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    NNIT (CPSE:NNIT) Stock Faces Shrinking Revenue And Deeper Losses

    Simply Wall St·08/28/2026 21:29:59
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    Investors came into this NNIT print looking at a beaten up stock that still managed a 30 day gain of about 8.6%. The long running thesis has been simple: a discounted IT services stock that might eventually turn narrowing losses and modest revenue growth into something more durable.

    Today's H1 2026 headline is harsher. Revenue landed at DKK 864m while NNIT reported a loss of DKK 20m, which translates into basic earnings per share of DKK 0.81 in the red. The gap between the recovery story and the income statement remains the central issue for this stock.

    Is NNIT a genuine bargain at a low P/S multiple, or a stock that looks cheap for a reason given ongoing losses? Compare the market price with the fundamentals in the valuation analysis for NNIT

    H1 2026 Earnings Summary

    • Revenue (H1 2026 vs. H1 2025): DKK 864m vs. DKK 926m (decline of about 6.7%)
    • Net Loss (H1 2026 vs. H1 2025): DKK 20m loss vs. DKK 11m loss (loss widened by about 81.8%)
    • Basic EPS (H1 2026 vs. H1 2025): DKK 0.81 loss per share vs. DKK 0.44 loss per share (loss per share increased by about 84.1%)
    • Group EBIT Margin excluding special items (Q2 2026 vs. Q2 2025): 4.8%, described as broadly stable year on year according to management commentary

    Prefer clear visuals instead of another wall of earnings figures and ratios? See NNIT's valuation picture laid out in simple, interactive charts inside the full company report for NNIT.

    CPSE:NNIT Trailing 12-Month Revenue & Expenses Breakdown as at Aug 2026
    CPSE:NNIT Trailing 12-Month Revenue & Expenses Breakdown as at Aug 2026

    NNIT bull case leans on margin resilience

    For investors who see NNIT as a specialist IT partner, the latest figures offer some support. Revenue in H1 2026 fell, yet the group EBIT margin excluding special items in Q2 held at 4.8% and management kept full year margin guidance at 4% to 7%. Free cash flow turned positive in Q2 at DKK 8m after a weak prior year period. The U.S. life sciences unit moved from low single digit margin in Q1 to 29.5% in Q2, which shows that cost actions and utilization focus can lift profitability even when revenue is under pressure.

    Bear case focuses on shrinking top line

    The cautious view on NNIT is also getting support from these numbers. Group revenue declined about 6.7% year on year in H1, with Europe, U.S. and Asia life sciences all reporting double digit revenue declines in constant currency on a Q2 basis. The company is still loss making at H1 with a DKK 20m net loss and basic EPS of DKK 0.81 in the red. Management highlights order intake and AI platforms, but the formal full year outlook still points to single digit negative revenue growth for 2026.

    With NNIT still loss making and investors weighing a low P/S multiple against execution risk, it is worth checking whether the balance sheet actually supports the turnaround story. Verify the cash runway, interest coverage and debt capacity in the financial health analysis of NNIT stock.

    Take Control of Your Next Move

    If NNIT's mix of margin resilience and ongoing losses has your attention, register for free with Simply Wall St and add it to a Watchlist to track the share price against fair value and watch for a more attractive entry point. After you decide to take a position, keep your focus on what really matters by using the Portfolio Command Center to cut through noise and see only key developments on NNIT and your other holdings. For longer term conviction, compare your view with other investors through the Community and see how sentiment evolves around updates like these H1 2026 results. That way you can spot potential catalysts or risks early and stay a step ahead of the wider market.

    Seeking Alternatives Beyond NNIT Now

    Fresh stock ideas can move from quiet to breakout fast. Momentum shifts, under the radar for now, then the crowd piles in. Use these screeners and get in early.

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.