TomTom Reports Operating Profit in Q2 as Cost Cuts Boost Margins
TomTom’s Second Quarter Financial Performance Overview
Return to Operating Profit
July 15 (Reuters) - Dutch digital mapping specialist TomTom on Wednesday returned to an operating profit in the second quarter from a year-earlier loss, as cost cuts helped improve margins.
Revenue and Client Base
The company, whose customers include Microsoft, Uber and Volkswagen, reported lower revenue as an expected transition from old to new contracts weighed.
Key Financial Highlights
- EBIT improved to €8.5 million ($9.7 million), beating the company-provided consensus of €8 million
- Revenue dropped to €134.6 million, compared with €135 million expected by analysts
- Operating margin turned positive to 6%, helped by lower costs
- Confirmed full-year revenue outlook, and return to growth in 2027 onwards
Currency Exchange Rate
($1 = 0.8744 euros)
Reporting Credits
(Reporting by Mathias de Rozario in Gdansk and Ronan Corcoran; editing by Bartosz Dabrowski)
