OVHcloud reports 6% organic growth in Q1, confirms annual guidance

Jan 8 (Reuters) – French cloud computing company OVHcloud on Thursday reported a 6% organic rise ​in its first-quarter revenue, driven by a ‌strong performance in its Public Cloud business, and reiterated its full-year ‌2026 guidance.

The company reported revenue of 273.5 million euros ($319.5 million) for the three months through October, up from 263.5 million euros in the year-ago period.

Revenue from ⁠Public Cloud services, which ‌account for 21% of the group’s total revenue, grew 15.8% on a like-for-like basis ‍to 58.2 million euros. Private Cloud, encompassing dedicated servers, rose 4% to 167.2 million euros.

“Thanks to this growth trajectory ​and our financial discipline, we can confirm all ‌of our FY2026 guidance, including positive free cash flow generation,” OVHcloud Chairman and CEO Octave Klaba said.

The company reported a net revenue retention rate of 105% on a like-for-like basis, signalling higher spending by ⁠existing customers.

To meet rising European ​data sovereignty demands, OVHcloud has ​announced plans to expand its cloud infrastructure with 3-AZ regions, facilities with three distinct availability ‍zones for ⁠enhanced fault tolerance.

Following similar projects in Paris and Milan, a new 3-AZ region in Berlin is ⁠slated to open by early 2027, the company said on ‌Thursday.

($1 = 0.8561 euros)

(Reporting by Leo Marchandon in Gdansk, ‌editing by Milla Nissi-Prussak)