Letter from the CEO

First 9 months of 2025, Bittnet group achieved consolidated revenues of 173.7 million ron, down -41.9% compared to the same period last year. With the reduction in revenues, the gross margin dropped to 34 million ron (-31% vs Q3 2024), and the consolidated EBITDA recorded a negative value: -7.4 million ron. At 9 months, the operating loss is -11 million ron, while one-off items also contributed negatively with -4 million ron. These results are strongly influenced by the postponement and delays of projects in the Digital Infrastructure pillar (Dendrio), while the Education pillar and the Digital Platforms pillar recorded positive developments.

The non-operating (financial) result is a loss of -5.67 million ron, which includes the mark-to-market adjustment of Bittnet’s holding in Softbinator related to Q3. In this context, the consolidated gross result at group level, at 9 months 2025, is negative: -21 million ron.

At the time of publishing this report, we are one month away from the end of a year that has put pressure on the entire IT industry. 2025 has been one of the most difficult years for Bittnet recent history. The most honest way to describe the context is that the market has been moving slowly: projects postponed, decisions delayed, budgets blocked for long periods. The good news is that these delays have not become cancellations, starting in mid-August we are already seeing a gradual return to demand and a reset of investment plans from customers.

In parallel with this difficult context, our business lines continued to build, laying the foundation for a more stable 2026 year.

The Education Pillar expanded its portfolio in Cybersecurity, DevOps and Project Management, signed strategic partnerships with APMG and ServiceNow and generated a solid pipeline extending into 2026. Elian maintained a healthy growth rate (+23% YoY), exceeded 800 Business Central SaaS subscription users licensed and is running large projects that will move to the support area next year, generating higher recurring revenues than in the same period. Nenos accelerated the product-first direction, with increased interest in Kontext, reinforced by the AWS certifications obtained and the solid projects in the area of Agentic AI, custom made. Also in Q3, we obtained the AWS competency in GenAI Services, at the level of the Nenos company, the first of its kind in Romania.

All of these initiatives — started, won, or developed in 2025 — will continue in 2026, where an important part of the projects started this year will produce their effects.

Also in the third quarter, we were announced that we had won two important projects in the government sector:

• a contract for the delivery of cybersecurity courses, worth 15.9 million ron, already in implementation in the Education pillar;
• a framework agreement for storage equipment and services, worth 143 million ron, signed by Dendrio Solutions; the first phases of which are already in delivery.

Although the full delivery of this 2 contractct in 2025 is not possible, implementing a consistent component this year is a priority. The entire group is mobilized to deliver as much of the backlog of contracted projects in the second half of the year as possible: at this point, the backlog exceeds 200 million ron. Added to this is a pipeline of projects in various phases, with a total value of approximately 345 million ron. These volumes create visibility and a solid foundation for the following year.

Starting with October, we have a new composition of the Board of Directors, with the mandate to continue the plans announced at the beginning of the year: capitalizing on assets and directing the resources thus obtained towards rewarding shareholders (through buybacks and/or dividends).

We also reached an agreement for the full repayment of the loan granted last year to Impetum for the acquisition of tranche 3 of Fort SA, the last installment being paid by contributing 20 million BNET shares to an SPV that will be transferred to the issuer and subsequently canceled, according to the agreed procedure.

Thank you for your trust, especially in such a complicated year. For questions and feedback, you can contact us at investors@bittnet.ro. Investors’ opinion is always important to us.

Mihai Logofătu,
Co-founder & CEO Bittnet Group