TomTom NV
AEX:TOM2
TomTom NV
TomTom NV is engaged in the developing of location technology including maps, navigation software, real-time traffic information, and other services. The company is headquartered in Amsterdam, Noord-Holland and currently employs 4,424 full-time employees. The company went IPO on 2005-05-16. The firm operates through two segments: Location Technology and Consumer. The Location Technology segment consists of its Automotive and Enterprise businesses, which provide maps, navigation software and services as components to be integrated into customers’ applications. The Consumer segment offers driver navigation, including directions, guidance, information and inspiration for their journeys on the road. Its consumer products are portable navigation devices and mobile applications. The firm has more than 40 offices in around 30 countries.
TomTom NV is engaged in the developing of location technology including maps, navigation software, real-time traffic information, and other services. The company is headquartered in Amsterdam, Noord-Holland and currently employs 4,424 full-time employees. The company went IPO on 2005-05-16. The firm operates through two segments: Location Technology and Consumer. The Location Technology segment consists of its Automotive and Enterprise businesses, which provide maps, navigation software and services as components to be integrated into customers’ applications. The Consumer segment offers driver navigation, including directions, guidance, information and inspiration for their journeys on the road. Its consumer products are portable navigation devices and mobile applications. The firm has more than 40 offices in around 30 countries.
Revenue Decline: Full year 2025 group revenue was EUR 555 million, down 3% from 2024. Automotive and Enterprise both saw declines, attributed to lower car volumes, customer transitions, and currency effects.
Margin Improvement: Gross margin rose to 88% for the year from 85% in 2024, helped by less hardware in the mix. Management expects gross margin to exceed 90% in 2026.
Cost Discipline: Operating expenses dropped by EUR 19 million year-on-year, thanks to development cost capitalization, reduced personnel costs, and lower amortization.
Record Automotive Backlog: Automotive backlog reached EUR 2.4 billion, up EUR 300 million from last year, reflecting a record level of new deals, notably with CARIAD and others.
Product Innovation: The new Lane Model Maps product was highlighted as a major differentiator, gaining traction with OEMs and software developers, and chosen by CARIAD for VW Group brands.
2026 Outlook: Group revenue is forecasted between EUR 495 million and EUR 555 million, with operating margin around 3%. Free cash flow is expected to be temporarily negative, but a return to growth is anticipated in 2027.
