide sufficient funds for paying all benefits based on the work performance for the current and previous financial periods to all employees.
The total compensation paid by the Sitowise Group to its personnel comprises salaries, wage supplements, short-term incentives, and fringe benefits.
EUR thousand | 2025 | 2024 |
Wages and salaries | 103,012 | 105,490 |
Pension expenses | 17,684 | 17,637 |
Other social security expenses | 7,932 | 8,176 |
Total | 128,628 | 131,303 |
Personnel | 2025 | 2024 |
Average number of personnel | 1,959 | 2,097 |
Full-time equivalent (FTE) on average | 1,722 | 1,854 |
Full-time equivalent (FTE) on average is the average number of full-time equivalents in the Group.
Information about the compensation of the management, including share-based incentives, is reported in Note 6.3 on related party transactions.
6.3.2\tEmployment benefits for management belonging to related parties
The management of Sitowise Group Plc consists of the Board of Directors, the CEO, and the members of the Group Management Team.
EUR thousand | 2025 | 2024 |
Wages, salaries and other short-term employment benefits | 1,648 | 1,659 |
Share-based payment expenses * | 173 | 55 |
Post employment benefits | 297 | 529 |
Total | 2,119 | 2,243 |
* Includes the expenses for all outstanding equity grants recorded during the year
A long-term incentive plan, i.e. an option program, was established in connection with the listing (Note 4.3.4) in 2021. The option program includes the company's management, excluding the Board of Directors, and the company's key personnel.
In 2023, the Board of Directors decided to establish a new performance-based, long-term incentive plan (Note 4.3.5). The program consists of annually commencing individual three-year plans. In March 2023, the Board of Directors of Sitowise decided to establish performance-based share incentive program Performance Share Plan 2023\u20132025 (Performance Share Plan 2023-2025). In March 2024, the Board of Directors of Sitowise decided to establish performance-based share incentive program Performance Share Plan 2024\u20132026 (PSP 2024\u20132026). In February 2025, the Bord of Directors of Sitowise decided to establish performance-based share incentive program Performance Share Plan 2025-2027 (PSP 2025-2027). The participants of the PSP plans have the opportunity to earn Sitowise shares and cash as a long-term incentive reward, if the performance targets set by the Board of Directors for the plans are achieved. The plans have a three-year performance period, and the participants include the CEO and other members of the Sitowise Group Management Team as well as other management and experts.
Additionally Sitowise also has three supplementary share-based long-term incentive plans in place Restricted Share Plan 2023-2025, Restricted Share Plan 2024-2026 and Restricted Share Plan 2025-2027.
The commencement of each individual plan and its terms, the length of the performance or retention period within the plan, the
performance criteria, the eligible participants thereof and the earning opportunity is subject to a separate decision of the company\u2019s Board of Directors in each case.
The purpose of the plans is to align the interests of the management and key personnel with the interests of the shareholders and thereby increase the shareholder value in the long term, and to commit the management and key personnel to achieving Sitowise's strategic goals. Additionally, the purpose is to commit Sitowise's key resources to the company by offering competitive long-term incentive plans.
EUR thousand | 2025 | 2024 |
Remuneration of the Board of Directors | 252 | 280 |
Remuneration of the CEO, including fringe benefits | 482 | 486 |
Remuneration of the Management Team, including fringe benefits | 1,384 | 1,477 |
Total | 2,119 | 2,243 |
6.3.3\tRemuneration of the Board of Directors and the CEO's salary with fringe benefits
In accordance with the Finnish Limited Liability Companies Act, the remuneration paid to the members of the Board of Directors is decided by the shareholders at the Annual General Meeting. The shareholders of the company decided on 2 April 2025, as part of the matters decided at the Annual General Meeting, the remuneration of the Chair of the Board of Directors will be EUR 4,750 per month and the remuneration of the other members of the Board of Directors will be EUR 2,250 per month. It was also decided that the Chair of the Board and the Chairs of the Audit and Personnel Committees will be paid an attendance allowance of EUR 1,000 per meeting, and the other members of the Board and the members of the Audit and Personnel Committees will be paid an attendance allowance of EUR 400 per meeting. The allowances are the same as paid in the previous term. In addition, it was decided that the travel expenses of the members of the Board of Directors will be reimbursed in accordance with Sitowise's travel policy. The Annual General Meeting resolved on 2 April 2025 that no remuneration shall be paid for the Nomination Board members for the term initiating in September 2025. Travel expenses of the
members of the Nomination Board will be compensated against receipt in accordance with the Company's travel policy.
The CEO is covered by the Finnish statutory earnings-related pension scheme. The retirement age of the CEO is the minimum personal retirement age according to the law. The CEO's notice period is six months for both parties. The CEO is generally not entitled to a severance package in addition to their remaining regular pay if they resign.
EUR thousand | 2025 | 2024 |
Board of Directors | ||
Heli\u00f6vaara Eero, Chair of the Board | 72 | 73 |
Kyll\u00f6nen Taina (until 4. April 2024) | 0 | 6 |
Ronkainen Anni (until 2. April 2025 ) | 8 | 25 |
Leino-Haltia Mirel | 39 | 38 |
Piispanen Elina | 33 | 33 |
Rignell Petri (until 4. April 2024) | 0 | 5 |
Terho Tomi | 32 | 33 |
S\u00f6rensen Niklas | 32 | 33 |
\u00c5str\u00f6m Mats (until 2. April 2025) | 8 | 34 |
Zeidler Rodolfo (from 2. April 2025) | 27 | 0 |
Total remuneration of the Board of Directors | 252 | 280 |
CEO | ||
Haasmaa Heikki (since 1 May 2022) | 482 | 458 |
Total CEO's salary with fringe benefits | 482 | 458 |
6.3.4\tManagement stock options
The company\u2019s management was granted stock options in the spring of 2021 and during financial years 2022 and 2023. Amendments were made to the program during 2023 and 2024, and the company's management waived part of the options given to them during 2024. The table below lists the options held by the CEO and the members of the Group\u2019s Management Team. The Board of Directors holds no options.
December 31, 2025 | Match2022A | Match2022B | Performance 2022A | Performance 2022B | Total |
Options granted | 0 | 44,363 | 0 | 0 | 44,363 (1 |
Of which exercisable | 0 | 44,363 | 0 | 0 | 44,363 |
Total number of shares entitled to | 0 | 44,363 | 0 | 0 | 44,363 |
(1The options returned to the company by who left his positions in the financial year 2025 are no longer included in the management options on 31 December 2025.
The option program and changes are described in more detail in Note 4.3.4.
", "dimensions": { "concept": "ifrs-full:DisclosureOfEmployeeBenefitsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__41": { "value": "2.5\tEMPLOYEE BENEFITS
Accounting policy
Pension schemes are classified as either defined contribution or defined benefit schemes. The Sitowise Group has no defined benefit schemes. The defined contribution pension scheme is an arrangement in which the Sitowise Group pays fixed premiums to pension insurance policies. The Sitowise Group has no legal or factual obligations to make additional payments if the insurance does not provide sufficient funds for paying all benefits based on the work performance for the current and previous financial periods to all employees.
The total compensation paid by the Sitowise Group to its personnel comprises salaries, wage supplements, short-term incentives, and fringe benefits.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForEmployeeBenefitsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__42": { "value": "Personnel
2025
2024
Average number of personnel
1,959
2,097
Full-time equivalent (FTE) on average
1,722
1,854
Full-time equivalent (FTE) on average is the average number of full-time equivalents in the Group.
", "dimensions": { "concept": "ifrs-full:DisclosureOfInformationAboutEmployeesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__43": { "value": "2.6\tOTHER OPERATING EXPENSES
EUR thousand | 2025 | 2024 |
Other personnel-related expenses | 5,657 | 6,464 |
ICT expenses | 10,771 | 10,391 |
Sales and marketing expenses | 745 | 1,063 |
Rent and other premise expenses | 3,127 | 3,894 |
Other expenses | 4,272 | 4,903 |
Total | 24,572 | 26,715 |
Other personnel-related expenses mainly comprise fringe benefits and diverse expenses relating to training, recruitment, and personnel meetings.
ICT expenses are primarily associated with software and IT service expenses.
The material items included in other expenses are communication expenses, legal and other counselling fees, insurance expenses and office supplies.Practical reliefs allowed by IFRS 16 have been applied, and part of lease costs are included in other operating expenses. Information on IFRS 16 is presented in Note 3.3.
2.6.1\tAuditors' fees
EUR thousand | 2025 | 2024 |
Statutory audit | 155 | 135 |
Audit related services | 63 | 25 |
Tax advice | 17 | 19 |
Other advisory services | 0 | 16 |
Total | 234 | 195 |
The auditor of the parent company and the Group is KPMG Oy Ab. Auditor\u2019s fees other than statutory audit fees were 17 (35) thousand euros.
", "dimensions": { "concept": "ifrs-full:DisclosureOfOtherOperatingExpenseExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__45": { "value": "2.6\tOTHER OPERATING EXPENSES
EUR thousand | 2025 | 2024 |
Other personnel-related expenses | 5,657 | 6,464 |
ICT expenses | 10,771 | 10,391 |
Sales and marketing expenses | 745 | 1,063 |
Rent and other premise expenses | 3,127 | 3,894 |
Other expenses | 4,272 | 4,903 |
Total | 24,572 | 26,715 |
Other personnel-related expenses mainly comprise fringe benefits and diverse expenses relating to training, recruitment, and personnel meetings.
ICT expenses are primarily associated with software and IT service expenses.
The material items included in other expenses are communication expenses, legal and other counselling fees, insurance expenses and office supplies.Practical reliefs allowed by IFRS 16 have been applied, and part of lease costs are included in other operating expenses. Information on IFRS 16 is presented in Note 3.3.
2.6.1\tAuditors' fees
EUR thousand | 2025 | 2024 |
Statutory audit | 155 | 135 |
Audit related services | 63 | 25 |
Tax advice | 17 | 19 |
Other advisory services | 0 | 16 |
Total | 234 | 195 |
The auditor of the parent company and the Group is KPMG Oy Ab. Auditor\u2019s fees other than statutory audit fees were 17 (35) thousand euros.
", "dimensions": { "concept": "ifrs-full:DisclosureOfExpensesByNatureExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__44": { "value": "2.6.1\tAuditors' fees
EUR thousand | 2025 | 2024 |
Statutory audit | 155 | 135 |
Audit related services | 63 | 25 |
Tax advice | 17 | 19 |
Other advisory services | 0 | 16 |
Total | 234 | 195 |
The auditor of the parent company and the Group is KPMG Oy Ab. Auditor\u2019s fees other than statutory audit fees were 17 (35) thousand euros.
", "dimensions": { "concept": "ifrs-full:DisclosureOfAuditorsRemunerationExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__47": { "value": "2.7\tDEPRECIATION, AMORTIZATION, AND IMPAIRMENT
Accounting policy
Depreciation of machinery, equipment, other tangible assets and intangible assets is recognized over their economic useful lives. Depreciation is recognized using the straight-line method based on the acquisition cost and estimated economic useful life of the asset. The Sitowise Group reviews the depreciation periods and methods at least at the end of each financial period. If the economic useful life of an asset differs from the previous estimate, the depreciation period will be adjusted accordingly. Depreciation of right-of-use assets is recognized from the beginning of the contract over the whole contract period.
Impairment loss is the amount by which the book value of an asset exceeds the recoverable value of the asset.
A public grant received for capital expenditure is recognized as lowering the cost of the fixed asset.
Economic useful lives of assets for the 2025 and 2024 financial periods are as follows:
IT machinery and equipment\t4 years
Other machinery and equipment\t5 years
Right-of-use assets\tContract period
Economic useful lives of intangible assets are as follows:
Intangible rights\t3\u20135 years
Acquired asset, technology\t5 years
Acquired asset, customer relations\t5 years
Acquired asset, non-compete clauses\tContract period
Other intangible rights\t5\u201310 years
EUR thousand | 2025 | 2024 |
Machinery and equipment | 886 | 1,140 |
Leases | ||
Buildings and structures | 6,440 | 6,431 |
Machinery and equipment | 681 | 627 |
Impairments | 83 | 0 |
Tangible assets | 8,090 | 8,199 |
Intangible rights and other intangible assets | 4,119 | 4,270 |
Impairment | 39,575 | 691 |
Goodwill and intangible assets | 43,694 | 4,961 |
Total | 51,784 | 13,160 |
2.7\tDEPRECIATION, AMORTIZATION, AND IMPAIRMENT
Accounting policy
Depreciation of machinery, equipment, other tangible assets and intangible assets is recognized over their economic useful lives. Depreciation is recognized using the straight-line method based on the acquisition cost and estimated economic useful life of the asset. The Sitowise Group reviews the depreciation periods and methods at least at the end of each financial period. If the economic useful life of an asset differs from the previous estimate, the depreciation period will be adjusted accordingly. Depreciation of right-of-use assets is recognized from the beginning of the contract over the whole contract period.
Impairment loss is the amount by which the book value of an asset exceeds the recoverable value of the asset.
A public grant received for capital expenditure is recognized as lowering the cost of the fixed asset.
Economic useful lives of assets for the 2025 and 2024 financial periods are as follows:
IT machinery and equipment\t4 years
Other machinery and equipment\t5 years
Right-of-use assets\tContract period
Economic useful lives of intangible assets are as follows:
Intangible rights\t3\u20135 years
Acquired asset, technology\t5 years
Acquired asset, customer relations\t5 years
Acquired asset, non-compete clauses\tContract period
Other intangible rights\t5\u201310 years
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForDepreciationExpenseExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__50-1": { "value": "EUR thousand | 2025 | 2024 |
Machinery and equipment | 886 | 1,140 |
Leases | ||
Buildings and structures | 6,440 | 6,431 |
Machinery and equipment | 681 | 627 |
Impairments | 83 | 0 |
Tangible assets | 8,090 | 8,199 |
Intangible rights and other intangible assets | 4,119 | 4,270 |
Impairment | 39,575 | 691 |
Goodwill and intangible assets | 43,694 | 4,961 |
Total | 51,784 | 13,160 |
Intangible assets
Intangible assets include intangible rights and intangible assets. Intangible assets, such as system deliveries, which have a limited economic useful life, are recognized on the balance sheet at original acquisition cost less accumulated amortization and any impairment. Intangible assets also include products developed for customer needs, for which own or subcontractors' work has been capitalized and from which revenues are expected in the future.
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives.
The Sitowise Group assesses on the closing date of each financial period whether there are indications of the impairment of intangible assets. If indications emerge, the Group assesses the recoverable amount from the said asset. The recoverable amount is the fair value of the asset less the higher of costs of selling or value in use. An impairment loss is recognized through profit and loss when the book value of the asset exceeds the recoverable amount. When recognizing the impairment loss, the Group reassesses the economic useful life of the intangible asset. The impairment loss is reversed if a change has taken place in the circumstances and the recoverable amount of the asset has changed from the time of recognizing the impairment loss. However, the impairment loss will not be reversed in excess of the book value of the asset had the impairment loss not been recognized.
Significant estimates based on management judgment
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives. The management has estimated the economic useful life of technology to be 5 years and the economic useful life of customer relationships to be 5 years.
Section 3.2.1.1, Business combinations, discusses the treatment of goodwill. During the 2025 financial period, the Sitowise Group did not carry out acquisitions.
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2025 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Business combinations | 0 | |||||
Additions | 722 | 242 | 788 | 1,751 | ||
Disposals | -38 | -38 | ||||
Transfers between items | 34 | 89 | -385 | -262 | ||
Impairments | 0 | |||||
Exchange rate differences | 2,570 | 305 | 299 | 19 | 3,194 | |
Acquisition cost December 31, 2025 | 161,690 | 10,528 | 10,820 | 7,331 | 945 | 191,315 |
Accumulated depreciation, amortization, and impairment January 1, 2025 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Depreciation for the period | -1,354 | -1,722 | -1,044 | -4,119 | ||
Depreciation on disposals | 38 | 38 | ||||
Transfers between items | 7 | -7 | 0 | |||
Impairments | -39,575 | -39,575 | ||||
Exchange rate differences | -895 | -260 | -275 | -1,430 | ||
Accumulated depreciation, amortization, and impairment December 31, 2025 | -40,960 | -7,383 | -8,906 | -4,252 | 0 | -61,500 |
Balance sheet value December 31, 2025 | 120,730 | 3,143 | 1,915 | 3,079 | 945 | 129,812 |
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2024 | 158,033 | 7,424 | 8,415 | 6,806 | 941 | 181,620 |
Business combinations | 2,511 | 2,272 | 4,784 | |||
Additions | 1,729 | 346 | 2,075 | |||
Disposals | -50 | -50 | ||||
Transfers between items | 565 | -150 | -415 | 0 | ||
Exchange rate differences | -1,424 | -163 | -166 | -4 | -1,756 | |
Acquisition cost December 31, 2024 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Accumulated depreciation, amortization, and impairment January 1, 2024 | -4,759 | -4,790 | -2,174 | 0 | -11,723 | |
Depreciation for the period | -983 | -2,238 | -1,049 | -4,270 | ||
Transfers between items | 22 | 22 | ||||
Impairments | -490 | -201 | -691 | |||
Exchange rate differences | 128 | 119 | 247 | |||
Accumulated depreciation, amortization, and impairment December 31, 2024 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Balance sheet value December 31, 2024 | 158,630 | 3,690 | 3,612 | 3,800 | 523 | 170,258 |
3.2.1\tImpairment testing
Accounting policy
The impairment testing is carried out annually, and if there are indications of value possibly being impaired. Furthermore, other assets are tested for impairment if there are indications of any impairment.
If any evidence of impairment is found, the recoverable amount of the said asset is estimated. The recoverable amount is determined on the basis of value in use. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount. The impairment loss is immediately recognized through profit and loss, and the economic useful life of the amortized asset is reassessed when recognizing the impairment loss. The need for recognizing impairment losses is reviewed at the level of cash-generating unit, namely the Sitowise Group. An impairment loss recognized for goodwill is never reversed.
Significant estimates based on management discretion
The preparation of calculations used in testing goodwill for impairment requires making estimates concerning the future. The management\u2019s estimates and related critical uncertainty factors are associated with the components of calculations concerning the recoverable amount, which include discount rate, growth rate after the projection period and development of net sales and operating profit, including the level of the company\u2019s costs. The discount rate indicates current estimates of the time value of money and a relevant risk premium, which, in turn, indicates risks and uncertainty factors not taken into account by adjusting the estimates concerning the corresponding cash flows. The discount rates used and projections of business growth and profitability, including sensitivity analyses, are presented in section 3.2.1.1 below.
3.2.1.1\tImpairment testing of goodwill
The Sitowise Group has one cash-generating unit at the level of which goodwill is monitored and to which goodwill is allocated. Cash flow projections are based on the board of directors' confirmed budget for the next year and the board of directors' confirmed strategic plan for the subsequent years. Market forecast provided by an external parties are also taken into account when making the cash flow projections. The length of the projection period used in impairment testing calculations is five years.
The management\u2019s conservative estimate of long-term cash flow growth has been used in determining the growth in the terminal value. The growth factor used for the terminal value is 2.0% annual growth, corresponding to long-term GDP growth in the market areas in which the Sitowise Group operates. The discount rate of cash flows is determined using the weighted average cost of capital (WACC). The key factors of WACC are risk-free interest rate, market risk premium, industry-specific beta factor, cost of debt, and ratio of equity to liabilities. The table below presents the assumptions by testing dates.
Assumptions used in impairment calculation | 2025 | 2024 |
Growth in net sales during the projection period (CAGR) | 3.7% | 3.9% |
Terminal growth assumption | 2.0% | 2.0% |
Discount rate (pre-tax WACC) | 9.8% | 10.2% |
During the financial year 2025 Sitowise carried out an impairment test, and as a result the company recognized an impairment loss of EUR 39.6 million on consolidated goodwill. The consolidated goodwill was tested as a single unit, and the primary reason for the impairment was the unfavorable market conditions in Sweden.
The impairment of the Group goodwill had no impact on the Group\u2019s adjusted EBITA or cash flow. It is reported in the income statement under \u201cDepreciation, amortization and impairment\u201d.Following the impairment, the carrying amount of the Group\u2019s goodwill was approximately EUR 120.7 million, originating entirely from Sitowise\u2019s Infrastructure, Buildings and Digital Solutions business areas, which as a whole had performed well. As earlier, the goodwill will be tested as one entity.
2.8\tEARNINGS PER SHARE
Accounting policy
Earnings per share is calculated by dividing parent company\u2019s result for its owners with weighted average amount of shares during the financial period. During the financial year Company had several long-term share based incentive programs effective. Shares were taken into account when calculating diluted share result. Diluted share result per share is calculated in same way than non-diluted but by using diluted amount of shares.
EUR thousand | 2025 | 2024 |
Parent company result for the owners | -42,431 | -2,576 |
Average number of shares | 35,845,665 | 35,841,726 |
Earnings per share (EUR) | -1.18 | -0.08 |
Diluted number of shares, average | 37,169,283 | 36,563,915 |
Diluted earnings per share (EUR) | -1.14 | -0.07 |
2.8\tEARNINGS PER SHARE
Accounting policy
Earnings per share is calculated by dividing parent company\u2019s result for its owners with weighted average amount of shares during the financial period. During the financial year Company had several long-term share based incentive programs effective. Shares were taken into account when calculating diluted share result. Diluted share result per share is calculated in same way than non-diluted but by using diluted amount of shares.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForEarningsPerShareExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__53": { "value": "3.1\tBUSINESS COMBINATIONS
Accounting policy
Acquired subsidiaries are consolidated into the consolidated financial statements using the acquisition method. The consideration given in business combinations and the identifiable assets and assumed liabilities of the acquired company are measured at fair value upon acquisition. The consideration given in conjunction with acquisitions includes any funds given, liabilities to the previous owners of the acquiree and issued equity shares.
Any additional purchase price is measured at fair value upon acquisition. The additional purchase price is classified as either equity or a liability. If the additional purchase price is classified as a liability, it is measured at fair value on the closing date of each reporting period. An additional purchase price classified as equity is not remeasured. Information about additional purchase price liabilities is presented in Note 4.2.2.
Non-controlling interest in the acquiree is measured at fair value or at an amount corresponding to the proportional share of the non-controlling interest of the identifiable net assets of the acquiree.
Acquisition-related expenses, such as expert fees, are expensed for the periods during which they occur and services are received.
Mergers and acquisitions have been a central part of the active growth strategy of the Sitowise Group. The mergers and acquisitions have primarily been minor supplementary acquisitions, and each acquisition has had an impact of less than 10% individually on the net sales of the Sitowise Group. The starting point in acquisitions has been to strengthen local expertise and resources. Therefore, the value of the acquisitions is primarily based on skilled personnel, and the majority of it is allocated to goodwill.
In 2025, the Sitowise group did not carry out acquisitions.
The assets and liabilities of the acquired companies mainly include working capital items and separately identified assets related to customer relationships, technology, or non-compete clauses agreed on acquisition. The estimated useful life of the separately identified assets is 5 years. Recognized consolidated goodwill is not deductible for tax purposes whereas goodwill from purchases of businesses is deductible in acquiring company\u2019s taxation. The Sitowise Group has received reasonable information to allocate the acquired assets and is not aware of any changes needed for the made allocations.
EUR thousand | 2025 | 2024 | |||
Purchase price | 0 | 4,954 | |||
Assets | 0 | 2,685 | |||
Liabilities | 0 | 233 | |||
Net assets | 0 | 2,452 | |||
Goodwill | 0 | 2,502 | |||
Acquisitions 2024 | Time of acquisition | Transaction method | Main location | Personnel | Net sales in 2023 EUR million |
Ahlman Group Oy | 1/2024 | Business acquisition | Pori (Finland) | 19 | 2.2 |
Routa Systems Oy | 2/2024 | Share purchase (49%) | Jyv\u00e4skyl\u00e4 (Finland) | - | 0.4 |
KM Project Oy | 4/2024 | Business acquisition | Espoo (Finland) | 1 | 0.2 |
LandPro Oy | 9/2024 | Share purchase (100%) | Espoo (Finland) | 7 | 0.9 |
3.1\tBUSINESS COMBINATIONS
Accounting policy
Acquired subsidiaries are consolidated into the consolidated financial statements using the acquisition method. The consideration given in business combinations and the identifiable assets and assumed liabilities of the acquired company are measured at fair value upon acquisition. The consideration given in conjunction with acquisitions includes any funds given, liabilities to the previous owners of the acquiree and issued equity shares.
Any additional purchase price is measured at fair value upon acquisition. The additional purchase price is classified as either equity or a liability. If the additional purchase price is classified as a liability, it is measured at fair value on the closing date of each reporting period. An additional purchase price classified as equity is not remeasured. Information about additional purchase price liabilities is presented in Note 4.2.2.
Non-controlling interest in the acquiree is measured at fair value or at an amount corresponding to the proportional share of the non-controlling interest of the identifiable net assets of the acquiree.
Acquisition-related expenses, such as expert fees, are expensed for the periods during which they occur and services are received.
Mergers and acquisitions have been a central part of the active growth strategy of the Sitowise Group. The mergers and acquisitions have primarily been minor supplementary acquisitions, and each acquisition has had an impact of less than 10% individually on the net sales of the Sitowise Group. The starting point in acquisitions has been to strengthen local expertise and resources. Therefore, the value of the acquisitions is primarily based on skilled personnel, and the majority of it is allocated to goodwill.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForBusinessCombinationsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__55": { "value": "3.1\tBUSINESS COMBINATIONS
Accounting policy
Acquired subsidiaries are consolidated into the consolidated financial statements using the acquisition method. The consideration given in business combinations and the identifiable assets and assumed liabilities of the acquired company are measured at fair value upon acquisition. The consideration given in conjunction with acquisitions includes any funds given, liabilities to the previous owners of the acquiree and issued equity shares.
Any additional purchase price is measured at fair value upon acquisition. The additional purchase price is classified as either equity or a liability. If the additional purchase price is classified as a liability, it is measured at fair value on the closing date of each reporting period. An additional purchase price classified as equity is not remeasured. Information about additional purchase price liabilities is presented in Note 4.2.2.
Non-controlling interest in the acquiree is measured at fair value or at an amount corresponding to the proportional share of the non-controlling interest of the identifiable net assets of the acquiree.
Acquisition-related expenses, such as expert fees, are expensed for the periods during which they occur and services are received.
Mergers and acquisitions have been a central part of the active growth strategy of the Sitowise Group. The mergers and acquisitions have primarily been minor supplementary acquisitions, and each acquisition has had an impact of less than 10% individually on the net sales of the Sitowise Group. The starting point in acquisitions has been to strengthen local expertise and resources. Therefore, the value of the acquisitions is primarily based on skilled personnel, and the majority of it is allocated to goodwill.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForBusinessCombinationsAndGoodwillExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__56": { "value": "3.2\tGOODWILL AND INTANGIBLE ASSETS
Accounting policy
Goodwill is recognized on the balance sheet less any accumulated impairment losses. Goodwill is not amortized. Intangible assets are recognized at cost less amortization using the straight-line method over their economic useful lives. Intangible assets include intangible rights and intangible assets.
Goodwill
Goodwill from the acquisition of business operations is recognized at the amount by which the consideration given, non-controlling interest, and any previous holding in the acquiree combined exceed the Group\u2019s share of the fair value of the acquired net assets. Goodwill is recognized on the balance sheet less any accumulated impairment losses. Goodwill is not amortized but tested annually for any impairment. An impairment loss recognized for goodwill is never reversed.
For impairment testing, goodwill is tested as a whole. The impairment of goodwill is described in Note 3.2.1, Impairment testing.
Intangible assets
Intangible assets include intangible rights and intangible assets. Intangible assets, such as system deliveries, which have a limited economic useful life, are recognized on the balance sheet at original acquisition cost less accumulated amortization and any impairment. Intangible assets also include products developed for customer needs, for which own or subcontractors' work has been capitalized and from which revenues are expected in the future.
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives.
The Sitowise Group assesses on the closing date of each financial period whether there are indications of the impairment of intangible assets. If indications emerge, the Group assesses the recoverable amount from the said asset. The recoverable amount is the fair value of the asset less the higher of costs of selling or value in use. An impairment loss is recognized through profit and loss when the book value of the asset exceeds the recoverable amount. When recognizing the impairment loss, the Group reassesses the economic useful life of the intangible asset. The impairment loss is reversed if a change has taken place in the circumstances and the recoverable amount of the asset has changed from the time of recognizing the impairment loss. However, the impairment loss will not be reversed in excess of the book value of the asset had the impairment loss not been recognized.
Significant estimates based on management judgment
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives. The management has estimated the economic useful life of technology to be 5 years and the economic useful life of customer relationships to be 5 years.
Section 3.2.1.1, Business combinations, discusses the treatment of goodwill. During the 2025 financial period, the Sitowise Group did not carry out acquisitions.
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2025 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Business combinations | 0 | |||||
Additions | 722 | 242 | 788 | 1,751 | ||
Disposals | -38 | -38 | ||||
Transfers between items | 34 | 89 | -385 | -262 | ||
Impairments | 0 | |||||
Exchange rate differences | 2,570 | 305 | 299 | 19 | 3,194 | |
Acquisition cost December 31, 2025 | 161,690 | 10,528 | 10,820 | 7,331 | 945 | 191,315 |
Accumulated depreciation, amortization, and impairment January 1, 2025 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Depreciation for the period | -1,354 | -1,722 | -1,044 | -4,119 | ||
Depreciation on disposals | 38 | 38 | ||||
Transfers between items | 7 | -7 | 0 | |||
Impairments | -39,575 | -39,575 | ||||
Exchange rate differences | -895 | -260 | -275 | -1,430 | ||
Accumulated depreciation, amortization, and impairment December 31, 2025 | -40,960 | -7,383 | -8,906 | -4,252 | 0 | -61,500 |
Balance sheet value December 31, 2025 | 120,730 | 3,143 | 1,915 | 3,079 | 945 | 129,812 |
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2024 | 158,033 | 7,424 | 8,415 | 6,806 | 941 | 181,620 |
Business combinations | 2,511 | 2,272 | 4,784 | |||
Additions | 1,729 | 346 | 2,075 | |||
Disposals | -50 | -50 | ||||
Transfers between items | 565 | -150 | -415 | 0 | ||
Exchange rate differences | -1,424 | -163 | -166 | -4 | -1,756 | |
Acquisition cost December 31, 2024 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Accumulated depreciation, amortization, and impairment January 1, 2024 | -4,759 | -4,790 | -2,174 | 0 | -11,723 | |
Depreciation for the period | -983 | -2,238 | -1,049 | -4,270 | ||
Transfers between items | 22 | 22 | ||||
Impairments | -490 | -201 | -691 | |||
Exchange rate differences | 128 | 119 | 247 | |||
Accumulated depreciation, amortization, and impairment December 31, 2024 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Balance sheet value December 31, 2024 | 158,630 | 3,690 | 3,612 | 3,800 | 523 | 170,258 |
3.2.1\tImpairment testing
Accounting policy
The impairment testing is carried out annually, and if there are indications of value possibly being impaired. Furthermore, other assets are tested for impairment if there are indications of any impairment.
If any evidence of impairment is found, the recoverable amount of the said asset is estimated. The recoverable amount is determined on the basis of value in use. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount. The impairment loss is immediately recognized through profit and loss, and the economic useful life of the amortized asset is reassessed when recognizing the impairment loss. The need for recognizing impairment losses is reviewed at the level of cash-generating unit, namely the Sitowise Group. An impairment loss recognized for goodwill is never reversed.
Significant estimates based on management discretion
The preparation of calculations used in testing goodwill for impairment requires making estimates concerning the future. The management\u2019s estimates and related critical uncertainty factors are associated with the components of calculations concerning the recoverable amount, which include discount rate, growth rate after the projection period and development of net sales and operating profit, including the level of the company\u2019s costs. The discount rate indicates current estimates of the time value of money and a relevant risk premium, which, in turn, indicates risks and uncertainty factors not taken into account by adjusting the estimates concerning the corresponding cash flows. The discount rates used and projections of business growth and profitability, including sensitivity analyses, are presented in section 3.2.1.1 below.
3.2.1.1\tImpairment testing of goodwill
The Sitowise Group has one cash-generating unit at the level of which goodwill is monitored and to which goodwill is allocated. Cash flow projections are based on the board of directors' confirmed budget for the next year and the board of directors' confirmed strategic plan for the subsequent years. Market forecast provided by an external parties are also taken into account when making the cash flow projections. The length of the projection period used in impairment testing calculations is five years.
The management\u2019s conservative estimate of long-term cash flow growth has been used in determining the growth in the terminal value. The growth factor used for the terminal value is 2.0% annual growth, corresponding to long-term GDP growth in the market areas in which the Sitowise Group operates. The discount rate of cash flows is determined using the weighted average cost of capital (WACC). The key factors of WACC are risk-free interest rate, market risk premium, industry-specific beta factor, cost of debt, and ratio of equity to liabilities. The table below presents the assumptions by testing dates.
Assumptions used in impairment calculation | 2025 | 2024 |
Growth in net sales during the projection period (CAGR) | 3.7% | 3.9% |
Terminal growth assumption | 2.0% | 2.0% |
Discount rate (pre-tax WACC) | 9.8% | 10.2% |
During the financial year 2025 Sitowise carried out an impairment test, and as a result the company recognized an impairment loss of EUR 39.6 million on consolidated goodwill. The consolidated goodwill was tested as a single unit, and the primary reason for the impairment was the unfavorable market conditions in Sweden.
The impairment of the Group goodwill had no impact on the Group\u2019s adjusted EBITA or cash flow. It is reported in the income statement under \u201cDepreciation, amortization and impairment\u201d.Following the impairment, the carrying amount of the Group\u2019s goodwill was approximately EUR 120.7 million, originating entirely from Sitowise\u2019s Infrastructure, Buildings and Digital Solutions business areas, which as a whole had performed well. As earlier, the goodwill will be tested as one entity.
3.2\tGOODWILL AND INTANGIBLE ASSETS
Accounting policy
Goodwill is recognized on the balance sheet less any accumulated impairment losses. Goodwill is not amortized. Intangible assets are recognized at cost less amortization using the straight-line method over their economic useful lives. Intangible assets include intangible rights and intangible assets.
Goodwill
Goodwill from the acquisition of business operations is recognized at the amount by which the consideration given, non-controlling interest, and any previous holding in the acquiree combined exceed the Group\u2019s share of the fair value of the acquired net assets. Goodwill is recognized on the balance sheet less any accumulated impairment losses. Goodwill is not amortized but tested annually for any impairment. An impairment loss recognized for goodwill is never reversed.
For impairment testing, goodwill is tested as a whole. The impairment of goodwill is described in Note 3.2.1, Impairment testing.
Intangible assets
Intangible assets include intangible rights and intangible assets. Intangible assets, such as system deliveries, which have a limited economic useful life, are recognized on the balance sheet at original acquisition cost less accumulated amortization and any impairment. Intangible assets also include products developed for customer needs, for which own or subcontractors' work has been capitalized and from which revenues are expected in the future.
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives.
The Sitowise Group assesses on the closing date of each financial period whether there are indications of the impairment of intangible assets. If indications emerge, the Group assesses the recoverable amount from the said asset. The recoverable amount is the fair value of the asset less the higher of costs of selling or value in use. An impairment loss is recognized through profit and loss when the book value of the asset exceeds the recoverable amount. When recognizing the impairment loss, the Group reassesses the economic useful life of the intangible asset. The impairment loss is reversed if a change has taken place in the circumstances and the recoverable amount of the asset has changed from the time of recognizing the impairment loss. However, the impairment loss will not be reversed in excess of the book value of the asset had the impairment loss not been recognized.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForIntangibleAssetsAndGoodwillExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__59": { "value": "Intangible assets
Intangible assets include intangible rights and intangible assets. Intangible assets, such as system deliveries, which have a limited economic useful life, are recognized on the balance sheet at original acquisition cost less accumulated amortization and any impairment. Intangible assets also include products developed for customer needs, for which own or subcontractors' work has been capitalized and from which revenues are expected in the future.
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives.
The Sitowise Group assesses on the closing date of each financial period whether there are indications of the impairment of intangible assets. If indications emerge, the Group assesses the recoverable amount from the said asset. The recoverable amount is the fair value of the asset less the higher of costs of selling or value in use. An impairment loss is recognized through profit and loss when the book value of the asset exceeds the recoverable amount. When recognizing the impairment loss, the Group reassesses the economic useful life of the intangible asset. The impairment loss is reversed if a change has taken place in the circumstances and the recoverable amount of the asset has changed from the time of recognizing the impairment loss. However, the impairment loss will not be reversed in excess of the book value of the asset had the impairment loss not been recognized.
Significant estimates based on management judgment
Technology, customer relationships, and non-compete clauses owned by the Sitowise Group have been acquired in conjunction with previous mergers and acquisitions, and they were initially recognized on the balance sheet at fair value and are amortized using the straightline method over their estimated economic useful lives. The management has estimated the economic useful life of technology to be 5 years and the economic useful life of customer relationships to be 5 years.
Section 3.2.1.1, Business combinations, discusses the treatment of goodwill. During the 2025 financial period, the Sitowise Group did not carry out acquisitions.
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2025 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Business combinations | 0 | |||||
Additions | 722 | 242 | 788 | 1,751 | ||
Disposals | -38 | -38 | ||||
Transfers between items | 34 | 89 | -385 | -262 | ||
Impairments | 0 | |||||
Exchange rate differences | 2,570 | 305 | 299 | 19 | 3,194 | |
Acquisition cost December 31, 2025 | 161,690 | 10,528 | 10,820 | 7,331 | 945 | 191,315 |
Accumulated depreciation, amortization, and impairment January 1, 2025 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Depreciation for the period | -1,354 | -1,722 | -1,044 | -4,119 | ||
Depreciation on disposals | 38 | 38 | ||||
Transfers between items | 7 | -7 | 0 | |||
Impairments | -39,575 | -39,575 | ||||
Exchange rate differences | -895 | -260 | -275 | -1,430 | ||
Accumulated depreciation, amortization, and impairment December 31, 2025 | -40,960 | -7,383 | -8,906 | -4,252 | 0 | -61,500 |
Balance sheet value December 31, 2025 | 120,730 | 3,143 | 1,915 | 3,079 | 945 | 129,812 |
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2024 | 158,033 | 7,424 | 8,415 | 6,806 | 941 | 181,620 |
Business combinations | 2,511 | 2,272 | 4,784 | |||
Additions | 1,729 | 346 | 2,075 | |||
Disposals | -50 | -50 | ||||
Transfers between items | 565 | -150 | -415 | 0 | ||
Exchange rate differences | -1,424 | -163 | -166 | -4 | -1,756 | |
Acquisition cost December 31, 2024 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Accumulated depreciation, amortization, and impairment January 1, 2024 | -4,759 | -4,790 | -2,174 | 0 | -11,723 | |
Depreciation for the period | -983 | -2,238 | -1,049 | -4,270 | ||
Transfers between items | 22 | 22 | ||||
Impairments | -490 | -201 | -691 | |||
Exchange rate differences | 128 | 119 | 247 | |||
Accumulated depreciation, amortization, and impairment December 31, 2024 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Balance sheet value December 31, 2024 | 158,630 | 3,690 | 3,612 | 3,800 | 523 | 170,258 |
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2025 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Business combinations | 0 | |||||
Additions | 722 | 242 | 788 | 1,751 | ||
Disposals | -38 | -38 | ||||
Transfers between items | 34 | 89 | -385 | -262 | ||
Impairments | 0 | |||||
Exchange rate differences | 2,570 | 305 | 299 | 19 | 3,194 | |
Acquisition cost December 31, 2025 | 161,690 | 10,528 | 10,820 | 7,331 | 945 | 191,315 |
Accumulated depreciation, amortization, and impairment January 1, 2025 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Depreciation for the period | -1,354 | -1,722 | -1,044 | -4,119 | ||
Depreciation on disposals | 38 | 38 | ||||
Transfers between items | 7 | -7 | 0 | |||
Impairments | -39,575 | -39,575 | ||||
Exchange rate differences | -895 | -260 | -275 | -1,430 | ||
Accumulated depreciation, amortization, and impairment December 31, 2025 | -40,960 | -7,383 | -8,906 | -4,252 | 0 | -61,500 |
Balance sheet value December 31, 2025 | 120,730 | 3,143 | 1,915 | 3,079 | 945 | 129,812 |
EUR thousand | Goodwill | Capitalized development expenditure | Intangible assets capitalized on acquisition | Software | Prepaymentsfor intangible assets | Total |
Acquisition cost January 1, 2024 | 158,033 | 7,424 | 8,415 | 6,806 | 941 | 181,620 |
Business combinations | 2,511 | 2,272 | 4,784 | |||
Additions | 1,729 | 346 | 2,075 | |||
Disposals | -50 | -50 | ||||
Transfers between items | 565 | -150 | -415 | 0 | ||
Exchange rate differences | -1,424 | -163 | -166 | -4 | -1,756 | |
Acquisition cost December 31, 2024 | 159,120 | 9,505 | 10,521 | 7,001 | 523 | 186,671 |
Accumulated depreciation, amortization, and impairment January 1, 2024 | -4,759 | -4,790 | -2,174 | 0 | -11,723 | |
Depreciation for the period | -983 | -2,238 | -1,049 | -4,270 | ||
Transfers between items | 22 | 22 | ||||
Impairments | -490 | -201 | -691 | |||
Exchange rate differences | 128 | 119 | 247 | |||
Accumulated depreciation, amortization, and impairment December 31, 2024 | -490 | -5,815 | -6,909 | -3,201 | 0 | -16,414 |
Balance sheet value December 31, 2024 | 158,630 | 3,690 | 3,612 | 3,800 | 523 | 170,258 |
3.2.1\tImpairment testing
Accounting policy
The impairment testing is carried out annually, and if there are indications of value possibly being impaired. Furthermore, other assets are tested for impairment if there are indications of any impairment.
If any evidence of impairment is found, the recoverable amount of the said asset is estimated. The recoverable amount is determined on the basis of value in use. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount. The impairment loss is immediately recognized through profit and loss, and the economic useful life of the amortized asset is reassessed when recognizing the impairment loss. The need for recognizing impairment losses is reviewed at the level of cash-generating unit, namely the Sitowise Group. An impairment loss recognized for goodwill is never reversed.
Significant estimates based on management discretion
The preparation of calculations used in testing goodwill for impairment requires making estimates concerning the future. The management\u2019s estimates and related critical uncertainty factors are associated with the components of calculations concerning the recoverable amount, which include discount rate, growth rate after the projection period and development of net sales and operating profit, including the level of the company\u2019s costs. The discount rate indicates current estimates of the time value of money and a relevant risk premium, which, in turn, indicates risks and uncertainty factors not taken into account by adjusting the estimates concerning the corresponding cash flows. The discount rates used and projections of business growth and profitability, including sensitivity analyses, are presented in section 3.2.1.1 below.
3.2.1.1\tImpairment testing of goodwill
The Sitowise Group has one cash-generating unit at the level of which goodwill is monitored and to which goodwill is allocated. Cash flow projections are based on the board of directors' confirmed budget for the next year and the board of directors' confirmed strategic plan for the subsequent years. Market forecast provided by an external parties are also taken into account when making the cash flow projections. The length of the projection period used in impairment testing calculations is five years.
The management\u2019s conservative estimate of long-term cash flow growth has been used in determining the growth in the terminal value. The growth factor used for the terminal value is 2.0% annual growth, corresponding to long-term GDP growth in the market areas in which the Sitowise Group operates. The discount rate of cash flows is determined using the weighted average cost of capital (WACC). The key factors of WACC are risk-free interest rate, market risk premium, industry-specific beta factor, cost of debt, and ratio of equity to liabilities. The table below presents the assumptions by testing dates.
Assumptions used in impairment calculation | 2025 | 2024 |
Growth in net sales during the projection period (CAGR) | 3.7% | 3.9% |
Terminal growth assumption | 2.0% | 2.0% |
Discount rate (pre-tax WACC) | 9.8% | 10.2% |
During the financial year 2025 Sitowise carried out an impairment test, and as a result the company recognized an impairment loss of EUR 39.6 million on consolidated goodwill. The consolidated goodwill was tested as a single unit, and the primary reason for the impairment was the unfavorable market conditions in Sweden.
The impairment of the Group goodwill had no impact on the Group\u2019s adjusted EBITA or cash flow. It is reported in the income statement under \u201cDepreciation, amortization and impairment\u201d.Following the impairment, the carrying amount of the Group\u2019s goodwill was approximately EUR 120.7 million, originating entirely from Sitowise\u2019s Infrastructure, Buildings and Digital Solutions business areas, which as a whole had performed well. As earlier, the goodwill will be tested as one entity.
3.2.1\tImpairment testing
Accounting policy
The impairment testing is carried out annually, and if there are indications of value possibly being impaired. Furthermore, other assets are tested for impairment if there are indications of any impairment.
If any evidence of impairment is found, the recoverable amount of the said asset is estimated. The recoverable amount is determined on the basis of value in use. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount. The impairment loss is immediately recognized through profit and loss, and the economic useful life of the amortized asset is reassessed when recognizing the impairment loss. The need for recognizing impairment losses is reviewed at the level of cash-generating unit, namely the Sitowise Group. An impairment loss recognized for goodwill is never reversed.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForImpairmentOfFinancialAssetsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__63": { "value": "3.2.1\tImpairment testing
Accounting policy
The impairment testing is carried out annually, and if there are indications of value possibly being impaired. Furthermore, other assets are tested for impairment if there are indications of any impairment.
If any evidence of impairment is found, the recoverable amount of the said asset is estimated. The recoverable amount is determined on the basis of value in use. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount. The impairment loss is immediately recognized through profit and loss, and the economic useful life of the amortized asset is reassessed when recognizing the impairment loss. The need for recognizing impairment losses is reviewed at the level of cash-generating unit, namely the Sitowise Group. An impairment loss recognized for goodwill is never reversed.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForImpairmentOfNonfinancialAssetsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__64": { "value": "3.2.1\tImpairment testing
Accounting policy
The impairment testing is carried out annually, and if there are indications of value possibly being impaired. Furthermore, other assets are tested for impairment if there are indications of any impairment.
If any evidence of impairment is found, the recoverable amount of the said asset is estimated. The recoverable amount is determined on the basis of value in use. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount. The impairment loss is immediately recognized through profit and loss, and the economic useful life of the amortized asset is reassessed when recognizing the impairment loss. The need for recognizing impairment losses is reviewed at the level of cash-generating unit, namely the Sitowise Group. An impairment loss recognized for goodwill is never reversed.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForImpairmentOfAssetsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__66": { "value": "3.3\tTANGIBLE ASSETS
3.3.1 Property, plant and equipment
Accounting policy
Tangible assets primarily comprise office furniture, IT hardware, and other tools. Property, plant, and equipment is measured at original acquisition cost less accumulated amortization and any impairment.
The Group assesses on the closing date of each reporting period whether there are indications of the impairment of a tangible asset. If indications emerge, the Group assesses the recoverable amount from the said asset. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount.
EUR thousand | Machinery and equipment | Total |
Acquisition cost January 1, 2025 | 9,217 | 9,217 |
Additions | 594 | 594 |
Disposals | -425 | -425 |
Exchange rate differences | 60 | 60 |
Acquisition cost December 31, 2025 | 9,446 | 9,446 |
Accumulated depreciation, amortization, and impairment January 1, 2025 | -6,847 | -6,847 |
Depreciation for the period | -885 | -885 |
Adjustment of accumulated depreciation and acquisition cost | 413 | 413 |
Impairments | -83 | -83 |
Exchange rate differences | -41 | -41 |
Accumulated depreciation, amortization, and impairment December 31, 2025 | -7,443 | -7,443 |
Balance sheet value December 31, 2025 | 2,004 | 2,004 |
EUR thousand | Machinery and equipment | Total |
Acquisition cost January 1, 2024 | 9,107 | 9,107 |
Additions | 650 | 650 |
Disposals | -504 | -504 |
Exchange rate differences | -36 | -36 |
Acquisition cost December 31, 2024 | 9,217 | 9,217 |
Accumulated depreciation, amortization, and impairment January 1, 2024 | -6,211 | -6,211 |
Depreciation for the period | -1,141 | -1,141 |
Adjustment of accumulated depreciation and acquisition cost | 480 | 480 |
Exchange rate differences | 25 | 25 |
Accumulated depreciation, amortization, and impairment December 31, 2024 | -6,847 | -6,847 |
Balance sheet value December 31, 2024 | 2,370 | 2,370 |
3.3\tTANGIBLE ASSETS
3.3.1 Property, plant and equipment
Accounting policy
Tangible assets primarily comprise office furniture, IT hardware, and other tools. Property, plant, and equipment is measured at original acquisition cost less accumulated amortization and any impairment.
The Group assesses on the closing date of each reporting period whether there are indications of the impairment of a tangible asset. If indications emerge, the Group assesses the recoverable amount from the said asset. An impairment loss is recognized when the book value of the asset exceeds the recoverable amount.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForPropertyPlantAndEquipmentExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__68": { "value": "3.3.2\tLeases
Accounting policy
As a rule, the Sitowise Group recognizes all lease-related assets (right-of-use assets) and lease liabilities on its balance sheet. At the time of concluding a contract, the Sitowise Group assesses whether the contract is a lease or includes a lease. The contract is a lease or includes a lease if the contract gives the right to control the use of a specific asset for a fixed period against consideration.
A right-of-use asset and a corresponding liability are recognized for all of the lessees\u2019 leases, with the exception of short-term leases as well as leases of low value. The right-of-use asset is measured at acquisition cost at the start of the contract and later at acquisition cost less accumulated depreciation and amortization and any impairment losses, adjusted for the impact of any reassessments of the lease liability. Depreciation of right-of-use assets is recognized from the beginning of the contract over the whole contract period. At the commencement date, a lessee shall measure the lease liability at the present value of the lease payments that are not paid at that date. Later, the lease liability is measured at amortized cost using the effective interest method. The lease liability is remeasured when a change has taken place in the future rent payments due to a change in the index or price level. When the lease liability is remeasured in this way, a corresponding adjustment is made to the book value of the right-of-use asset, or it is recognized through profit or loss if the book value of the right-of-use asset has been reduced to zero.
At the Sitowise Group, right-of-use assets include the premises and vehicles leased under ordinary terms and conditions. The Group applies the IFRS 16 low-value asset exemption and does not recognize leases of low value (below EUR 5,000). In addition, the Group does not recognize leases related to intangible assets.. The discount rate used is the interest rate of the company\u2019s additional credit, the components of which include the market interest rate and the financial institution\u2019s margin. The lease term is considered when determining the interest rate.
Significant estimates based on management discretion
The management of the Sitowise Group regularly reviews the strategic value of locations. This influences the IFRS 16 interpretation regarding for how long the Group is likely to extend a lease on premises until further notice, for example.
EUR thousand | IFRS 16,Business Premises | IFRS 16, Cars | IFRS 16 right-of-use assets |
Acquisition cost January 1, 2025 | 59,013 | 4,710 | 63,723 |
Additions | 8,184 | 877 | 9,061 |
Disposals | -5,208 | -280 | -5,488 |
Exchange rate differences | 684 | 48 | 732 |
Acquisition cost December 31, 2025 | 62,674 | 5,354 | 68,027 |
Accumulated depreciation, amortization, and impairment January 1, 2025 | -37,371 | -3,386 | -40,757 |
Depreciation for the period | -6,440 | -681 | -7,121 |
Depreciation on disposals | 4,556 | 163 | 4,719 |
Exchange rate differences | -424 | -38 | -462 |
Accumulated depreciation, amortization, and impairment December 31, 2025 | -39,679 | -3,941 | -43,620 |
Balance sheet value December 31, 2025 | 22,995 | 1,413 | 24,408 |
EUR thousand | IFRS 16,Business Premises | IFRS 16, Cars | IFRS 16 right-of-use assets |
Acquisition cost January 1, 2024 | 56,257 | 4,065 | 60,322 |
Additions | 5,665 | 785 | 6,450 |
Disposals | -2,579 | -118 | -2,696 |
Exchange rate differences | -330 | -23 | -353 |
Acquisition cost December 31, 2024 | 59,013 | 4,710 | 63,723 |
Accumulated depreciation, amortization, and impairment January 1, 2024 | -31,143 | -2,775 | -33,918 |
Depreciation for the period | -6,431 | -627 | -7,058 |
Exchange rate differences | 203 | 17 | 219 |
Accumulated depreciation, amortization, and impairment December 31, 2024 | -37,371 | -3,386 | -40,757 |
Balance sheet value December 31, 2024 | 21,643 | 1,324 | 22,967 |
During the financial period, outgoing cash flow due to leases totaled EUR 6.8 (6.8) million.
Rent expenses from short-term contracts are included in other operating expenses, amounting to EUR 2,148 (3,593) thousand.
Rent expenses from low-value assets were EUR 1,377 (1,491) thousand.
The interest expense on the lease liability was EUR 1.6 (1.2) million.
3.3.2\tLeases
Accounting policy
As a rule, the Sitowise Group recognizes all lease-related assets (right-of-use assets) and lease liabilities on its balance sheet. At the time of concluding a contract, the Sitowise Group assesses whether the contract is a lease or includes a lease. The contract is a lease or includes a lease if the contract gives the right to control the use of a specific asset for a fixed period against consideration.
A right-of-use asset and a corresponding liability are recognized for all of the lessees\u2019 leases, with the exception of short-term leases as well as leases of low value. The right-of-use asset is measured at acquisition cost at the start of the contract and later at acquisition cost less accumulated depreciation and amortization and any impairment losses, adjusted for the impact of any reassessments of the lease liability. Depreciation of right-of-use assets is recognized from the beginning of the contract over the whole contract period. At the commencement date, a lessee shall measure the lease liability at the present value of the lease payments that are not paid at that date. Later, the lease liability is measured at amortized cost using the effective interest method. The lease liability is remeasured when a change has taken place in the future rent payments due to a change in the index or price level. When the lease liability is remeasured in this way, a corresponding adjustment is made to the book value of the right-of-use asset, or it is recognized through profit or loss if the book value of the right-of-use asset has been reduced to zero.
At the Sitowise Group, right-of-use assets include the premises and vehicles leased under ordinary terms and conditions. The Group applies the IFRS 16 low-value asset exemption and does not recognize leases of low value (below EUR 5,000). In addition, the Group does not recognize leases related to intangible assets.. The discount rate used is the interest rate of the company\u2019s additional credit, the components of which include the market interest rate and the financial institution\u2019s margin. The lease term is considered when determining the interest rate.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForLeasesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__71": { "value": "3.4\tTRADE AND OTHER RECEIVABLES
Accounting policy
The Sitowise Group applies the simplified approach of IFRS9 to provisions for credit losses for trade receivables. Trade receivables are recognized on the balance sheet at original invoiced value less any impairment. A provision for impairment is immediately recognized through profit and loss. An allowance for loss is based on the expected credit losses from trade receivables. The model of expected credit losses is forward-looking and based on the historic credit loss rate, applying the simplified procedure, the provisioning matrix. The Sitowise Group records the final credit loss when debt collection measures prove to be unsuccessful. As a main rule a final credit loss is recognized, when a credit loss recommendation has been received from the debt collection agency or the debtor applies for restructuring or bankruptcy.
During 2025, sales receivables and project receivables slightly decreased primarily due to a decline in business volume compared to the previous year. There are no significant credit risk concentrations associated with the receivables, and all receivables are unsecured.
EUR thousand | 2025 | 2024 |
Trade receivables | 31,312 | 31,999 |
Contract assets | 12,976 | 14,887 |
Accrued income | 3,557 | 3,608 |
Other accrued income | 213 | 230 |
Total | 48,058 | 50,724 |
Aging of trade receivables
EUR thousand | 2025 | Expected credit losses | Expected credit losses |
Undue | 29,363 | 0.01% | 2 |
0\u201329 days | 1,174 | 0.1% | 1 |
30\u201359 days | 221 | 1.0% | 2 |
60\u2013119 days | 235 | 4.0% | 9 |
120\u2013365 days | 356 | 6.3% | 22 |
Over 365 days | 285 | 100.0% | 285 |
Total | 31,634 | 322 | |
EUR thousand | 2024 | Expected credit losses | Expected credit losses |
Undue | 28,140 | 0.01% | 2 |
0\u201329 days | 3,024 | 0.1% | 3 |
30\u201359 days | 209 | 1.0% | 2 |
60\u2013119 days | 157 | 4.0% | 6 |
120\u2013365 days | 536 | 6.3% | 34 |
Over 365 days | 282 | 100.0% | 282 |
Total | 32,348 | 329 |
Provisions for impairment related to trade receivables are based on historic data concerning materialized credit losses and on an estimate of potential future credit losses. The expected credit losses are fully covered by the provisions.
3.4\tTRADE AND OTHER RECEIVABLES
Accounting policy
The Sitowise Group applies the simplified approach of IFRS9 to provisions for credit losses for trade receivables. Trade receivables are recognized on the balance sheet at original invoiced value less any impairment. A provision for impairment is immediately recognized through profit and loss. An allowance for loss is based on the expected credit losses from trade receivables. The model of expected credit losses is forward-looking and based on the historic credit loss rate, applying the simplified procedure, the provisioning matrix. The Sitowise Group records the final credit loss when debt collection measures prove to be unsuccessful. As a main rule a final credit loss is recognized, when a credit loss recommendation has been received from the debt collection agency or the debtor applies for restructuring or bankruptcy.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForTradeAndOtherReceivablesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__72": { "value": "Aging of trade receivables
EUR thousand | 2025 | Expected credit losses | Expected credit losses |
Undue | 29,363 | 0.01% | 2 |
0\u201329 days | 1,174 | 0.1% | 1 |
30\u201359 days | 221 | 1.0% | 2 |
60\u2013119 days | 235 | 4.0% | 9 |
120\u2013365 days | 356 | 6.3% | 22 |
Over 365 days | 285 | 100.0% | 285 |
Total | 31,634 | 322 | |
EUR thousand | 2024 | Expected credit losses | Expected credit losses |
Undue | 28,140 | 0.01% | 2 |
0\u201329 days | 3,024 | 0.1% | 3 |
30\u201359 days | 209 | 1.0% | 2 |
60\u2013119 days | 157 | 4.0% | 6 |
120\u2013365 days | 536 | 6.3% | 34 |
Over 365 days | 282 | 100.0% | 282 |
Total | 32,348 | 329 |
Provisions for impairment related to trade receivables are based on historic data concerning materialized credit losses and on an estimate of potential future credit losses. The expected credit losses are fully covered by the provisions.
", "dimensions": { "concept": "ifrs-full:DisclosureOfAllowanceForCreditLossesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__74": { "value": "3.5\tPROVISIONS
Accounting policy
A provision is recognized when the Group has a legal or factual obligation as the result of a prior event, the materialization of the obligation is likely, and the amount of the obligation can be reliably measured. The amount recognized as a provision is the current value of the expenses which fulfilling the obligation is expected to require at the end of the financial period based on the management\u2019s best estimate. If compensation for part of the obligation can be recovered from a third party, the compensation is deducted from the provision, but only when it is likely that the compensation will be received. A provision is recognized only if the amount of the obligation can be reliably measured.
At the time of recognition, the management must assess whether there is an obligation that is likely to materialize as well as its amount and time of materialization.
A provision is recognized for loss-making contracts when the expenses required to fulfill obligations exceed the benefits from the contract. The loss provision is decreased pro rata to the recognition of revenue from the loss-making contract.
EUR thousand | 2025 | 2024 |
Provisions January 1 | 345 | 330 |
Increases in provisions | 1,665 | 336 |
Provisions used | -322 | -321 |
Cancellations of unused provisions | -195 | 0 |
Provisions December 31 | 1,493 | 345 |
Provisions include normal business-related complaint and loss provisions.
3.5\tPROVISIONS
Accounting policy
A provision is recognized when the Group has a legal or factual obligation as the result of a prior event, the materialization of the obligation is likely, and the amount of the obligation can be reliably measured. The amount recognized as a provision is the current value of the expenses which fulfilling the obligation is expected to require at the end of the financial period based on the management\u2019s best estimate. If compensation for part of the obligation can be recovered from a third party, the compensation is deducted from the provision, but only when it is likely that the compensation will be received. A provision is recognized only if the amount of the obligation can be reliably measured.
At the time of recognition, the management must assess whether there is an obligation that is likely to materialize as well as its amount and time of materialization.
A provision is recognized for loss-making contracts when the expenses required to fulfill obligations exceed the benefits from the contract. The loss provision is decreased pro rata to the recognition of revenue from the loss-making contract.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForProvisionsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__76": { "value": "3.6\tACCOUNTS PAYABLE AND OTHER LIABILITIES
EUR thousand | 2025 | 2024 |
Trade payable | 8,651 | 7,229 |
Liabilities based on contracts with customers | 11,058 | 11,138 |
Accrued expenses | 24,597 | 25,792 |
Other liabilities | 11,243 | 11,382 |
Total | 55,549 | 55,541 |
Accrued expenses
EUR thousand | 2025 | 2024 |
Employee-related | 22,730 | 23,129 |
Other accrued expenses | 1,868 | 2,635 |
Total | 24,597 | 25,764 |
Liabilities based on customer contracts include both the difference between net sales based on the percentage of completion and invoicing, and ordinary provisions for costs relating to customer projects.
4.1\tFINANCIAL INCOME AND EXPENSES
EUR thousand | 2025 | 2024 |
Dividend income | 0 | 2 |
Other interest and financial income | 514 | 388 |
Interest on lease liabilities | -1,601 | -1,199 |
Interest expenses | -4,489 | -4,366 |
Other financial expenses | -324 | -674 |
Total | -5,900 | -5,849 |
Interest expenses are associated with loans from financial institutions. The interest expenses have remained almost at the same level as in the previous reporting period. The slight increase has resulted mainly from changes in loan margins.
", "dimensions": { "concept": "ifrs-full:DisclosureOfFinanceIncomeExpenseExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__78": { "value": "4.1\tFINANCIAL INCOME AND EXPENSES
EUR thousand | 2025 | 2024 |
Dividend income | 0 | 2 |
Other interest and financial income | 514 | 388 |
Interest on lease liabilities | -1,601 | -1,199 |
Interest expenses | -4,489 | -4,366 |
Other financial expenses | -324 | -674 |
Total | -5,900 | -5,849 |
Interest expenses are associated with loans from financial institutions. The interest expenses have remained almost at the same level as in the previous reporting period. The slight increase has resulted mainly from changes in loan margins.
", "dimensions": { "concept": "ifrs-full:DisclosureOfFinanceCostExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__79": { "value": "4.1\tFINANCIAL INCOME AND EXPENSES
EUR thousand | 2025 | 2024 |
Dividend income | 0 | 2 |
Other interest and financial income | 514 | 388 |
Interest on lease liabilities | -1,601 | -1,199 |
Interest expenses | -4,489 | -4,366 |
Other financial expenses | -324 | -674 |
Total | -5,900 | -5,849 |
Interest expenses are associated with loans from financial institutions. The interest expenses have remained almost at the same level as in the previous reporting period. The slight increase has resulted mainly from changes in loan margins.
", "dimensions": { "concept": "ifrs-full:DisclosureOfFinanceIncomeExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__80": { "value": "4.2\tFINANCIAL ASSETS AND LIABILITIES
Measurement of fair values
The fair value of an asset or liability is the price that would be received from selling the asset or paid for transferring the liability between market parties in a regular transaction on the measurement date. The Sitowise Group makes use of market data in measuring fair value if there is an active market for the financial asset or liability. Otherwise, other measurement methods will be applied.
Fair values are classified as follows to different levels of the fair value hierarchy, illustrating the significance of input data used in the measurement methods:
Level 1: Quoted fair values for identical assets and liabilities in active markets
Level 2: Fair values are measured using inputs other than quoted prices included within Level 1, and they are observable for the asset or liability, either directly or indirectly
Level 3: Fair values are measured using asset or liability data not based on observable market inputs
The Sitowise Group considers that the book values of current trade receivables, accounts payable and cash and cash equivalents
correspond to the best estimate of their fair values. Moreover, the Group considers that the book values of loans from financial institutions and other non-current liabilities correspond to the best estimate of their fair values.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForFairValueMeasurementExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__81": { "value": "4.2.1\tFinancial assets
The Group classifies its financial assets at amortized cost and fair value through other comprehensive income. The classification of financial assets is based on the business model specified by the Group and contractual cash flows of financial assets.
At the Sitowise Group, non-current receivables include receivables falling due after more than one year. Other shares and participations, which are included in non-current financial assets, are initally measured at fair value, and their fair value is determined using inputs other than observable market inputs.
Financial assets that are not measured at amortized cost are recognized at fair value through comprehensive income. The change in the fair value of these items is recognized through comprehensive income, and never through result. The Group's shares in non-listed companies are measured at fair value using the valuation of the company's last financing round.
Current financial assets include trade receivables and cash and cash equivalents. The book values of current trade receivables and cash and cash equivalents correspond to the best estimate of their fair values. Write-downs of trade receivables are made based on expected credit losses from trade receivables. The model of expected credit losses is forward-looking and based on the historic credit loss rate.
Cash and any bank deposits that can be withdrawn on demand are included in cash equivalents at the Sitowise Group. Short-term deposits are considered to be easily convertible into cash because their original maturity is at most three months. The cash and cash equivalents reported on the balance sheet correspond to the cash and cash equivalents reported on the cash flow statement.Cash and cash equivalents on December 31, 2025 amounted to EUR 22,598 (17,459) thousand.
Cash and cash equivalents are derecognized when the Group has lost the contractual right to cash flows or has transferred risks and income to outside the Group to a significant extent. During 2025, there were no transfers between fair value levels 1, 2 and 3.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForFinancialAssetsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__82": { "value": "4.2.1\tFinancial assets
The Group classifies its financial assets at amortized cost and fair value through other comprehensive income. The classification of financial assets is based on the business model specified by the Group and contractual cash flows of financial assets.
At the Sitowise Group, non-current receivables include receivables falling due after more than one year. Other shares and participations, which are included in non-current financial assets, are initally measured at fair value, and their fair value is determined using inputs other than observable market inputs.
Financial assets that are not measured at amortized cost are recognized at fair value through comprehensive income. The change in the fair value of these items is recognized through comprehensive income, and never through result. The Group's shares in non-listed companies are measured at fair value using the valuation of the company's last financing round.
Current financial assets include trade receivables and cash and cash equivalents. The book values of current trade receivables and cash and cash equivalents correspond to the best estimate of their fair values. Write-downs of trade receivables are made based on expected credit losses from trade receivables. The model of expected credit losses is forward-looking and based on the historic credit loss rate.
Cash and any bank deposits that can be withdrawn on demand are included in cash equivalents at the Sitowise Group. Short-term deposits are considered to be easily convertible into cash because their original maturity is at most three months. The cash and cash equivalents reported on the balance sheet correspond to the cash and cash equivalents reported on the cash flow statement.Cash and cash equivalents on December 31, 2025 amounted to EUR 22,598 (17,459) thousand.
Cash and cash equivalents are derecognized when the Group has lost the contractual right to cash flows or has transferred risks and income to outside the Group to a significant extent. During 2025, there were no transfers between fair value levels 1, 2 and 3.
", "dimensions": { "concept": "ifrs-full:DisclosureOfFinancialInstrumentsAtFairValueThroughProfitOrLossExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__83-1": { "value": "4.2.1\tFinancial assets
The Group classifies its financial assets at amortized cost and fair value through other comprehensive income. The classification of financial assets is based on the business model specified by the Group and contractual cash flows of financial assets.
At the Sitowise Group, non-current receivables include receivables falling due after more than one year. Other shares and participations, which are included in non-current financial assets, are initally measured at fair value, and their fair value is determined using inputs other than observable market inputs.
Financial assets that are not measured at amortized cost are recognized at fair value through comprehensive income. The change in the fair value of these items is recognized through comprehensive income, and never through result. The Group's shares in non-listed companies are measured at fair value using the valuation of the company's last financing round.
Current financial assets include trade receivables and cash and cash equivalents. The book values of current trade receivables and cash and cash equivalents correspond to the best estimate of their fair values. Write-downs of trade receivables are made based on expected credit losses from trade receivables. The model of expected credit losses is forward-looking and based on the historic credit loss rate.
Cash and any bank deposits that can be withdrawn on demand are included in cash equivalents at the Sitowise Group. Short-term deposits are considered to be easily convertible into cash because their original maturity is at most three months. The cash and cash equivalents reported on the balance sheet correspond to the cash and cash equivalents reported on the cash flow statement.Cash and cash equivalents on December 31, 2025 amounted to EUR 22,598 (17,459) thousand.
Cash and cash equivalents are derecognized when the Group has lost the contractual right to cash flows or has transferred risks and income to outside the Group to a significant extent. During 2025, there were no transfers between fair value levels 1, 2 and 3.
Liabilities from financial institutions consist of a variable interest bank loans withdrawn under the financing agreement. Sitowise Group Plc signed a 90 million euros secured financing agreement with two of its relationship banks on 7 March 2025, from which the year end liabilities of EUR 69.0 million have been withdrawn. The agreement is valid until 12 June 2027 and replaced the EUR 100 million financing agreement maturing on 12 March 2026. Sitowise renewed its previous interest rate swap agreement, and the new agreement entered into force in March 2025. EUR 33 million of the loans were based on fixed base rate and EUR 36 million were based on a variable rate. The share of fixed and variable based interest in the total loan portfolio were therefore 48% and 52%. The working capital limit of 20 million euros, which is a part of the financing agreement, was unused at the time of closing the accounts.
At the end of the financial year, Sitowise negotiated with the banks about the extension of the financing agreement expiring in June 2027 and about the future covenant levels. The Group has fulfilled and expects to fulfill its financial covenants and other loan conditions in the financial year 2026.
2025 | 2024 | |||||||||||
EUR thousand | Measured at amortized cost | Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level | Measured at amortized cost | Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level |
Non-current financial assets | ||||||||||||
Other shares and holdings* | 33 | 33 | 33 | Level 3 | 730 | 730 | 730 | Level 3 | ||||
Loan receivables | 0 | 0 | 917 | 917 | 917 | |||||||
Other financial assets | 275 | 275 | 275 | Level 2 | 298 | 298 | 298 | Level 2 | ||||
Current financial assets | ||||||||||||
Trade receivables | 31,312 | 31,312 | 31,312 | 31,999 | 31,999 | 31,999 | ||||||
Cash and cash equivalents | 22,598 | 22,598 | 22,598 | 17,459 | 17,459 | 17,459 | ||||||
Financial assets December 31 | 54,185 | 33 | 0 | 54,218 | 54,218 | 50,673 | 730 | 0 | 51,403 | 51,403 |
*Shares of Fimpec Group Oy and other shares were sold in 2025
2025 | 2024 | |||||||||
EUR thousand | Measured at amortized cost | |||||||||
Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level | Measured at amortized cost | |||||
Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level | ||||||
Non-current financial liabilities | ||||||||||
Loans from financial institutions | 67,833 | 67,833 | 67,833 | 69,037 | 69,037 | 69,037 | ||||
Lease liabilities | 18,889 | 18,889 | 17,153 | 17,153 | ||||||
Other financial liabilities, including derivatives | 183 | 183 | 183 | Level 1 | 314 | 314 | 314 | Level 1 | ||
Current financial liabilities | ||||||||||
Loans from financial institutions | 1,041 | 1,041 | 1,041 | 1,000 | 1,000 | 1,000 | ||||
Trade payables | 8,651 | 8,651 | 8,651 | 7,229 | 7,229 | 7,229 | ||||
Additional purchase price liabilities | 0 | 0 | Level 3 | 391 | 391 | 391 | Level 3 | |||
Lease liabilities | 7,420 | 7,420 | 7,364 | 7,364 | ||||||
Financial liabilities December 31 | 103,834 | 183 | 0 | 104,016 | 77,707 | 101,783 | 314 | 391 | 102,488 | 77,971 |
4.2.1\tFinancial assets
The Group classifies its financial assets at amortized cost and fair value through other comprehensive income. The classification of financial assets is based on the business model specified by the Group and contractual cash flows of financial assets.
At the Sitowise Group, non-current receivables include receivables falling due after more than one year. Other shares and participations, which are included in non-current financial assets, are initally measured at fair value, and their fair value is determined using inputs other than observable market inputs.
Financial assets that are not measured at amortized cost are recognized at fair value through comprehensive income. The change in the fair value of these items is recognized through comprehensive income, and never through result. The Group's shares in non-listed companies are measured at fair value using the valuation of the company's last financing round.
Current financial assets include trade receivables and cash and cash equivalents. The book values of current trade receivables and cash and cash equivalents correspond to the best estimate of their fair values. Write-downs of trade receivables are made based on expected credit losses from trade receivables. The model of expected credit losses is forward-looking and based on the historic credit loss rate.
Cash and any bank deposits that can be withdrawn on demand are included in cash equivalents at the Sitowise Group. Short-term deposits are considered to be easily convertible into cash because their original maturity is at most three months. The cash and cash equivalents reported on the balance sheet correspond to the cash and cash equivalents reported on the cash flow statement.Cash and cash equivalents on December 31, 2025 amounted to EUR 22,598 (17,459) thousand.
Cash and cash equivalents are derecognized when the Group has lost the contractual right to cash flows or has transferred risks and income to outside the Group to a significant extent. During 2025, there were no transfers between fair value levels 1, 2 and 3.
4.2.2\tFinancial liabilities
Financial liabilities measured at amortized cost are included in the Group\u2019s external loans from financial institutions and accounts payable. Financial liabilities are measured initially at fair value and recognized on the balance sheet less transaction costs. A financial liability is classified as current if the Group does not have an unconditional right to postpone the repayment of the liability a minimum of 12 months from the closing date of the reporting period. If loans are repaid or refinanced, any remaining costs not expensed relating to them are recognized in financial expenses.These financial liabilities are measured at amortized cost using the effective interest method. Cost items are measured at fair value through profit or loss in the period during which they occur. Liabilities recognized at fair value through profit or loss are additional purchase price liabilities for acquisitions.The Sitowise Group had an estimated additional purchase price liability of EUR 0 (391) thousand.
Liabilities from financial institutions consist of a variable interest bank loans withdrawn under the financing agreement. Sitowise Group Plc signed a 90 million euros secured financing agreement with two of its relationship banks on 7 March 2025, from which the year end liabilities of EUR 69.0 million have been withdrawn. The agreement is valid until 12 June 2027 and replaced the EUR 100 million financing agreement maturing on 12 March 2026. Sitowise renewed its previous interest rate swap agreement, and the new agreement entered into force in March 2025. EUR 33 million of the loans were based on fixed base rate and EUR 36 million were based on a variable rate. The share of fixed and variable based interest in the total loan portfolio were therefore 48% and 52%. The working capital limit of 20 million euros, which is a part of the financing agreement, was unused at the time of closing the accounts.
At the end of the financial year, Sitowise negotiated with the banks about the extension of the financing agreement expiring in June 2027 and about the future covenant levels. The Group has fulfilled and expects to fulfill its financial covenants and other loan conditions in the financial year 2026.
2025 | 2024 | |||||||||||
EUR thousand | Measured at amortized cost | Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level | Measured at amortized cost | Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level |
Non-current financial assets | ||||||||||||
Other shares and holdings* | 33 | 33 | 33 | Level 3 | 730 | 730 | 730 | Level 3 | ||||
Loan receivables | 0 | 0 | 917 | 917 | 917 | |||||||
Other financial assets | 275 | 275 | 275 | Level 2 | 298 | 298 | 298 | Level 2 | ||||
Current financial assets | ||||||||||||
Trade receivables | 31,312 | 31,312 | 31,312 | 31,999 | 31,999 | 31,999 | ||||||
Cash and cash equivalents | 22,598 | 22,598 | 22,598 | 17,459 | 17,459 | 17,459 | ||||||
Financial assets December 31 | 54,185 | 33 | 0 | 54,218 | 54,218 | 50,673 | 730 | 0 | 51,403 | 51,403 |
*Shares of Fimpec Group Oy and other shares were sold in 2025
2025 | 2024 | |||||||||
EUR thousand | Measured at amortized cost | |||||||||
Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level | Measured at amortized cost | |||||
Measured at fair value through other comprehen-sive income | Fair value through profit and loss | Book value total | Fair value | Level | ||||||
Non-current financial liabilities | ||||||||||
Loans from financial institutions | 67,833 | 67,833 | 67,833 | 69,037 | 69,037 | 69,037 | ||||
Lease liabilities | 18,889 | 18,889 | 17,153 | 17,153 | ||||||
Other financial liabilities, including derivatives | 183 | 183 | 183 | Level 1 | 314 | 314 | 314 | Level 1 | ||
Current financial liabilities | ||||||||||
Loans from financial institutions | 1,041 | 1,041 | 1,041 | 1,000 | 1,000 | 1,000 | ||||
Trade payables | 8,651 | 8,651 | 8,651 | 7,229 | 7,229 | 7,229 | ||||
Additional purchase price liabilities | 0 | 0 | Level 3 | 391 | 391 | 391 | Level 3 | |||
Lease liabilities | 7,420 | 7,420 | 7,364 | 7,364 | ||||||
Financial liabilities December 31 | 103,834 | 183 | 0 | 104,016 | 77,707 | 101,783 | 314 | 391 | 102,488 | 77,971 |
4.2.2\tFinancial liabilities
Financial liabilities measured at amortized cost are included in the Group\u2019s external loans from financial institutions and accounts payable. Financial liabilities are measured initially at fair value and recognized on the balance sheet less transaction costs. A financial liability is classified as current if the Group does not have an unconditional right to postpone the repayment of the liability a minimum of 12 months from the closing date of the reporting period. If loans are repaid or refinanced, any remaining costs not expensed relating to them are recognized in financial expenses.These financial liabilities are measured at amortized cost using the effective interest method. Cost items are measured at fair value through profit or loss in the period during which they occur. Liabilities recognized at fair value through profit or loss are additional purchase price liabilities for acquisitions.The Sitowise Group had an estimated additional purchase price liability of EUR 0 (391) thousand.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForFinancialLiabilitiesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__88": { "value": "Liabilities from financial institutions consist of a variable interest bank loans withdrawn under the financing agreement. Sitowise Group Plc signed a 90 million euros secured financing agreement with two of its relationship banks on 7 March 2025, from which the year end liabilities of EUR 69.0 million have been withdrawn. The agreement is valid until 12 June 2027 and replaced the EUR 100 million financing agreement maturing on 12 March 2026. Sitowise renewed its previous interest rate swap agreement, and the new agreement entered into force in March 2025. EUR 33 million of the loans were based on fixed base rate and EUR 36 million were based on a variable rate. The share of fixed and variable based interest in the total loan portfolio were therefore 48% and 52%. The working capital limit of 20 million euros, which is a part of the financing agreement, was unused at the time of closing the accounts. ", "dimensions": { "concept": "ifrs-full:DisclosureOfBorrowingsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__90-1": { "value": "4.3.1\tShares and share capital
Sitowise Group Plc has one series of shares in which each share entitles its holder to one vote and an equal dividend. The company's share (SITOWS) is listed and publicly traded on the main list of Nasdaq Helsinki Ltd. On 31 December 2025, the number of shares was 35,845,665(35,845,665) and the share capital was EUR 80,000 (80,000). The shares have no nominal value and all issued shares have been fully paid. On 31 December 2025, the company held 0 (0) own shares, representing 0 (0) percent of all shares in Sitowise.
On 31 December, the company had shares as follows:
2025 | 2024 | |
Number of shares | 35,845,665 | 35,845,665 |
Average number of shares | 35,845,665 | 35,841,726 |
Diluted number of shares | 37,314,665 | 36,691,665 |
Average number of diluted shares | 37,169,283 | 36,563,915 |
The Annual General Meeting resolved on 2 April 2025, in accordance with the proposal of the Board of Directors, that no dividend will be distributed for the 2024 financial year.
No issuances of new shares or own shares held by the company were decided during financial year 2025.
4.3.3\tReserve for invested unrestricted equity
There were no payments made for subscriptions for shares during the financial period 2025. Investments in the company resulting from acquisitions made during the year amounted to 0.0 (0.7) million euros and were recognized in the reserve for invested unrestricted equity.
", "dimensions": { "concept": "ifrs-full:DisclosureOfShareCapitalReservesAndOtherEquityInterestExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__92": { "value": "On 31 December 2025, the company held 0 (0) own shares, representing 0 (0) percent of all shares in Sitowise. ", "dimensions": { "concept": "ifrs-full:DisclosureOfTreasurySharesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__93": { "value": "The Annual General Meeting resolved on 2 April 2025, in accordance with the proposal of the Board of Directors, that no dividend will be distributed for the 2024 financial year. ", "dimensions": { "concept": "ifrs-full:DisclosureOfDividendsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__91": { "value": "No issuances of new shares or own shares held by the company were decided during financial year 2025. ", "dimensions": { "concept": "ifrs-full:DisclosureOfIssuedCapitalExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__94": { "value": "4.3.2\tOwnership of the Board of Directors and the management
Ownership of the Board of Directors and the management | 31 Dec 2025 | Share % | 31 Dec 2024 | Share % |
Board | 191,708 | 0.5% | 195,208 | 0.5% |
CEO | 70,000 | 0.2% | 70,000 | 0.2% |
Other management team | 448,840 | 1.3% | 486,040 | 1.4% |
Total management ownership | 710,548 | 2.0% | 751,248 | 2.1% |
Total (shares) | 35,845,665 | 35,845,665 |
4.3.3\tReserve for invested unrestricted equity
There were no payments made for subscriptions for shares during the financial period 2025. Investments in the company resulting from acquisitions made during the year amounted to 0.0 (0.7) million euros and were recognized in the reserve for invested unrestricted equity.
", "dimensions": { "concept": "ifrs-full:DisclosureOfReservesAndOtherEquityInterestExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__97-1": { "value": "4.3.4\tShare-based payments (option program)
As part of the incentive and engagement scheme for management and key personnel, the Sitowise Group has one valid option program. Stock options are granted free of charge. Each stock option gives the option holder the right to subscribe for one Sitowise Group Plc share (SITOWS) at a price determined in accordance with the terms of the option program and at the time specified in the terms of the option program.
The options will be forfeited and transferred back to the Company for no consideration if the option holder resigns or their employment relationship or service contract is terminated before the commencement of the subscription period of the Shares to be subscribed with the options. The Board of Directors can, under certain conditions, permit the option holder to keep some of their options.
The subscription period for the 2021A option rights ended on 31 March 2025, and unused options expired. The subscription price for shares to be subscribed with the 2021B option rights is EUR 4.00. The subscription price per share will be reduced annually by dividends and
returns of capital paid per share. The subscription period for the 2021B option rights ends on 31 March 2026.
Share based incentives during the period 1.1.2025\u2013 31.12.2025
Plan | Option rights 2021 | |||
Type | OPTION | OPTION | OPTION | OPTION |
Instrument | Match 2021A | Performance 2021A | Match 2021B | Performance 2021B |
Annual General Shareholders` Meeting date | March 3, 2021 | March 3, 2021 | ||
Maximum amount, pcs | 636,750 | 826,650 | ||
The subscription ratio for underlying shares, pcs | 1 | 1 | 1 | 1 |
Initial exercise price, \u20ac | 8.2 | 8.2 | 8.2 | 8.2 |
Dividend adjustment | Yes | Yes | Yes | Yes |
Current exercise price, \u20ac | 5.9 | 5.9 | 4 | 4 |
Initial allocation date | March 25, 2021 | March 25, 2021 | March 25, 2021 | March 25, 2021 |
Vesting date | April 1, 2024 | April 1, 2024 | April 1, 2025 | April 1, 2025 |
Maturity date | March 31, 2025 | March 31, 2025 | March 31, 2026 | March 31, 2026 |
Vesting conditions | Share price development Service requirement | Share price development Service requirement | Share price development Service requirement | Share price development Service requirement |
Maximum contractual life, yrs | 3.0 | 3.0 | 4.0 | 4.0 |
Remaining contractual life, yrs | 0.0 | 0.0 | 0.0 | 0.0 |
Number of persons at the end of reporting year | 0 | 0 | 174 | 1 |
Payment method | Equity | Equity | Equity | Equity |
Changes during period | Match 2021A | Performance 2021A | Match 2021B | Performance 2021B |
January 1, 2025 | ||||
Outstanding in the beginning of the period | 288,788 | 18,000 | 286,536 | 18,000 |
Reserve in the beginning of the period | ||||
Changes during period | ||||
Granted | ||||
Forfeited | 21,294 | |||
Exercised | ||||
Weighted average subscription price, \u20ac | ||||
Weighted average price of shares, \u20ac | ||||
Expired | 288,788 | 18,000 | ||
December 31, 2025 | ||||
Exercised at the end of period | ||||
Outstanding at the of the period | ||||
Vested and outstanding at the of the period | 265,242 18,000 | |||
Reserved at the of the period |
Determination of fair value
The fair value of share based incentives have been determined at grant date and the fair value is expensed until vesting.
The impacts of the option programs 2025 on the result and financial position for the financial period was EUR -5 (159) thousand.
4.3.5\tPerformance Share Plan
The Board of Directors of Sitowise resolved in March 2023 to establish a new share-based long-term incentive program. The program consists of annually commencing individual three-year plans, and the Board of Directors decides the commencement and terms of each new plan separately. The purpose of the plans is to align the interests of the management and key personnel with the interests of the shareholders and thereby increase the shareholder value in the long term, and to commit the management and key personnel to achieving Sitowise\u2019s strategic goals.
The incentives plan valid at the end of the financial year 2025 are presented in the table below.
The Performance Share Plans (PSP) have a three-year performance period. The participants in the plans have the opportunity to earn Sitowise shares and cash as a long-term incentive reward, if the performance targets set by the Board of Directors for the plan are achieved. The payout of shares under plans will depend on meeting the targets set by the Board of Directors and no reward will be paid if the minimum levels set for the targets are not met. The potential reward will be paid, according to the Board of Directors\u2019 choice, either in Sitowise\u2019s shares, in cash, or in a combination of these after the performance period. The potential share rewards are at the participants\u2019 free disposal after delivery, with the exception of the CEO and other Group Management Team members. As a main rule no reward is paid to an individual participant whose employment or service relationship ends or has ended before the delivery of the reward.
Restricted Share Plans (RSP) as a supplementary share-based long-term incentive plan. The potential reward will be paid, according to the Board of Directors\u2019 choice, either in Sitowise\u2019s shares, in cash, or in a combination of these after the performance period and they are at the participants\u2019 free disposal after delivery. As a main rule no reward
is paid to an individual participant whose employment or service relationship ends or has ended before the delivery of the reward.
For IFRS 2 purposes, the fair value shall take into account market-based performance conditions. The evaluation takes into account Sitowise\u2019s share price at the time of the grant, the relative TSR market condition, the absolute TSR trigger and expected dividends to be missed before the payment of the reward. Further information about the share-based incentive plan and terms applied to the plans have been published in stock exchange releases on 12 February 2025, 13 March 2024 and 28 March 2023.
The total cost effect of the equity-settled performance share programs and the option program, which was established in 2021 during the reporting yearwas EUR 239 (172) thousand.
Plan | Target group | The performance criteria applied | Payment condition | Grant date | Number ofgranted shares | Grant date share price | Number of participants | Performance period | Settlementyear |
Performance Share Plans (PSP) | |||||||||
PSP 2023-2025 | Group Management Team members | ||||||||
Adjusted EBITA margin (%) target for the year 2025, relative total shareholder return (TSR)* | Total shareholder return (TSR) trigger and minimum net sales trigger | 10 May 2023 | 152,000 | EUR 4.40 | 5 | 2023\u20132025 | 2026 | ||
PSP 2024-2026 | CEO, other members of the Sitowise Group Management Team, other management and experts | ||||||||
Profitability (adjusted EBITA margin, %), profitability compared to peers (adjusted EBITA margin, %, compared to selected peers), sustainability services revenue | Total shareholder return (TSR) trigger and minumum net sales trigger | 18 March 2024 | 529,000 | EUR 2.77 | 30 | 2024-2026 | 2027 | ||
PSP 2025-2027 | CEO, other members of the Sitowise Group Management Team, other management and experts | Growth and profitability (reported EBITA, EUR), profitability (adjusted EBITA margin, %), sustainability services revenue | Total shareholder return (TSR) trigger | 27 March 2025 | 880,000 | EUR 2.40 | 66 | 2025-2027 | 2028 |
Restricted Share Plan (RSP) | |||||||||
RSP 2023-2025 | Separately selected Sitowise's key persons | N/A | N/A | 19 March 2025 | 40,000 | EUR 2.40 | 3 | 2023-2025 | 2026 |
RSP 2024-2026 | Separately selected Sitowise's key persons | N/A | N/A | 4 August 2025 | 20,000 | EUR 2.49 | 1 | 2024-2026 | 2027 |
RSP 2025-2027 | Separately selected Sitowise's key persons | N/A | N/A |
* The performance targets and payment conditions were amended in March 2024. At the time of the program\u2019s approval, the applicable performance targets were relative Total Shareholder Return (TSR) and cumulative reported EBITA for the period 2023\u20132025. In addition, a minimum revenue threshold has been introduced, which must be exceeded before any rewards can be paid.
6.3.4\tManagement stock options
The company\u2019s management was granted stock options in the spring of 2021 and during financial years 2022 and 2023. Amendments were made to the program during 2023 and 2024, and the company's management waived part of the options given to them during 2024. The table below lists the options held by the CEO and the members of the Group\u2019s Management Team. The Board of Directors holds no options.
December 31, 2025 | Match2022A | Match2022B | Performance 2022A | Performance 2022B | Total |
Options granted | 0 | 44,363 | 0 | 0 | 44,363 (1 |
Of which exercisable | 0 | 44,363 | 0 | 0 | 44,363 |
Total number of shares entitled to | 0 | 44,363 | 0 | 0 | 44,363 |
(1The options returned to the company by who left his positions in the financial year 2025 are no longer included in the management options on 31 December 2025.
The option program and changes are described in more detail in Note 4.3.4.
", "dimensions": { "concept": "ifrs-full:DisclosureOfSharebasedPaymentArrangementsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__98-1": { "value": "4.3.4\tShare-based payments (option program)
As part of the incentive and engagement scheme for management and key personnel, the Sitowise Group has one valid option program. Stock options are granted free of charge. Each stock option gives the option holder the right to subscribe for one Sitowise Group Plc share (SITOWS) at a price determined in accordance with the terms of the option program and at the time specified in the terms of the option program.
The options will be forfeited and transferred back to the Company for no consideration if the option holder resigns or their employment relationship or service contract is terminated before the commencement of the subscription period of the Shares to be subscribed with the options. The Board of Directors can, under certain conditions, permit the option holder to keep some of their options.
The subscription period for the 2021A option rights ended on 31 March 2025, and unused options expired. The subscription price for shares to be subscribed with the 2021B option rights is EUR 4.00. The subscription price per share will be reduced annually by dividends and
returns of capital paid per share.Determination of fair value
The fair value of share based incentives have been determined at grant date and the fair value is expensed until vesting.
The impacts of the option programs 2025 on the result and financial position for the financial period was EUR -5 (159) thousand.
4.3.5\tPerformance Share Plan
The Board of Directors of Sitowise resolved in March 2023 to establish a new share-based long-term incentive program. The program consists of annually commencing individual three-year plans, and the Board of Directors decides the commencement and terms of each new plan separately. The purpose of the plans is to align the interests of the management and key personnel with the interests of the shareholders and thereby increase the shareholder value in the long term, and to commit the management and key personnel to achieving Sitowise\u2019s strategic goals.
The incentives plan valid at the end of the financial year 2025 are presented in the table below.
The Performance Share Plans (PSP) have a three-year performance period. The participants in the plans have the opportunity to earn Sitowise shares and cash as a long-term incentive reward, if the performance targets set by the Board of Directors for the plan are achieved. The payout of shares under plans will depend on meeting the targets set by the Board of Directors and no reward will be paid if the minimum levels set for the targets are not met. The potential reward will be paid, according to the Board of Directors\u2019 choice, either in Sitowise\u2019s shares, in cash, or in a combination of these after the performance period. The potential share rewards are at the participants\u2019 free disposal after delivery, with the exception of the CEO and other Group Management Team members. As a main rule no reward is paid to an individual participant whose employment or service relationship ends or has ended before the delivery of the reward.
Restricted Share Plans (RSP) as a supplementary share-based long-term incentive plan. The potential reward will be paid, according to the Board of Directors\u2019 choice, either in Sitowise\u2019s shares, in cash, or in a combination of these after the performance period and they are at the participants\u2019 free disposal after delivery. As a main rule no reward
is paid to an individual participant whose employment or service relationship ends or has ended before the delivery of the reward.
For IFRS 2 purposes, the fair value shall take into account market-based performance conditions. The evaluation takes into account Sitowise\u2019s share price at the time of the grant, the relative TSR market condition, the absolute TSR trigger and expected dividends to be missed before the payment of the reward. Further information about the share-based incentive plan and terms applied to the plans have been published in stock exchange releases on 12 February 2025, 13 March 2024 and 28 March 2023.
The total cost effect of the equity-settled performance share programs and the option program, which was established in 2021 during the reporting yearwas EUR ", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForSharebasedPaymentTransactionsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__102-1": { "value": "5.1\tMANAGEMENT OF FINANCIAL RISKS
The management of financial risks at the Sitowise Group aims to ensure the financial stability of the Group and availability of sufficient financing options in different market situations. In addition, the aim is to support the businesses in identifying and managing business-related financial risks. The Board of Directors have approved the Group's risk management principles and the Board is responsible for supervising them.
The Group is exposed to diverse market risks. Changes in these risks have effects on the company\u2019s assets, liabilities, and anticipated business transactions. The risks are realised for example by changes in interest and exchange rates. Financial risk management is carried out as part of the Group\u2019s risk management efforts. The foundation of the management of financial risks is based on principles aiming for business continuity.
The situation of financial risks is regularly reported on to the company\u2019s Board of Directors and management. The company\u2019s Board of Directors makes the most significant in-principle decisions concerning risk management. The Board of Directors reviews all material financing-related matters, such as external loan arrangements, on a case-by-case basis. The CFO of the Sitowise Group is responsible for ensuring financing, identifying risks and, if necessary, implementation of hedging together with external counterparties according to internal treasury policies. The business units and subsidiaries are responsible for the management of risks involved in their respective business operations, and subsidiaries also for projecting cash flows.
The Group\u2019s cash and liquidity remained at a good level in 2025. Information on financial liabilities is presented in Note 4.2.2 Financial liabilities.
5.1.1\tExchange rate risk
The Sitowise Group is exposed to exchange rate risks, the mostsignificant being the Swedish krona through the business operations of the Swedish subsidiaries. The Sitowise Group does not actively hedge against exchange rate risks, as the income and expenses of business operations are mostly in the same currency (\u201cnatural
hedge\u201d). Fluctuations in the Swedish krona, however, affect the Swedish business unit's result in euros and thereby the group's equity. The Group analyzes regularly its translation risk.
Translation risk is also caused by currency-denominated items in the balance sheet. The largest items are Group's SEK cash and cash equivalents and the goodwill related to acquisitions made in Sweden.
On the closing date, the sensitivity of the before mentioned was approximately EUR 0.4 million in cash balances and goodwill (approximately EUR 2.3 million), assuming that the SEK/EUR exchange rate changes by 5 percentage.
5.1.2\tInterest rate risk
The Group is exposed to financial risks in its operations, such as the effects of changes in interest rates and the availability of competitive financing. Changes in the macroeconomic environment, changes in the company's financial performance or general situation in the financial markets may have negative impacts on the availability, price, and other terms and conditions of financing. An increase in interest rates could have a material direct impact on the costs of available financing and the company\u2019s existing financial expenses. An increase in interest rates could thereby affect the costs of the company\u2019s debt financing in the future. Risks related to interest-bearing assets and liabilities can be hedged with derivative instruments, such as interest rate swaps.
Sitowise entered into an interest rate swap agreement at the end of the fiscal year of 2023, in order to reduce the interest rate risk of its loan portfolio. Cash flow hedge accounting is applied to the interest rate swap. Changes in the fair values of derivatives used as cash flow hedges are recognized in other comprehensive income and presented in the fair value reserve of equity to the extent that the hedge is effective. The key contractual terms of the interest rate swap, such as the reference rate, interest rate review dates, payment dates, maturities and nominal value, are matching with the hedged item and therefore Sitowise estimates the hedging to be effective. The interest related to the interest rate swap is presented in financial income and expenses at the same time as the interest of the hedged variable rate loans.
At the end of fiscal year, the Group had EUR 69.0 (70.0) million in interest bearing bank loans. With the interest rate swap agreement, the
share of fixed base rate loans in the loan portfolio were approximately 48% and variable-rate loans about 52%. The company entered into a new interest rate swap during the previous financial year, which took place when the previous interest rate swap expired on March 12, 2025. The new interest rate swap slightly reduced the share of loans based on a fixed base rate. The reference rate for variable-rated loans was Euribor 3 months. The interest rate sensitivity of the Sitowise Group was approximately EUR 360 thousand (approximately EUR 330 thousand), if interest rates would increase by one percentage point. Please see also section 4.2.2, Financial liabilities.
The nominal and fair values of the interest derivative contracts are shown in the tables below.
Cash flow hedging (Interest rate hedge)
2025 | 2024* | 2024** | |
Fair value, EUR thousand | -183 | -314 | -28 |
Nominal value, EUR thousand | 33,000 | 33,000 | 37,000 |
Hedge ratio | 1:1 | 1:1 | 1:1 |
Fair value reserve, EUR thousand | -183 | -314 | -28 |
* The contract period started in March, 2025
**The contract period ended in March, 2025
5.1.3\tCredit risk
Credit risk is the risk of a financial loss that occurs if a customer fails to fulfill their contractual obligations. The credit risk of the Sitowise Group is related to counterparties from which it has outstanding receivables or with which the Sitowise Group has long-term contracts. The tools of credit risk management at the Sitowise Group include frontloaded payment schedules of projects, thorough investigation of the customers\u2019 background data, credit risk monitoring of the major customers, and agreeing on advance payments.
The Sitowise Group assesses at the end of each reporting period whether there is objective evidence of impairment of a financial asset or group of financial assets. If there is justified indication of impairment, the said financial asset is recognized as a credit loss. Credit losses are recognized as expenses through profit and loss.
The Sitowise Group considers that there are indications of a credit loss as a rule if any of the following indications is present:
Significant financial difficulties of the debtor
Probability of the debtor's bankruptcy or other financial restructuring
Default of payments
Information on trade receivables and expected credit losses is presented in Note 3.4.
5.1.4\tSolvency risk
To manage the solvency risk, the Sitowise Group continuously maintains sufficient liquidity reserves. The Sitowise Group aims to have a sufficient amount of liquid assets to deal with fluctuations in the need for working capital. The company aims to continuously project and monitor the need for financing in its business operations so that the company has sufficient liquid assets for financing its operations and repaying maturing debt. Cash and cash equivalents totaled EUR 22.6 (17.5) million at the end of 2025. In addition to cash reserves, the Group had a EUR 20.0 (20.0) million unused overdraft facility.
Contractual cash flows of financial liabilities
2025
EUR thousand | 2026 | 2027 * | 2028 \u2192 |
Loans from financial institutions | 1,000 | 67,833 | 0 |
Lease liabilities | 6,256 | 5,220 | 14,982 |
Accounts payable | 8,651 | 0 | 0 |
Interest | 4,217 | 1,712 | 0 |
Total | 20,124 | 74,765 | 14,982 |
2024
EUR thousand | 2025 | 2026 | 2027 \u2192 |
Loans from financial institutions | 1,000 | 69,037 | 0 |
Lease liabilities | 6,515 | 5,784 | 12,218 |
Accounts payable | 7,229 | 0 | 0 |
Interest | 3,755 | 583 | 0 |
Total | 18,499 | 75,404 | 12,218 |
The contractual interest cash flows for future years presented in the tables above are estimated based on the current interest rate level. The cash flows in lease liabilities include the payments of lease liabilities.
* Sitowise Group Plc signed a EUR 90.0 million secured financing agreement with its two partner banks on 7 March 2025. The agreement is valid until 12 June 2027 and replaced the previous EUR 100.0 million financing agreement maturing on 12 March 2026.
5.2\tMANAGEMENT OF CAPITAL RISKS
In the management of working capital, the Sitowise Group aims to ensure the ability to operate continuously in order to be able to provide the shareholders with returns and increase the value of their invested capital. The Sitowise Group monitors many key ratios and especially the net debt to adjusted EBITDA to keep indebtedness under control. The Group's capital structure is regularly assessed by the company's management. The company has announced a long-term target of maintaining the ratio of net debt to adjusted EBITDA below 2.5.
Net debt is calculated as current and non-current loans from financial institutions and lease liabilities less cash and cash equivalents. The table below presents the net debt of the Sitowise Group.
EUR thousand | 31 Dec 2025 | 31 Dec 2024 |
Loans from financial institutions | 68,874 | 70,037 |
Lease liabilities | 26,309 | 24,517 |
Cash and cash equivalents | -22,598 | -17,459 |
Net debt | 72,585 | 77,095 |
Net debt / EBITDA, adjusted | 7,8x | 7.4x |
5.1.1\tExchange rate risk
The Sitowise Group is exposed to exchange rate risks, the mostsignificant being the Swedish krona through the business operations of the Swedish subsidiaries. The Sitowise Group does not actively hedge against exchange rate risks, as the income and expenses of business operations are mostly in the same currency (\u201cnatural
hedge\u201d). Fluctuations in the Swedish krona, however, affect the Swedish business unit's result in euros and thereby the group's equity. The Group analyzes regularly its translation risk.
Translation risk is also caused by currency-denominated items in the balance sheet. The largest items are Group's SEK cash and cash equivalents and the goodwill related to acquisitions made in Sweden.
On the closing date, the sensitivity of the before mentioned was approximately EUR 0.4 million in cash balances and goodwill (approximately EUR 2.3 million), assuming that the SEK/EUR exchange rate changes by 5 percentage.
5.1.2\tInterest rate risk
The Group is exposed to financial risks in its operations, such as the effects of changes in interest rates and the availability of competitive financing. Changes in the macroeconomic environment, changes in the company's financial performance or general situation in the financial markets may have negative impacts on the availability, price, and other terms and conditions of financing. An increase in interest rates could have a material direct impact on the costs of available financing and the company\u2019s existing financial expenses. An increase in interest rates could thereby affect the costs of the company\u2019s debt financing in the future. Risks related to interest-bearing assets and liabilities can be hedged with derivative instruments, such as interest rate swaps.
Sitowise entered into an interest rate swap agreement at the end of the fiscal year of 2023, in order to reduce the interest rate risk of its loan portfolio. Cash flow hedge accounting is applied to the interest rate swap. Changes in the fair values of derivatives used as cash flow hedges are recognized in other comprehensive income and presented in the fair value reserve of equity to the extent that the hedge is effective. The key contractual terms of the interest rate swap, such as the reference rate, interest rate review dates, payment dates, maturities and nominal value, are matching with the hedged item and therefore Sitowise estimates the hedging to be effective. The interest related to the interest rate swap is presented in financial income and expenses at the same time as the interest of the hedged variable rate loans.
At the end of fiscal year, the Group had EUR 69.0 (70.0) million in interest bearing bank loans. With the interest rate swap agreement, the
share of fixed base rate loans in the loan portfolio were approximately 48% and variable-rate loans about 52%. The company entered into a new interest rate swap during the previous financial year, which took place when the previous interest rate swap expired on March 12, 2025. The new interest rate swap slightly reduced the share of loans based on a fixed base rate. The reference rate for variable-rated loans was Euribor 3 months. The interest rate sensitivity of the Sitowise Group was approximately EUR 360 thousand (approximately EUR 330 thousand), if interest rates would increase by one percentage point. Please see also section 4.2.2, Financial liabilities.
The nominal and fair values of the interest derivative contracts are shown in the tables below.
Cash flow hedging (Interest rate hedge)
2025 | 2024* | 2024** | |
Fair value, EUR thousand | -183 | -314 | -28 |
Nominal value, EUR thousand | 33,000 | 33,000 | 37,000 |
Hedge ratio | 1:1 | 1:1 | 1:1 |
Fair value reserve, EUR thousand | -183 | -314 | -28 |
* The contract period started in March, 2025
**The contract period ended in March, 2025
", "dimensions": { "concept": "ifrs-full:DisclosureOfMarketRiskExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__104": { "value": "On the closing date, the sensitivity of the before mentioned was approximately EUR 0.4 million in cash balances and goodwill (approximately EUR 2.3 million), assuming that the SEK/EUR exchange rate changes by 5 percentage. ", "dimensions": { "concept": "ifrs-full:DisclosureOfEffectOfChangesInForeignExchangeRatesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__106-1": { "value": "Sitowise entered into an interest rate swap agreement at the end of the fiscal year of 2023, in order to reduce the interest rate risk of its loan portfolio. Cash flow hedge accounting is applied to the interest rate swap. Changes in the fair values of derivatives used as cash flow hedges are recognized in other comprehensive income and presented in the fair value reserve of equity to the extent that the hedge is effective. The key contractual terms of the interest rate swap, such as the reference rate, interest rate review dates, payment dates, maturities and nominal value, are matching with the hedged item and therefore Sitowise estimates the hedging to be effective. The interest related to the interest rate swap is presented in financial income and expenses at the same time as the interest of the hedged variable rate loans.The nominal and fair values of the interest derivative contracts are shown in the tables below.
Cash flow hedging (Interest rate hedge)
2025 | 2024* | 2024** | |
Fair value, EUR thousand | -183 | -314 | -28 |
Nominal value, EUR thousand | 33,000 | 33,000 | 37,000 |
Hedge ratio | 1:1 | 1:1 | 1:1 |
Fair value reserve, EUR thousand | -183 | -314 | -28 |
* The contract period started in March, 2025
**The contract period ended in March, 2025
", "dimensions": { "concept": "ifrs-full:DisclosureOfDerivativeFinancialInstrumentsExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__108": { "value": "5.1.3\tCredit risk
Credit risk is the risk of a financial loss that occurs if a customer fails to fulfill their contractual obligations. The credit risk of the Sitowise Group is related to counterparties from which it has outstanding receivables or with which the Sitowise Group has long-term contracts. The tools of credit risk management at the Sitowise Group include frontloaded payment schedules of projects, thorough investigation of the customers\u2019 background data, credit risk monitoring of the major customers, and agreeing on advance payments.
The Sitowise Group assesses at the end of each reporting period whether there is objective evidence of impairment of a financial asset or group of financial assets. If there is justified indication of impairment, the said financial asset is recognized as a credit loss. Credit losses are recognized as expenses through profit and loss.
The Sitowise Group considers that there are indications of a credit loss as a rule if any of the following indications is present:
Significant financial difficulties of the debtor
Probability of the debtor's bankruptcy or other financial restructuring
Default of payments
Information on trade receivables and expected credit losses is presented in Note 3.4.
", "dimensions": { "concept": "ifrs-full:DisclosureOfCreditRiskExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__109": { "value": "5.1.4\tSolvency risk
To manage the solvency risk, the Sitowise Group continuously maintains sufficient liquidity reserves. The Sitowise Group aims to have a sufficient amount of liquid assets to deal with fluctuations in the need for working capital. The company aims to continuously project and monitor the need for financing in its business operations so that the company has sufficient liquid assets for financing its operations and repaying maturing debt. Cash and cash equivalents totaled EUR 22.6 (17.5) million at the end of 2025. In addition to cash reserves, the Group had a EUR 20.0 (20.0) million unused overdraft facility.
Contractual cash flows of financial liabilities
2025
EUR thousand | 2026 | 2027 * | 2028 \u2192 |
Loans from financial institutions | 1,000 | 67,833 | 0 |
Lease liabilities | 6,256 | 5,220 | 14,982 |
Accounts payable | 8,651 | 0 | 0 |
Interest | 4,217 | 1,712 | 0 |
Total | 20,124 | 74,765 | 14,982 |
2024
EUR thousand | 2025 | 2026 | 2027 \u2192 |
Loans from financial institutions | 1,000 | 69,037 | 0 |
Lease liabilities | 6,515 | 5,784 | 12,218 |
Accounts payable | 7,229 | 0 | 0 |
Interest | 3,755 | 583 | 0 |
Total | 18,499 | 75,404 | 12,218 |
The contractual interest cash flows for future years presented in the tables above are estimated based on the current interest rate level. The cash flows in lease liabilities include the payments of lease liabilities.
* Sitowise Group Plc signed a EUR 90.0 million secured financing agreement with its two partner banks on 7 March 2025. The agreement is valid until 12 June 2027 and replaced the previous EUR 100.0 million financing agreement maturing on 12 March 2026.
", "dimensions": { "concept": "ifrs-full:DisclosureOfLiquidityRiskExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__111": { "value": "5.2\tMANAGEMENT OF CAPITAL RISKS
In the management of working capital, the Sitowise Group aims to ensure the ability to operate continuously in order to be able to provide the shareholders with returns and increase the value of their invested capital. The Sitowise Group monitors many key ratios and especially the net debt to adjusted EBITDA to keep indebtedness under control. The Group's capital structure is regularly assessed by the company's management. The company has announced a long-term target of maintaining the ratio of net debt to adjusted EBITDA below 2.5.
Net debt is calculated as current and non-current loans from financial institutions and lease liabilities less cash and cash equivalents. The table below presents the net debt of the Sitowise Group.
EUR thousand | 31 Dec 2025 | 31 Dec 2024 |
Loans from financial institutions | 68,874 | 70,037 |
Lease liabilities | 26,309 | 24,517 |
Cash and cash equivalents | -22,598 | -17,459 |
Net debt | 72,585 | 77,095 |
Net debt / EBITDA, adjusted | 7,8x | 7.4x |
6.1\tGROUP STRUCTURE
Accounting policy
The consolidated financial statements include the parent company Sitowise Group Plc and all subsidiaries over which the parent company had control on the closing date of the reporting period. Sitowise Group Plc has control when it is exposed, or has rights, to variable returns from its involvement with a company and has the ability to affect those returns through its power over the company. Acquired subsidiaries are consolidated as of the date on which Sitowise Group Plc gains control. Divested subsidiaries are consolidated until control ceases to exist.
Intra-Group transactions, receivables, debts, and unrealized margins and internal distribution of profits are eliminated in preparing the consolidated financial statements using the acquisition cost method. The allocation of profit (loss) for the financial period to non-controlling interests is presented in the statement of comprehensive income. Non-controll ing interests\u2019 share of shareholders\u2019 equity is reported as a separate figure under shareholders\u2019 equity on the balance sheet.
", "dimensions": { "concept": "ifrs-full:DisclosureOfSignificantInvestmentsInSubsidiariesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__114": { "value": "6.1\tGROUP STRUCTURE
Accounting policy
The consolidated financial statements include the parent company Sitowise Group Plc and all subsidiaries over which the parent company had control on the closing date of the reporting period. Sitowise Group Plc has control when it is exposed, or has rights, to variable returns from its involvement with a company and has the ability to affect those returns through its power over the company. Acquired subsidiaries are consolidated as of the date on which Sitowise Group Plc gains control. Divested subsidiaries are consolidated until control ceases to exist.
Intra-Group transactions, receivables, debts, and unrealized margins and internal distribution of profits are eliminated in preparing the consolidated financial statements using the acquisition cost method. The allocation of profit (loss) for the financial period to non-controlling interests is presented in the statement of comprehensive income. Non-controll ing interests\u2019 share of shareholders\u2019 equity is reported as a separate figure under shareholders\u2019 equity on the balance sheet.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForSubsidiariesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__115": { "value": "Associated companies are companies in which the Group has considerable influence. The Group considers considerable influence to emerge primarily when the Group holds 20\u201350 percent of a company\u2019s votes or has otherwise considerable influence, but no control. Associated companies are consolidated in the financial statements using the equity method.
In financial period 2024 Sitowise Oy sold shares of AS DWG to the other shareholders, reducing its ownership from 55 percent to 25 percent (20 November 2024). After the change, AS DWG will be presented as an associated company of Sitowise.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForInvestmentInAssociatesAndJointVenturesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__116": { "value": "Associated companies are companies in which the Group has considerable influence. The Group considers considerable influence to emerge primarily when the Group holds 20\u201350 percent of a company\u2019s votes or has otherwise considerable influence, but no control. Associated companies are consolidated in the financial statements using the equity method.
In financial period 2024 Sitowise Oy sold shares of AS DWG to the other shareholders, reducing its ownership from 55 percent to 25 percent (20 November 2024). After the change, AS DWG will be presented as an associated company of Sitowise.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForInvestmentInAssociates", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__117": { "value": "Associated companies
Domicile
Ownership 2025
Ownership 2024
AS DWG
Riga, Latvia
", "dimensions": { "concept": "ifrs-full:DisclosureOfSignificantInvestmentsInAssociatesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__118": { "value": "6.2\tINCOME TAXES
Accounting policy
The Sitowise Group\u2019s tax expense recognized through profit and loss comprises tax based on the taxable profit for the period, any taxes on previous financial periods, and deferred taxes. The tax based on the taxable profit for the period is calculated in accordance with the local tax legislation of each Group company. If the taxes are associated with other comprehensive income or transactions or other events recognized directly in shareholders\u2019 equity, income taxes are recognized in the said items. The tax for the financial period is calculated using the tax rates confirmed by the closing date of the reporting period.
Deferred tax assets and liabilities are primarily recognized for all temporary differences between the tax bases of assets and liabilities and unused tax losses and credits. The most significant temporary differences arise from tangible and intangible assets, confirmed tax losses, and allocations of the fair values of subsidiary acquisitions. Deferred tax assets are recognized at the maximum up to the amount for which it is probable that there will be future taxable income against which the temporary difference can be used. The prerequisites for recognizing deferred tax assets are assessed on the closing date of the reporting period. Deferred tax liabilities are recognized in full. Deferred taxes are recognized using the tax rates enacted or factually confirmed by the closing date of the reporting period.
Significant estimates based on management judgment
The decision on recognizing deferred tax assets on the balance sheet requires discretion. Deferred tax assets are only recognized when it is more likely that they will be realized than not realized, which, in turn, is determined by whether sufficient taxable income will be generated in the future. The assumptions concerning the accumulation of taxable income are based on future cash flows projected by the management. These estimates concerning future cash flows, on the other hand, depend on estimates concerning the volume of future sales, business expenses, investments, and other items affecting the profitability of business operations, among other things. These estimates and assumptions involve risks and uncertainty and, therefore, it is possible that changes in conditions result in charges in expectations, which in turn can affect the deferred tax assets recognized on the balance sheet as well as any other tax losses or temporary differences not yet recognized.
The ability of the Sitowise Group to accumulate taxable income also depends on general factors relating to the economy, financing, competitiveness, legislation, and regulation which are beyond its own control. If the future taxable income of the Sitowise Group is lower than projected by the management when measuring the deferred tax assets to be recognized, the value of the assets decreases or they lose all value. In this case, the amounts recognized on the balance sheet may have to be reversed through profit and loss. Changes in circumstances can also lead to recognizing deferred tax assets for confirmed losses for which no receivables have been currently recognized.
EUR thousand | 2025 | 2024 |
Tax based on the taxable profit for the financial period | -339 | -474 |
Adjustments concerning previous financial periods | 0 | 122 |
Change in deferred taxes | 1,338 | 1,018 |
Total | 999 | 666 |
Reconciliation between tax expenses and taxes calculated using the 20% domestic tax rate
EUR thousand | 2025 | 2024 |
Profit before taxes | -43,429 | -3,377 |
Tax calculated using the 20% domestic tax rate | 8,686 | 675 |
Adjustments concerning previous financial periods | -16 | 122 |
Differing tax rates of foreign subsidiaries | 1,181 | 221 |
Tax-free income and non-deductible expenses | -7,732 | 286 |
Confirmed loss | 0 | 0 |
Other items | -1,120 | -638 |
Taxes on the profit and loss account | 999 | 666 |
Deferred tax assets and liabilities
EUR thousand | January 1, 2025 | Recognized on the income statement | Recognized in shareholders\u2019 equity | December 31, 2025 |
Lease Liabilities | 4,922 | 297 | 89 | 5,308 |
Other items | 454 | 931 | 41 | 1,426 |
Deferrex tax assets total | 5,376 | 1,228 | 129 | 6,734 |
Netting of deferred tax assets and liabilities | -4,612 | -228 | -86 | -4,926 |
Deferrex tax assets after netting | 765 | 999 | 44 | 1,808 |
Financial items | 84 | 33 | -59 | 58 |
Tax provisions | 125 | -22 | 7 | 109 |
Right-of-use assets | 4,612 | 228 | 86 | 4,926 |
Other items | 775 | -348 | -9 | 419 |
Deferred tax liabilities total | 5,595 | -109 | 25 | 5,511 |
Netting of deferred tax assets and liabilities | -4,612 | -228 | -86 | -4,926 |
Deferred tax liabilities after netting | 984 | -337 | -61 | 586 |
EUR thousand | January 1, 2024 | Recognized on the income statement | Recognized in shareholders\u2019 equity | December 31, 2024 |
Lease Liabilities | 5,570 | -619 | -29 | 4,922 |
Other items | 469 | -14 | -1 | 454 |
Deferrex tax assets total | 6,039 | -632 | -30 | 5,376 |
Netting of deferred tax assets and liabilities | -5,307 | 667 | 28 | -4,612 |
Deferrex tax assets after netting | 732 | 35 | -2 | 765 |
Financial items | 104 | -20 | 0 | 84 |
Tax provisions | 664 | -519 | -20 | 125 |
Right-of-use assets | 5,307 | -667 | -28 | 4,612 |
Other items | 775 | -444 | 445 | 775 |
Deferrex tax liabilities total | 6,849 | -1,651 | 397 | 5,595 |
Netting of deferred tax assets and liabilities | -5,307 | 667 | 28 | -4,612 |
Deferred tax liabilities after netting | 1,542 | -984 | 425 | 984 |
6.2\tINCOME TAXES
Accounting policy
The Sitowise Group\u2019s tax expense recognized through profit and loss comprises tax based on the taxable profit for the period, any taxes on previous financial periods, and deferred taxes. The tax based on the taxable profit for the period is calculated in accordance with the local tax legislation of each Group company. If the taxes are associated with other comprehensive income or transactions or other events recognized directly in shareholders\u2019 equity, income taxes are recognized in the said items. The tax for the financial period is calculated using the tax rates confirmed by the closing date of the reporting period.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForIncomeTaxExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__123": { "value": "Deferred tax assets and liabilities are primarily recognized for all temporary differences between the tax bases of assets and liabilities and unused tax losses and credits. The most significant temporary differences arise from tangible and intangible assets, confirmed tax losses, and allocations of the fair values of subsidiary acquisitions. Deferred tax assets are recognized at the maximum up to the amount for which it is probable that there will be future taxable income against which the temporary difference can be used. The prerequisites for recognizing deferred tax assets are assessed on the closing date of the reporting period. Deferred tax liabilities are recognized in full. Deferred taxes are recognized using the tax rates enacted or factually confirmed by the closing date of the reporting period.
Significant estimates based on management judgment
The decision on recognizing deferred tax assets on the balance sheet requires discretion. Deferred tax assets are only recognized when it is more likely that they will be realized than not realized, which, in turn, is determined by whether sufficient taxable income will be generated in the future. The assumptions concerning the accumulation of taxable income are based on future cash flows projected by the management. These estimates concerning future cash flows, on the other hand, depend on estimates concerning the volume of future sales, business expenses, investments, and other items affecting the profitability of business operations, among other things. These estimates and assumptions involve risks and uncertainty and, therefore, it is possible that changes in conditions result in charges in expectations, which in turn can affect the deferred tax assets recognized on the balance sheet as well as any other tax losses or temporary differences not yet recognized.
The ability of the Sitowise Group to accumulate taxable income also depends on general factors relating to the economy, financing, competitiveness, legislation, and regulation which are beyond its own control. If the future taxable income of the Sitowise Group is lower than projected by the management when measuring the deferred tax assets to be recognized, the value of the assets decreases or they lose all value. In this case, the amounts recognized on the balance sheet may have to be reversed through profit and loss. Changes in circumstances can also lead to recognizing deferred tax assets for confirmed losses for which no receivables have been currently recognized.
EUR thousand | 2025 | 2024 |
Tax based on the taxable profit for the financial period | -339 | -474 |
Adjustments concerning previous financial periods | 0 | 122 |
Change in deferred taxes | 1,338 | 1,018 |
Total | 999 | 666 |
Reconciliation between tax expenses and taxes calculated using the 20% domestic tax rate
EUR thousand | 2025 | 2024 |
Profit before taxes | -43,429 | -3,377 |
Tax calculated using the 20% domestic tax rate | 8,686 | 675 |
Adjustments concerning previous financial periods | -16 | 122 |
Differing tax rates of foreign subsidiaries | 1,181 | 221 |
Tax-free income and non-deductible expenses | -7,732 | 286 |
Confirmed loss | 0 | 0 |
Other items | -1,120 | -638 |
Taxes on the profit and loss account | 999 | 666 |
Deferred tax assets and liabilities
EUR thousand | January 1, 2025 | Recognized on the income statement | Recognized in shareholders\u2019 equity | December 31, 2025 |
Lease Liabilities | 4,922 | 297 | 89 | 5,308 |
Other items | 454 | 931 | 41 | 1,426 |
Deferrex tax assets total | 5,376 | 1,228 | 129 | 6,734 |
Netting of deferred tax assets and liabilities | -4,612 | -228 | -86 | -4,926 |
Deferrex tax assets after netting | 765 | 999 | 44 | 1,808 |
Financial items | 84 | 33 | -59 | 58 |
Tax provisions | 125 | -22 | 7 | 109 |
Right-of-use assets | 4,612 | 228 | 86 | 4,926 |
Other items | 775 | -348 | -9 | 419 |
Deferred tax liabilities total | 5,595 | -109 | 25 | 5,511 |
Netting of deferred tax assets and liabilities | -4,612 | -228 | -86 | -4,926 |
Deferred tax liabilities after netting | 984 | -337 | -61 | 586 |
EUR thousand | January 1, 2024 | Recognized on the income statement | Recognized in shareholders\u2019 equity | December 31, 2024 |
Lease Liabilities | 5,570 | -619 | -29 | 4,922 |
Other items | 469 | -14 | -1 | 454 |
Deferrex tax assets total | 6,039 | -632 | -30 | 5,376 |
Netting of deferred tax assets and liabilities | -5,307 | 667 | 28 | -4,612 |
Deferrex tax assets after netting | 732 | 35 | -2 | 765 |
Financial items | 104 | -20 | 0 | 84 |
Tax provisions | 664 | -519 | -20 | 125 |
Right-of-use assets | 5,307 | -667 | -28 | 4,612 |
Other items | 775 | -444 | 445 | 775 |
Deferrex tax liabilities total | 6,849 | -1,651 | 397 | 5,595 |
Netting of deferred tax assets and liabilities | -5,307 | 667 | 28 | -4,612 |
Deferred tax liabilities after netting | 1,542 | -984 | 425 | 984 |
Deferred tax assets and liabilities
EUR thousand | January 1, 2025 | Recognized on the income statement | Recognized in shareholders\u2019 equity | December 31, 2025 |
Lease Liabilities | 4,922 | 297 | 89 | 5,308 |
Other items | 454 | 931 | 41 | 1,426 |
Deferrex tax assets total | 5,376 | 1,228 | 129 | 6,734 |
Netting of deferred tax assets and liabilities | -4,612 | -228 | -86 | -4,926 |
Deferrex tax assets after netting | 765 | 999 | 44 | 1,808 |
Financial items | 84 | 33 | -59 | 58 |
Tax provisions | 125 | -22 | 7 | 109 |
Right-of-use assets | 4,612 | 228 | 86 | 4,926 |
Other items | 775 | -348 | -9 | 419 |
Deferred tax liabilities total | 5,595 | -109 | 25 | 5,511 |
Netting of deferred tax assets and liabilities | -4,612 | -228 | -86 | -4,926 |
Deferred tax liabilities after netting | 984 | -337 | -61 | 586 |
EUR thousand | January 1, 2024 | Recognized on the income statement | Recognized in shareholders\u2019 equity | December 31, 2024 |
Lease Liabilities | 5,570 | -619 | -29 | 4,922 |
Other items | 469 | -14 | -1 | 454 |
Deferrex tax assets total | 6,039 | -632 | -30 | 5,376 |
Netting of deferred tax assets and liabilities | -5,307 | 667 | 28 | -4,612 |
Deferrex tax assets after netting | 732 | 35 | -2 | 765 |
Financial items | 104 | -20 | 0 | 84 |
Tax provisions | 664 | -519 | -20 | 125 |
Right-of-use assets | 5,307 | -667 | -28 | 4,612 |
Other items | 775 | -444 | 445 | 775 |
Deferrex tax liabilities total | 6,849 | -1,651 | 397 | 5,595 |
Netting of deferred tax assets and liabilities | -5,307 | 667 | 28 | -4,612 |
Deferred tax liabilities after netting | 1,542 | -984 | 425 | 984 |
6.3\tRELATED PARTY TRANSACTIONS
Accounting policy
Parties are considered to be related when one party can exercise control, shared control, or significant influence over the other in decision-making involving its finances and operating activities.
The related parties of the parent company include subsidiaries, associated companies, and key management personnel, family members of the management and companies over which they exercise control. Key management personnel include members of the Board of Directors, the CEO, and members of the Group Management Team.
Balances and transactions between the Group and its subsidiaries and common functions are eliminated in the consolidated financial statements, and they are not reported in this note. The transactions between them have been carried out on market terms.
6.3.1\tTransactions with related parties
EUR thousand | 2025 | 2024 |
Other related parties | ||
Purchases | 164 | 11 |
Receivables | 128 | 127 |
Payables | 19 | 11 |
During financial year 2024 Sitowise Oy sold shares of AS DWG to the other shareholders, reducing its ownership from 55 percent to 25 percent. After the change, from the beginning of December 2024, AS DWG is presented as an associated company of Sitowise and as a part of related parties. Related party transactions for the financial period are related to loan given to AS DWG and normal project contracts. AS DWG was reported as a subsidiary until November 2024.
The company had no other related party transactions during the financial period.
6.3.2\tEmployment benefits for management belonging to related parties
The management of Sitowise Group Plc consists of the Board of Directors, the CEO, and the members of the Group Management Team.
EUR thousand | 2025 | 2024 |
Wages, salaries and other short-term employment benefits | 1,648 | 1,659 |
Share-based payment expenses * | 173 | 55 |
Post employment benefits | 297 | 529 |
Total | 2,119 | 2,243 |
* Includes the expenses for all outstanding equity grants recorded during the year
A long-term incentive plan, i.e. an option program, was established in connection with the listing (Note 4.3.4) in 2021. The option program includes the company's management, excluding the Board of Directors, and the company's key personnel.
In 2023, the Board of Directors decided to establish a new performance-based, long-term incentive plan (Note 4.3.5). The program consists of annually commencing individual three-year plans. In March 2023, the Board of Directors of Sitowise decided to establish performance-based share incentive program Performance Share Plan 2023\u20132025 (Performance Share Plan 2023-2025). In March 2024, the Board of Directors of Sitowise decided to establish performance-based share incentive program Performance Share Plan 2024\u20132026 (PSP 2024\u20132026). In February 2025, the Bord of Directors of Sitowise decided to establish performance-based share incentive program Performance Share Plan 2025-2027 (PSP 2025-2027). The participants of the PSP plans have the opportunity to earn Sitowise shares and cash as a long-term incentive reward, if the performance targets set by the Board of Directors for the plans are achieved. The plans have a three-year performance period, and the participants include the CEO and other members of the Sitowise Group Management Team as well as other management and experts.
Additionally Sitowise also has three supplementary share-based long-term incentive plans in place Restricted Share Plan 2023-2025, Restricted Share Plan 2024-2026 and Restricted Share Plan 2025-2027.
The commencement of each individual plan and its terms, the length of the performance or retention period within the plan, the
performance criteria, the eligible participants thereof and the earning opportunity is subject to a separate decision of the company\u2019s Board of Directors in each case.
The purpose of the plans is to align the interests of the management and key personnel with the interests of the shareholders and thereby increase the shareholder value in the long term, and to commit the management and key personnel to achieving Sitowise's strategic goals. Additionally, the purpose is to commit Sitowise's key resources to the company by offering competitive long-term incentive plans.
EUR thousand | 2025 | 2024 |
Remuneration of the Board of Directors | 252 | 280 |
Remuneration of the CEO, including fringe benefits | 482 | 486 |
Remuneration of the Management Team, including fringe benefits | 1,384 | 1,477 |
Total | 2,119 | 2,243 |
6.3.3\tRemuneration of the Board of Directors and the CEO's salary with fringe benefits
In accordance with the Finnish Limited Liability Companies Act, the remuneration paid to the members of the Board of Directors is decided by the shareholders at the Annual General Meeting. The shareholders of the company decided on 2 April 2025, as part of the matters decided at the Annual General Meeting, the remuneration of the Chair of the Board of Directors will be EUR 4,750 per month and the remuneration of the other members of the Board of Directors will be EUR 2,250 per month. It was also decided that the Chair of the Board and the Chairs of the Audit and Personnel Committees will be paid an attendance allowance of EUR 1,000 per meeting, and the other members of the Board and the members of the Audit and Personnel Committees will be paid an attendance allowance of EUR 400 per meeting. The allowances are the same as paid in the previous term. In addition, it was decided that the travel expenses of the members of the Board of Directors will be reimbursed in accordance with Sitowise's travel policy. The Annual General Meeting resolved on 2 April 2025 that no remuneration shall be paid for the Nomination Board members for the term initiating in September 2025. Travel expenses of the
members of the Nomination Board will be compensated against receipt in accordance with the Company's travel policy.
The CEO is covered by the Finnish statutory earnings-related pension scheme. The retirement age of the CEO is the minimum personal retirement age according to the law. The CEO's notice period is six months for both parties. The CEO is generally not entitled to a severance package in addition to their remaining regular pay if they resign.
EUR thousand | 2025 | 2024 |
Board of Directors | ||
Heli\u00f6vaara Eero, Chair of the Board | 72 | 73 |
Kyll\u00f6nen Taina (until 4. April 2024) | 0 | 6 |
Ronkainen Anni (until 2. April 2025 ) | 8 | 25 |
Leino-Haltia Mirel | 39 | 38 |
Piispanen Elina | 33 | 33 |
Rignell Petri (until 4. April 2024) | 0 | 5 |
Terho Tomi | 32 | 33 |
S\u00f6rensen Niklas | 32 | 33 |
\u00c5str\u00f6m Mats (until 2. April 2025) | 8 | 34 |
Zeidler Rodolfo (from 2. April 2025) | 27 | 0 |
Total remuneration of the Board of Directors | 252 | 280 |
CEO | ||
Haasmaa Heikki (since 1 May 2022) | 482 | 458 |
Total CEO's salary with fringe benefits | 482 | 458 |
6.3.4\tManagement stock options
The company\u2019s management was granted stock options in the spring of 2021 and during financial years 2022 and 2023. Amendments were made to the program during 2023 and 2024, and the company's management waived part of the options given to them during 2024. The table below lists the options held by the CEO and the members of the Group\u2019s Management Team. The Board of Directors holds no options.
December 31, 2025 | Match2022A | Match2022B | Performance 2022A | Performance 2022B | Total |
Options granted | 0 | 44,363 | 0 | 0 | 44,363 (1 |
Of which exercisable | 0 | 44,363 | 0 | 0 | 44,363 |
Total number of shares entitled to | 0 | 44,363 | 0 | 0 | 44,363 |
(1The options returned to the company by who left his positions in the financial year 2025 are no longer included in the management options on 31 December 2025.
The option program and changes are described in more detail in Note 4.3.4.
", "dimensions": { "concept": "ifrs-full:DisclosureOfRelatedPartyExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__126": { "value": "6.3\tRELATED PARTY TRANSACTIONS
Accounting policy
Parties are considered to be related when one party can exercise control, shared control, or significant influence over the other in decision-making involving its finances and operating activities.
The related parties of the parent company include subsidiaries, associated companies, and key management personnel, family members of the management and companies over which they exercise control. Key management personnel include members of the Board of Directors, the CEO, and members of the Group Management Team.
Balances and transactions between the Group and its subsidiaries and common functions are eliminated in the consolidated financial statements, and they are not reported in this note. The transactions between them have been carried out on market terms.
", "dimensions": { "concept": "ifrs-full:DescriptionOfAccountingPolicyForTransactionsWithRelatedPartiesExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__131": { "value": "6.4\tGUARANTEES AND CONTINGENT LIABILITIES
The guarantees and contingent liabilities of the Sitowise Group are presented in the table below:
EUR thousand | December 31, 2025 | December 31, 2024 |
Commitments on behalf of own obligations | ||
Bank guarantees | 1,998 | 1,499 |
Pledges | 117,000 | 0 |
Total | 118,998 | 1,499 |
Lease commitments on short-term leases and leases of low-value | December 31, 2025 | December 31, 2024 |
To be paid in the next financial period | 1,251 | 1,322 |
To be paid later | 1,319 | 1,617 |
Total | 2,570 | 2,939 |
Sitowise Group Plc signed a 90 million euros secured financing agreement with two of its relationship banks on 7 March 2025. The agreement is valid until 12 June 2027 and replaced the EUR 100 million financing agreement maturing on 12 March 2026. In connection with the extension of the financing agreement, collateral package provided by the company was included to the terms of the agreement.
In accordance with the terms of the financing agreement, Sitowise Group Plc has provided as collateral all shares it holds in Sitowise Oy and Sitowise Sverige AB, corporate pledges over the movable assets of both the borrower and Sitowise Oy, as well as intra-group shareholder loan receivables from Sitowise Oy and Sitowise Sverige AB. The corporate pledges amount to total value of EUR 117.0 million.
No pledges or real collateral had been provided as a guarantee for the financing agreement negotiated in connection with the listing that was in force during the 2024 financial year.
Bank guarantees totaling EUR 2.0 (1.5) million have been provided for the benefit of lessors against the leases of the premises.
6.4\tGUARANTEES AND CONTINGENT LIABILITIES
The guarantees and contingent liabilities of the Sitowise Group are presented in the table below:
EUR thousand | December 31, 2025 | December 31, 2024 |
Commitments on behalf of own obligations | ||
Bank guarantees | 1,998 | 1,499 |
Pledges | 117,000 | 0 |
Total | 118,998 | 1,499 |
Lease commitments on short-term leases and leases of low-value | December 31, 2025 | December 31, 2024 |
To be paid in the next financial period | 1,251 | 1,322 |
To be paid later | 1,319 | 1,617 |
Total | 2,570 | 2,939 |
Sitowise Group Plc signed a 90 million euros secured financing agreement with two of its relationship banks on 7 March 2025. The agreement is valid until 12 June 2027 and replaced the EUR 100 million financing agreement maturing on 12 March 2026. In connection with the extension of the financing agreement, collateral package provided by the company was included to the terms of the agreement.
In accordance with the terms of the financing agreement, Sitowise Group Plc has provided as collateral all shares it holds in Sitowise Oy and Sitowise Sverige AB, corporate pledges over the movable assets of both the borrower and Sitowise Oy, as well as intra-group shareholder loan receivables from Sitowise Oy and Sitowise Sverige AB. The corporate pledges amount to total value of EUR 117.0 million.
No pledges or real collateral had been provided as a guarantee for the financing agreement negotiated in connection with the listing that was in force during the 2024 financial year.
Bank guarantees totaling EUR 2.0 (1.5) million have been provided for the benefit of lessors against the leases of the premises.
6.4\tGUARANTEES AND CONTINGENT LIABILITIES
The guarantees and contingent liabilities of the Sitowise Group are presented in the table below:
EUR thousand | December 31, 2025 | December 31, 2024 |
Commitments on behalf of own obligations | ||
Bank guarantees | 1,998 | 1,499 |
Pledges | 117,000 | 0 |
Total | 118,998 | 1,499 |
Lease commitments on short-term leases and leases of low-value | December 31, 2025 | December 31, 2024 |
To be paid in the next financial period | 1,251 | 1,322 |
To be paid later | 1,319 | 1,617 |
Total | 2,570 | 2,939 |
Sitowise Group Plc signed a 90 million euros secured financing agreement with two of its relationship banks on 7 March 2025. The agreement is valid until 12 June 2027 and replaced the EUR 100 million financing agreement maturing on 12 March 2026. In connection with the extension of the financing agreement, collateral package provided by the company was included to the terms of the agreement.
In accordance with the terms of the financing agreement, Sitowise Group Plc has provided as collateral all shares it holds in Sitowise Oy and Sitowise Sverige AB, corporate pledges over the movable assets of both the borrower and Sitowise Oy, as well as intra-group shareholder loan receivables from Sitowise Oy and Sitowise Sverige AB. The corporate pledges amount to total value of EUR 117.0 million.
No pledges or real collateral had been provided as a guarantee for the financing agreement negotiated in connection with the listing that was in force during the 2024 financial year.
Bank guarantees totaling EUR 2.0 (1.5) million have been provided for the benefit of lessors against the leases of the premises.
6.5\tDISPUTES AND LITIGATION
Sitowise Oy has a pending legal proceeding with a former client relating to a Finnish residential apartment building project from a few years back. A substantial claim has been presented to Sitowise by the counterparty, but according to the company\u2019s view, the claim is unfounded. Sitowise has also presented a claim to the counterparty for the unpaid part of the project payment, plus the delay interest. The company estimates that the proceedings will take years.
Additionally, the group has ongoing disputes that are considered usual.
", "dimensions": { "concept": "ifrs-full:DisclosureOfAdditionalInformationExplanatory", "language": "en", "entity": "scheme:743700HOHMOHAANHFF73", "period": "2025-01-01T00:00:00/2026-01-01T00:00:00" } }, "f0__s6__6__135": { "value": "6.6\tMAJOR EVENTS AFTER THE CLOSING DATE
Changes in the Company\u2019s Management
M.Sc. (Econ.) Sanna Sormaala started as Sitowise\u2019s CFO and a member of the Group Management Team on 7 January 2026.
Sitowise\u2019s CEO Heikki Haasmaa resigned from his position on 12 January 2026. M.Sc. (Econ.) Anna W\u00e4ck was appointed the company\u2019s new CEO as of 19 January 2026, and M.Sc. (Tech.) Jannis Mikkola was appointed Deputy CEO and ESVP Technical cConsulting as of 19 January 2026.
Mikko Korhonen was appointed the company\u2019s Chief Technology Officer (CTO) and a member of the Group Management Team as of 1.3.2026. He success Sitowise\u2019s CIO Turo Tinkanen, who resigned from his position in October 2025.
Elina V\u00e4ist\u00f6 was appointed on 21 January 2026 as Head of Sitowise\u2019s Infrastructure business area and a member of the Group Management Team as of 26 January 2026. She succeeds Jannis Mikkola in this role. Sami Lankiniemi was appointed on 21 January 2026 as Head of Sitowise\u2019s Digital Solutions business area and a member of the Group Management Team as of 26 January 2026. He succeeds Anna W\u00e4ck in this role.
Timo R\u00e4ikk\u00f6nen, SVP, Buildings Business Area and member of the Group Management Team, left his position on 26 January 2026. The search for his successor has begun, and Jannis Mikkola, EVP Technical consulting at Sitowise, will temporarily assume the duties of SVP, Buildings Business Area.
After the appointments, the composition of Sitowise Group\u2019s Management Team is as follows as of 1 March 2026:
Anna W\u00e4ck, CEO
Jannis Mikkola, Deputy CEO and EVP Technical consulting, interim SVP Buildings Business Area
Elina V\u00e4ist\u00f6, SVP, Infra Business Area
Sami Lankiniemi, SVP, Digital Solutions Business Area
Daniel Doeser, EVP, Sweden Business Area
Taija Lehtola, CHRO
Sanna Sormaala, CFO
Mikko Korhonen, CTO
Proposals of the Shareholders nomination
board of Sitowise for the annual general meeting 2026
On 25 February 2026, the Shareholders' Nomination Board of Sitowise Group Plc submitted its proposals for the Annual General Meeting which is planned to be held on 26 March 2026.
The Nomination Board proposes that the Board of Directors and its committees receive for the term of office ending at the termination of the Annual General Meeting 2027 the following remuneration:
EUR 5,250 (earlier EUR 4,750) per month for the chair of the Board of Directors
EUR 2,500 (earlier EUR 2,250) per month for other board members
the meeting fee of EUR 1,000 (no change) per meeting for the chair of the Board of Directors and chairs of the board committees and the meeting fee of EUR 400 (no change) per meeting for other members of the Board of Directors and the other board committee members.
The Nomination Board also proposes re-electing current members Eero Heli\u00f6vaara, Mirel Leino-Haltia, Elina Piispanen, Tomi Terho and Rodolfo Zeidler, and electing Tawhid Ali as a new member to the Sitowise Group Plc \u2018s Board of Directors for the term ending at the 2027 Annual General Meeting. Proposals in full are available on Sitowise\u2019s investor site at https://www.sitowise.com/annual-general-meeting-2026