OVHcloud’s earnings rise amid cloud repatriation momentum

The company now targets €2bn in revenue

OVHcloud has started the financial year on a positive note, with the French provider sharing figures on the up for the first quarter of FY26.

Revenue surged six per cent to €275.3m (£239.1m), compared with €263.5m at the same time the year prior.

Public cloud grew 15.8 per cent, from €50.3m to €58.2m, driven by new customers as well as the upselling and cross-selling of products among scalers and corporate customers.

This segment represents 21.2 per cent of the cloud provider’s revenue.

Private cloud, the organisation’s largest division, which accounts for 60.7 per cent of its turnover, rose four per cent to €167.2m, up from €164.5m in Q1 FY25.

Bare metal cloud, which provides direct access to physical servers without virtualisation, reportedly benefitted from the strategic repositioning of entry-level offerings, boosting starters customer acquisition.

On the other hand, the quarter was affected by the loss of two corporate customers due to changes in their own product strategies.

The company’s web cloud division increased 2.3 per cent to €49.8m, compared with €48.8m in the same quarter last year.

This upward trend was constant across all regions where OVHcloud operates.

France, which contributes 48 per cent of total sales, saw revenue rise 5.1 per cent to €133.9m (Q1 FY25: €127.1m), reportedly supported by customer acquisition.

Other European countries delivered 4.1 per cent growth to €79.3m, propelled by a strong start for public cloud of the Milan 3 availability zone (AZ) region.

Revenue from the rest of the world jumped 10.5 per cent to €62.1m, driven by the expansion of public cloud in the US, while private cloud performance remained steady.

Looking ahead, OVHcloud expects organic revenue growth to stand between five to seven per cent in FY26, with adjusted EBITDA margin above FY25.

“In the first quarter, we generated over €275m in revenue, representing organic growth of six per cent,” said Octave Klaba, founder, chairman and CEO of OVHcloud.

“During this quarter, we signed new contracts with clients with high security requirements such as LCH, as well as several OPCP contracts.

“Our supply chain redesign, initiated in 2025, now enables us to keep delivering all our services to our customers, while respecting our investment envelope.

“We are also continuing to improve the customer experience and support, as well as adopt AI internally to boost productivity.”

The head of the company also teased the opening of a new AZ region in Berlin in early 2027, as the business now targets €2bn in revenue.

In FY25, the firm’s top line stood at €1.1bn.

Klaba returned as CEO in October 2025, replacing Benjamin Revcolevschi after he spent one year in the role.

The organisation made further leadership changes last year, with the appointments of Brigid Mansfield as channel scheme manager for Northern Europe and Filippo Sanesi as global partner programme director in August 2025.

The French vendor’s results coincide with growing interest around cloud repatriation in the UK and European channel.