NFON increased its revenue by four per cent to Є22.1 million in Q1 2025.
The main growth driver was the revenue contribution from AI solutions, especially from AI specialist botario, which was acquired in the previous year and contributed Є800,000 in revenue.
Targeted price adjustments and premium solutions, particularly in the contact centre solutions area, drove revenue growth.
This underscores NFON’s strategic focus on AI-based communication solutions, which are becoming increasingly important as revenue growth drivers.
Patrik Heider, CEO of NFON, said, “The first quarter shows that with NFON Next 2027 we have set the right strategic course. Our investments in AI and premium solutions are beginning to bear fruit, even if the market reflects some restraint at present.
"Our guiding principle: ‘We rethink business communication, inspiring and connecting people to grow together sustainably’ is more than just a claim – it is becoming increasingly visible in our operational development and growth. NFON is on the right path to achieve further profitable growth.”
Revenue growth was once again driven mainly by recurring revenue, which was up by 4.3 per cent to Є20.7 million and now accounts for 93.9 per cent of total revenue.
The number of installed seats recorded moderate growth to 661,349. At the same time, higher revenue per seat was achieved through price adjustments and upselling in the premium solutions area, which resulted in a higher blended ARPU of Є10.02.
Despite targeted investments in personnel and initiatives in the area of artificial AI, adjusted EBITDA was down slightly at Є2.6 million.
Operating cash flow almost doubled to Є1.8 million. Capital expenditure remained stable at Є700,000.