Tecsys Reports Financial Results for the Third Quarter of Fiscal 2026
Executive Summary
- Tecsys reported record Adjusted EBITDA of C$5.0 M for Q3 FY2026, a 43% YoY increase, and reaffirmed full‑year guidance.
- SaaS revenue grew 17% to C$20.1 M; total revenue rose to C$48.5 M; net profit improved to C$1.7 M (C$0.12/share).
- The company announced a workforce reduction (~7%) with an expected restructuring charge of C$4.5 M and annual cost savings of C$8.1 M.
Key Details
- Financial Highlights – Q3 FY2026
- SaaS revenue: C$20.1 M (↑17% YoY) vs. C$17.3 M in Q3 FY2025.
- SaaS ARR: C$83.3 M (↑10%).
- SaaS RPO: C$248.9 M (↑18%).
- Total revenue: C$48.5 M (↑7%).
- Net profit: C$1.734 M (C$0.12/share) vs. C$1.193 M (C$0.08) prior year.
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Adjusted EBITDA: C$5.0 M (↑43%) vs. C$3.535 M YoY.
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Year‑to‑Date (9 months) FY2026
- SaaS revenue: C$58.9 M (↑21%).
- Total revenue: C$143.1 M (↑10%).
- Net profit: C$4.3 M (C$0.29/share).
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Adjusted EBITDA: C$13.3 M (↑46%).
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Normal Course Issuer Bid (NCIB)
- Q3: Acquired 115,000 shares for ≈ C$3.7 M.
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FY‑to‑date: Acquired 216,014 shares for ≈ C$7.3 M.
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Workforce Reduction
- ~7% of staff to be let go; restructuring charge C$4.5 M recorded in Q4 FY2026.
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Expected annual operating cost savings: C$8.1 M.
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Guidance reaffirmed for FY2026
- Total revenue growth: 8‑10%.
- SaaS revenue growth: 20‑22%.
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Adjusted EBITDA margin: 8‑9%.
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Dividend
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Quarterly dividend declared: C$0.09 per share, payable April 15 2026 (record date March 25 2026).
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Conference Call
- Date: March 5 2026, 8:30 a.m. ET; replay available until March 12 2026.
Notable Quotes
“We are very pleased with our third quarter performance… record SaaS revenue and record Adjusted EBITDA, which increased 43% over the same period last year.” – Peter Brereton, President & CEO
“Subsequent to the end of the third quarter, we implemented a workforce reduction of approximately 7% … will generate approximately C$8.1 M in annual operating cost savings.” – Mark Bentler, CFO