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Constellation Software Inc. and Topicus.Com Inc. Announce Results for Topicus.com Inc. for the First Quarter Ended March 31, 2026

Written by Customer Service on . Posted in Earnings Releases And Operating Results.

TORONTO, May 05, 2026 (GLOBE NEWSWIRE) — Topicus.com Inc. (TSXV:TOI) in a joint release with Constellation Software Inc. (TSX:CSU) today announced financial results for Topicus.com Inc. (“Topicus” or the “Company”) for the first quarter ended March 31, 2026. Please note that all amounts referred to in this press release are in Euros unless otherwise stated.

The following press release should be read in conjunction with the Company’s Unaudited Condensed Consolidated Interim Financial Statements for the three months ended March 31, 2026 and the accompanying notes, our Management’s Discussion and Analysis for the three months ended March 31, 2026 and the Annual Consolidated Financial Statements of Topicus.com Inc. for the year ended December 31, 2025, which we prepared in accordance with International Financial Reporting Standards (“IFRS”) and the Company’s annual Management’s Discussion and Analysis for the year ended December 31, 2025, which can be found on SEDAR+ at www.sedarplus.com and on Topicus.com Inc.’s website www.topicus.com. Additional information about Topicus.com Inc. is also available on SEDAR+ at www.sedarplus.com.

Q1 2026 Headlines:

  • Revenue increased 23% (5% organic growth) to €435.7 million compared to €355.6 million in Q1 2025.
  • Net income decreased to €55.1 million (€0.41 on a diluted per share basis) from €70.1 million (€0.54 on a diluted per share basis).
  • Acquisitions were completed for aggregate cash consideration of €15.0 million (which includes acquired cash). Deferred payments associated with these acquisitions have an estimated value of €7.5 million resulting in total consideration of €22.5 million.
  • Cash flows from operations (“CFO”) increased €9.0 million to €280.5 million compared to €271.4 million in Q1 2025 representing an increase of 3%.
  • Free cash flow available to shareholders1 (“FCFA2S”) increased €3.7 million to €165.4 million compared to €161.7 million in Q1 2025 representing an increase of 2%.

Total revenue for the quarter ended March 31, 2026 was €435.7 million, an increase of 23%, or €80.1 million, compared to €355.6 million for the comparable period in 2025. The increase is primarily attributable to growth from acquisitions as the Company experienced organic growth of 5% in the quarter. Organic growth is not a standardized financial measure and might not be comparable to measures disclosed by other issuers.

Net income for the quarter ended March 31, 2026 decreased €15.1 million to €55.1 million compared to €70.1 million for the same period in 2025. On a per share basis, this translated into net income per basic and diluted share of €0.41 in the quarter ended March 31, 2026 compared to €0.54 for the same period in 2025.

For the quarter ended March 31, 2026, CFO increased €9.0 million to €280.5 million compared to €271.4 million for the same period in 2025 representing an increase of 3%.

For the quarter ended March 31, 2026, FCFA2S increased €3.7 million to €165.4 million compared to €161.7 million for the same period in 2025 representing an increase of 2%.

Forward Looking Statements 

Certain statements herein may be “forward looking” statements that involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Topicus or the industry to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to vary significantly from the results discussed in the forward looking statements. These forward looking statements reflect current assumptions and expectations regarding future events and operating performance and are made as of the date hereof and Topicus assumes no obligation, except as required by law, to update any forward looking statements to reflect new events or circumstances.

Non-IFRS Measures

Free cash flow available to shareholders ‘‘FCFA2S’’ refers to net cash flows from operating activities less interest paid on lease obligations, interest paid on other facilities, credit facility transaction costs, repayments of lease obligations, and property and equipment purchased, and includes interest and dividends received, and the proceeds from sale of interest rate caps. The portion of this amount applicable to non-controlling interests is then deducted. Topicus believes that FCFA2S is useful supplemental information as it provides an indication of the uncommitted cash flow that is available to shareholders if Topicus does not make any acquisitions, or investments, and does not repay any debts. While Topicus could use the FCFA2S to pay dividends or repurchase shares, Topicus’ objective is to invest all of our FCFA2S in acquisitions which meet Topicus’ hurdle rate.

FCFA2S is not a recognized measure under IFRS and, accordingly, readers are cautioned that FCFA2S should not be construed as an alternative to net cash flows from operating activities.

The following table reconciles FCFA2S to net cash flows from operating activities:

     
   Three months ended March 31, 
   20262025 
  (€ in millions)
      
Net cash flows from operating activities  280.5 271.4  
Adjusted for:     
Interest paid on lease obligations  (0.9)(0.7) 
Interest paid on other facilities  (3.7)(4.7) 
Credit facility transaction costs  (0.3)(0.1) 
Payments of lease obligations  (8.4)(6.8) 
Property and equipment purchased  (3.2)(2.9) 
Interest and dividends received  0.6 0.3  
      
   264.5 256.5  
Less amount attributable to     
non-controlling interests  (99.1)(94.8) 
      
Free cash flow available to shareholders  165.4 161.7  
      
Due to rounding, certain totals may not foot.     
 

About Topicus.com Inc.

Topicus’ subordinate voting shares are listed on the Toronto Venture Stock Exchange under the symbol “TOI”. Topicus acquires, manages and builds vertical market software businesses.

About Constellation Software Inc.

Constellation’s common shares are listed on the Toronto Stock Exchange under the symbol “CSU”. Constellation acquires, manages and builds vertical market software businesses.

For further information:
Jamal Baksh
Chief Financial Officer
(416) 861-9677
info@topicus.com
www.topicus.com

SOURCE: TOPICUS.COM INC.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

  
Topicus.com Inc. 
Condensed Consolidated Interim Statements of Financial Position  
(In thousands of euros, except per share amounts. Due to rounding, numbers presented may not foot.) 
      
Unaudited    
   March 31, 2026December 31, 2025 
      
Assets    
      
Current assets:    
 Cash 331,173326,686 
 Accounts receivable 210,486175,613 
 Unbilled revenue 70,31553,909 
 Inventories 7,8707,057 
 Other assets 84,85667,969 
   704,700631,234 
      
Non-current assets:    
 Property and equipment 28,27327,343 
 Right of use assets 95,76696,656 
 Deferred income taxes 24,22323,494 
 Investments in associates 527,439515,368 
 Other assets 18,45617,790 
 Intangible assets1,190,2581,201,287 
   1,884,4151,881,939 
      
Total assets 2,589,1152,513,173 
      
Liabilities and Shareholders’ Equity    
      
Current liabilities:    
 Topicus Revolving Credit Facility and current portion of Term and other loans96,065345,324 
 Accounts payable and accrued liabilities 380,113365,229 
 Deferred revenue 453,789207,140 
 Provisions 3,0913,548 
 Acquisition holdback payables 24,07723,740 
 Lease obligations 32,13430,915 
 Income taxes payable 40,12839,201 
   1,029,3961,015,098 
      
Non-current liabilities:    
 Term and other loans 352,579347,218 
 Deferred income taxes 183,948188,313 
 Acquisition holdback payables 39,41440,133 
 Lease obligations 65,42567,436 
 Other liabilities 81,12673,166 
   722,492716,266 
      
Total liabilities 1,751,8881,731,363 
      
      
Shareholders’ Equity:    
 Capital stock 39,41239,412 
 Accumulated other comprehensive income (loss) 127,327124,611 
 Retained earnings 343,910309,801 
 Non-controlling interests 326,577307,985 
   837,227781,810 
      
Total liabilities and shareholders’ equity 2,589,1152,513,173 
   

     
Topicus.com Inc.    
Condensed Consolidated Interim Statements of Income (Loss)   
(In thousands of euros, except per share amounts. Due to rounding, numbers presented may not foot.)
      
    
Unaudited    
   Three months ended March 31,
   2026  2025 
      
Revenue    
License 11,518  9,396 
Professional services 98,221  82,305 
Hardware and other 9,885  7,319 
Maintenance and other recurring 316,064  256,575 
   435,688  355,595 
Expenses    
Staff 237,594  197,889 
Hardware 5,312  4,125 
Third party license, maintenance and professional services36,951  28,422 
Travel, telecommunications, supplies, software and equipment17,938  14,592 
Professional fees 7,085  7,608 
Other, net 7,033  8,584 
Depreciation 11,655  9,376 
Amortization of intangible assets 44,420  36,852 
   367,988  307,448 
      
Impairment of intangible and other non-financial assets–  – 
Finance and other (income) expenses 2,593  (5,243)
Share in net (income) loss of equity investee(9,096) (15)
(Increase) decrease in the fair value of equity securities–  (32,789)
Finance costs 9,808  6,189 
   3,306  (31,858)
      
Income (loss) before income taxes 64,395  80,005 
      
Current income tax expense (recovery) 20,568  18,747 
Deferred income tax expense (recovery) (11,236) (8,871)
Income tax expense (recovery) 9,332  9,877 
      
Net income (loss) 55,062  70,129 
      
Net income (loss) attributable to:    
Equity holders of Topicus 34,209  44,811 
Non-controlling interests 20,854  25,317 
Net income (loss) 55,062  70,129 
      
Weighted average shares    
 Basic shares outstanding 83,338,874  83,068,874 
 Diluted shares outstanding 129,841,819  129,841,819 
      
Earnings (loss) per common share of Topicus   
 Basic 0.41  0.54 
 Diluted 0.41  0.54 
      
      

      
Topicus.com Inc.     
Condensed Consolidated Interim Statements of Comprehensive Income (Loss)    
(In thousands of euros, except per share amounts. Due to rounding, numbers presented may not foot.) 
      
     
Unaudited    
  Three months ended March 31, 
  2026 2025 
      
Net income (loss) 55,062 70,129 
      
Items that are or may be reclassified subsequently to net income (loss):    
      
Foreign currency translation differences from foreign operations and other3,961 1,296 
      
Items that will not be reclassified to net income (loss):    
      
Changes in the fair value of equity investments at FVOCI– 111,097 
      
Other comprehensive (loss) income for the period, net of income tax3,961 112,393 
      
Total comprehensive income (loss) for the period59,023 182,521 
      
Total other comprehensive income (loss) attributable to:    
Equity holders of Topicus 2,716 72,219 
Non-controlling interests 1,245 40,173 
Total other comprehensive income (loss)3,961 112,393 
      
Total comprehensive income (loss) attributable to:    
Equity holders of Topicus 36,924 117,030 
Non-controlling interests 22,099 65,491 
Total comprehensive income (loss) 59,023 182,521 
 

              
Topicus.com Inc.             
Condensed Consolidated Interim Statement of Changes in Shareholders’ Equity (Deficiency)         
(In thousands of euros, except per share amounts. Due to rounding, numbers presented may not foot.) 
               
Unaudited             
Three months ended March 31, 2026             
         
   Capital Stock Accumulated other
comprehensive
(loss) income		 Retained
earnings		 Total Non-controlling
interests		 Total equity 
               
Balance at January 1, 2026 39,412 124,611 309,801  473,825  307,985  781,810  
               
Total comprehensive income (loss) for the period:             
               
Net income (loss) – – 34,209  34,209  20,854  55,062  
               
Foreign currency translation differences from             
 foreign operations and other, net of income tax and             
 changes in the fair value of equity investments at FVOCI – 2,716 –  2,716  1,245  3,961  
               
Total other comprehensive income (loss)             
 for the period – 2,716 –  2,716  1,245  3,961  
               
Total comprehensive income (loss) for the period – 2,716 34,209  36,924  22,099  59,023  
               
Transactions with owners, recorded directly in equity             
               
 Other movements in non-controlling interests and equity – – (100) (100) (56) (155) 
               
 Dividends paid to non-controlling interests – – –  –  (3,451) (3,451) 
               
Balance at March 31, 2026 39,412 127,327 343,910  510,650  326,577  837,227  
 

 
Topicus.com Inc.              
Condensed Consolidated Interim Statement of Changes in Shareholders’ Equity (Deficiency)          
(In thousands of euros, except per share amounts. Due to rounding, numbers presented may not foot.) 
                
Unaudited              
Three months ended March 31, 2025              
                
         
   Capital Stock Accumulated other
comprehensive
(loss) income		 Retained
earnings		  Total Non-controlling
interests		 Total equity 
                
Balance at January 1, 2025 39,412 5,584  266,281  311,277 220,119  531,396  
                
Total comprehensive income (loss) for the period:              
                
Net income (loss) – –  44,811  44,811 25,317  70,129  
                
Other comprehensive income (loss)              
                
Foreign currency translation differences from              
 foreign operations and other, net of income tax – 72,219  –  72,219 40,173  112,393  
                
Total other comprehensive income (loss) for the period – 72,219  –  72,219 40,173  112,393  
                
Total comprehensive income (loss) for the period – 72,219  44,811  117,030 65,491  182,521  
                
                
Transactions with owners, recorded directly in equity              
                
 Other movements in non-controlling interests and equity – (0) 37  37 19  55  
                
 Dividends paid to non-controlling interests – –  –  – (38) (38) 
                
Balance at March 31, 2025 39,412 77,803  311,129  428,344 285,591  713,935  
 

 
Topicus.com Inc.     
Condensed Consolidated Interim Statements of Cash Flows    
(In thousands of euros, except per share amounts. Due to rounding, numbers presented may not foot.) 
       
     
Unaudited     
   Three months ended March 31, 
   2026  2025  
       
Cash flows from (used in) operating activities:    
 Net income (loss) 55,062  70,129  
 Adjustments for:     
  Depreciation 11,655  9,376  
  Amortization of intangible assets44,420  36,852  
  Impairment of intangible and other non-financial assets –  –  
  Finance and other expenses (income) 2,593  (5,243) 
  Share in net (income) loss of equity investee (9,096) (15) 
  (Increase) decrease in the fair value of equity securities –  (32,789) 
  Finance costs 9,808  6,189  
  Income tax expense (recovery)9,332  9,877  
 Change in non-cash operating assets and liabilities    
  exclusive of effects of business combinations174,015  190,533  
 Transaction costs associated with equity securities classified as FVOCI –  (1,659) 
 Income taxes (paid) received(17,301) (11,803) 
 Net cash flows from (used in) operating activities280,490  271,446  
       
Cash flows from (used in) financing activities:    
 Interest paid on lease obligations (872) (663) 
 Interest paid on other facilities (3,736) (4,708) 
 Net increase (decrease) in Topicus Revolving Credit Facility(245,000) 30,000  
 Proceeds from issuance of term and other loans7,500  18,010  
 Increase (decrease) in bank indebtedness 5,663  –  
 Repayments of term and other loans(7,429) (10,585) 
 Credit facility transaction costs(312) (91) 
 Payments of lease obligations (8,374) (6,828) 
 Dividends paid to non-controlling interests (3,451) (38) 
 Net cash flows from (used in) in financing activities(256,010) 25,098  
       
Cash flows from (used in) investing activities:    
 Acquisition of businesses(15,028) (39,413) 
 Cash obtained with acquired businesses 2,936  7,934  
 Post-acquisition settlement payments, net of receipts(5,814) (6,299) 
 Purchase of equity securities of Asseco Poland S.A. –  (167,977) 
 (Increase) decrease in restricted cash (1,342) (425) 
 Interest, dividends and other proceeds received, net of income taxes paid572  255  
 Property and equipment purchased(3,236) (2,898) 
 Net cash flows from (used in) investing activities(21,913) (208,822) 
       
Effect of foreign currency on    
 cash and cash equivalents1,920  2,428  
       
Increase (decrease) in cash4,487  90,150  
       
Cash, beginning of period326,686  206,157  
       
Cash, end of period331,173  296,307  
       

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