Sollers: H1 2026 loss amid EBITDA decline and rising debt

On July 31, 2026, Sollers reported H1 2026 results: revenue grew 29.3% YoY, but EBITDA fell 130.7%, and net loss reached RUB 106.9 million versus profit a year earlier. This review examines what happened to operational efficiency, how debt changed, and what it means for shareholders.

Key takeaways

— Revenue grew 29.3% for the half-year, but EBITDA turned negative at -130.7%

— EBITDA margin fell from 6.0% to -1.4% for the half-year

— Net loss of RUB 106.9 million versus profit of RUB 3,934.7 million a year earlier

— Debt rose by RUB 14.4 billion over 12 months, but Net Debt/EBITDA LTM is 2.23

— Dividends over 12 months were RUB 25.5 per share, but next payout is estimated at RUB 7.03

— Shares fell 7.8% after the report, but P/E LTM is 13.7, EV/EBITDA LTM is 4.0

Key figures, RUB bn

Revenue grew 29.3% for the half-year, but EBITDA turned negative at -130.7%

For H1 2026, Sollers' revenue reached RUB 318.3 million, up 29.3% from the same period last year. However, EBITDA for the same period fell 130.7% to a negative figure. This means operating activities no longer generate profit before depreciation and interest.

Consulting services contributed the bulk of revenue – RUB 316.7 million out of RUB 318.3 million. Cost of sales is not disclosed, but administrative expenses amounted to RUB 601.8 million, exceeding revenue. As a result, operating loss reached RUB 283.5 million, worse than the RUB 420.8 million loss a year earlier.

EBITDA margin fell from 6.0% to -1.4% for the half-year

EBITDA margin for H1 2026 was -1.4% versus 6.0% a year earlier. The 7.4 percentage point decline reflects costs growing faster than revenue. Administrative expenses decreased 9.4% YoY, but revenue grew faster, which did not offset the decline in operational efficiency.

A negative margin means every ruble of revenue generates an operating loss. This could be due to one-off factors, but they are not disclosed in the report. For shareholders, this is a signal to watch cost dynamics in the next report.

Net loss of RUB 106.9 million versus profit of RUB 3,934.7 million a year earlier

Net loss for H1 2026 was RUB 106.9 million versus net profit of RUB 3,934.7 million for the same period last year. The key difference is that last year there were income from participation in other organizations of RUB 4,000.0 million, which are absent this year. Interest receivable decreased from RUB 412.2 million to RUB 176.1 million.

Loss before tax was RUB 126.1 million, and income tax was positive RUB 19.2 million, due to deferred tax. Basic earnings per share were minus RUB 3.39 versus plus RUB 124.97 a year earlier.

Debt rose by RUB 14.4 billion over 12 months, but Net Debt/EBITDA LTM is 2.23

Net debt as of June 30, 2026 was RUB 14,327.0 million, up RUB 14.4 billion over the last 12 months. However, it decreased by RUB 1.1 billion over the last six months. Net Debt/EBITDA LTM is 2.23, indicating a moderate level of debt relative to profit over the last 12 months.

The cash flow statement shows operating cash flow for the half-year is negative – minus RUB 217.8 million, but investing cash flow is positive – RUB 730.9 million, mainly from loan repayments. Financing cash flow is minus RUB 698.0 million, including dividends of RUB 761.4 million.

Dividends over 12 months were RUB 25.5 per share, but next payout is estimated at RUB 7.03

Over the last 12 months, Sollers paid dividends of RUB 25.5 per share, providing a dividend yield of 7.0% at a price of RUB 378.5. However, the model estimate for the next payout is only RUB 7.03 per share, corresponding to a forward yield of 1.9%. This is a significant decrease from previous payments.

The model's payout ratio is 0.29 of profit, below the market average. If the company maintains this policy, shareholders may expect lower dividends in the future. The cash flow statement shows dividends for the half-year were RUB 761.4 million, exceeding net profit for the period.

Shares fell 7.8% after the report, but P/E LTM is 13.7, EV/EBITDA LTM is 4.0

The share price before the report was RUB 378.5. On the release day it fell 0.7%, and by August 17, 2026, it was down 7.8% from the pre-report price. Despite the decline, multiples remain moderate: P/E LTM is 13.7, EV/EBITDA LTM is 4.0, below the three-year average of 4.43.

EV/EBITDA LTM of 4.0x is below the three-year average of 4.43, indicating relative cheapness by this measure. However, negative EBITDA for the half-year may mean LTM figures will deteriorate in the next report if the trend continues.

Valuation on the latest reported figures

Bottom line

In H1 2026, Sollers showed revenue growth, but operational efficiency deteriorated sharply: EBITDA turned negative, and net loss reached RUB 106.9 million. The key factor was the absence of income from participation in other organizations, which brought RUB 4 billion last year. Debt increased, but Net Debt/EBITDA LTM is 2.23, which is still tolerable. Dividends over 12 months were high, but the next payout is estimated significantly lower. The main question for shareholders is whether the company can restore operating profit and stabilize debt.