Sylogist Announces Second Quarter 2026 Results
Rhea-AI Summary
Sylogist (SYZLF) reported Q2 2026 total revenue of $14.7 million, down 6.5% year over year. SaaS subscription revenue was $8.3 million (up 5.4%), and total recurring revenue was $11.2 million, up 2.2% and representing 76% of total revenue.
According to Sylogist, SaaS annualized recurring revenue (SaaS ARR) rose 6% year over year to $33.5 million, and total ARR increased 3% to $45.0 million. Gross profit margin was 57%. The company recorded a net loss of $2.8 million and reported Adjusted EBITDA of $1.6 million, a margin of 10.8%.
Sylogist will hold a conference call on August 12, 2026, at 8:30 AM ET to discuss the results.
Positive
- SaaS ARR up 6% Y/Y to $33.5 million
- Total ARR up 3% Y/Y to $45.0 million
- Recurring revenue comprises 76% of total revenue
- Gross profit margin reported at 57%
- Adjusted EBITDA of $1.6 million with 10.8% margin
Negative
- Total revenue declined 6.5% Y/Y to $14.7 million
- Net loss reported at $2.8 million for Q2 2026
AI-generated analysis. How Rhea-AI works. Not financial advice.
Q2 2026 Highlights
| Revenue (in $ millions) | |||||
| SaaS Subscription | Recurring | Total | |||
| Reported | Y/Y growth | Reported | Y/Y growth | Reported | Y/Y growth |
| (6.5)% | |||||
- SaaS ARR up
6% Y/Y to$33.5 million - Total ARR up
3% Y/Y to$45.0 million - Gross Profit margin of
57% - Recurring Revenue at
76% of Total Revenue - Net Loss of
$2.8 million - Adjusted EBITDA1 margin of
10.8% or$1.6 million
Calgary, Alberta--(Newsfile Corp. - August 11, 2026) - Sylogist Ltd. (TSX: SYZ) ("Sylogist" or the "Company"), a leading public sector SaaS company, today announced its financial results for the three and six-months ended June 30, 2026.
"Our second quarter marked an important step forward as we continued strengthening the operational foundation of the business," said Joel Leetzow, CEO of Sylogist. "While we have more work ahead, I am encouraged by the progress our team has made in a relatively short period of time. As we move through the balance of Fiscal 2026, our priorities remain clear: improving execution, strengthening our product portfolio, investing where it enhances the customer experience, and operating with discipline. We believe these actions position Sylogist to deliver sustainable long-term growth and increasing shareholder value."
The Company will host a conference call at 8:30 AM Eastern Time on August 12, 2026.
Conference Call Details:
Date: Wednesday, August 12, 2026
Time: 8:30 AM ET
Participant Toll-Free Dial-In Number: +1-833-752-3805
Participant International Dial-In Number: +1-647-846-8841
Webcast link: https://event.choruscall.com/mediaframe/webcast.html?webcastid=cNdn4veM
This conference call will be recorded and available for replay on the Company's website.
About Sylogist
Sylogist provides mission-critical SaaS solutions to public sector customers across the government, nonprofit, and education market segments. The Company's stock is traded on the Toronto Stock Exchange under the symbol SYZ. Information about Sylogist can be found at sedarplus.ca or at sylogist.com.
Forward-Looking Statements
Certain statements in this news release may be forward-looking statements within the meaning of applicable securities laws and regulations. These statements typically use words such as will, expect, believe, estimate, project, anticipate, plan, may, should, could and would, or the negative of these terms, variations thereof or similar terminology. By their very nature, forward-looking statements are based on assumptions and involve inherent risks and uncertainties, both general and specific in nature. It is therefore possible that the beliefs and plans and other forward-looking expectations expressed herein will not be achieved or will prove inaccurate. Although Sylogist believes that the expectations reflected in these forward-looking statements are reasonable, it provides no assurance that these expectations will prove to have been correct. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes statements with respect to purchase and cancellation of the Common Shares, payment of prevailing market price for such Common Shares at the time of purchase, the termination of the NCIB, how from time to time the market price of the Sylogist Common Shares may not reflect their underlying or intrinsic value and that, at such times, the purchase of Common Shares for cancellation will increase the proportionate interest of, and be advantageous to, all remaining holders of Common Shares. Material assumptions and factors that could cause actual results to differ materially from such forward-looking information include Sylogist's ability to attract and retain customers and to realize on its investments. Although Sylogist believes that the material assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur. Sylogist disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
Certain information set out herein may be considered as "financial outlook" within the meaning of applicable securities laws. The purpose of this financial outlook is to provide readers with disclosure regarding Sylogist's reasonable expectations as to the anticipated results of its proposed business activities for the periods indicated. Readers are cautioned that the financial outlook may not be appropriate for other purposes.
Non-IFRS Financial Measures
This news release refers to certain non-IFRS measures. These non-IFRS measures do not have any standardized meaning prescribed by IFRS and may not be comparable to similarly titled measures reported by other companies. These measures are provided as additional information to complement measures under IFRS by providing further understanding of the Company's expected results of operations from management's perspective. Accordingly, such measures should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS. Adjusted EBITDA, Adjusted EBITDA Margin, Annualized Recurring Revenue ("ARR"), and Software as a Service ("SaaS") ARR are non-IFRS financial measures.
- Adjusted EBITDA is calculated as earnings before interest expense, interest income, income taxes, depreciation and amortization, stock-based compensation, foreign exchange gains/losses and the impact of acquisition and restructuring and divestitures incurred in a given reporting period.
- Adjusted EBITDA Margin refers to Adjusted EBITDA as a percentage of revenue.
- ARR is defined as the annualized value of contractually committed SaaS and maintenance and support services. This quantification assumes that customers will renew the contractual commitment on a periodic basis as they come up for renewal unless the customer has notified the Company of its intention to cancel. This portion of the Company's revenue is predictable and stable.
- SaaS ARR refers to ARR attributable to SaaS customer contracts.
Adjusted EBITDA, Adjusted EBITDA Margin, ARR, and SaaS ARR are provided to investors as alternative methods for assessing the Company's operating results in a manner that is focused on the Company's ongoing operations and to provide a more consistent basis for comparison between periods. These measures should not be construed as alternatives to financial measures determined in accordance with IFRS as an indicator of the Company's performance.
For further information regarding non-IFRS measures used by the Company, please refer to a copy of the financial statements and Management's Discussion and Analysis of the Company, copies of which are available on Sylogist's SEDAR+ profile at www.sedarplus.ca.
Currency and Rounding
All amounts in this news release are expressed in millions of Canadian dollars unless otherwise stated. All percentage variations expressed herein have been calculated based on variations resulting from numbers expressed in millions. Any potential differences from similarly calculated percentages in the Company's financial statements and Management's Discussion and Analysis are due to rounding and are nonmaterial.
For further information, contact:
1 For a reconciliation of "Adjusted EBITDA" to reported "Net Loss" please refer to the Company's Management Discussion and Analysis for the three and six months ended June 30, 2026, at sedarplus.ca or sylogist.com.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/309267