Shares of Innoscripta SE fell 8.98% to €75.90 on Tuesday after the German R&D tax credit platform operator reported Q2 2026 revenue growth but flagged delays from a major internal software migration.
The company, which operates under ticker 1INN, posted H1 2026 revenue of €63 million, a 43% increase from €44 million in the same period last year. Earnings before interest and taxes (EBIT) rose 49% to €36.4 million, up from €24.5 million in H1 2025. Management reaffirmed full-year 2026 guidance for revenue of €140 million and EBIT of €80 million.
The decline in the stock followed a software migration in Q1 2026, dubbed the Clusterix migration, which disrupted proposal submissions for approximately 1.5 months. The company noted that the deferred revenue is not lost and will be recognized in later quarters. Innoscripta’s core German customer base stands at 2,900, with a churn rate below 2%. The platform has captured roughly 10% of Germany’s R&D workforce, according to CEO Michael Hohenester.
H1 2026 spending increased across key areas, with sales and marketing rising to €12.4 million from €8.9 million a year earlier, and research and development costs climbing to €4 million from €3.1 million. General and administrative expenses grew to €11 million, representing 17-18% of revenue, compared with €8.2 million in H1 2025. Gross profit for the period totaled €63 million.
The company maintains a strong balance sheet with more cash than debt and a P/E ratio of 20.3. Cash collection exceeded 108% of invoiced amounts, with standard payment terms requiring settlement within 180 days after BSFZ approval. Innoscripta has expanded into France, the U.S., and the U.K., though management does not expect significant revenue contributions from these markets in 2026. The company targets €1 million in annual revenue per new market within 12 months, aiming for break-even at a single-digit million euro level.
Innoscripta’s total addressable market for R&D tax credits includes €1.2 billion in Germany, €7 billion in France, €9 billion in the U.K., and $34 billion in the U.S. The company uses artificial intelligence primarily for document parsing within the EU, with no immediate plans for share buybacks or acquisitions.
The stock remains 45.5% below its 52-week high of €137 but above its low of €61.10.
