#London #UK #revenue growth #Industrial AI #IFS

IFS Achieves Milestone in Industrial AI Growth

In a noteworthy development within the industrial AI sector, IFS, a prominent provider of Industrial AI software, has announced that its Annual Recurring Revenue (ARR) has surpassed the impressive mark of €1.3 billion by the close of Q3 2026. This represents a significant year-on-year increase of 24%. The surge in revenue showcases not only the strength and adoption of IFS's software but also reflects broader trends in the industrial sector adapting to new technologies.

Tripling of Industrial AI Bookings

In the first nine months of 2026, IFS reported an astonishing threefold increase in Industrial AI bookings compared to the total for 2025, with a quarter of the year still ahead. This rapid growth indicates a strong market demand for advanced industrial AI solutions, with an increasing number of customers in sectors such as manufacturing, asset maintenance, and supply chain services transitioning from pilot projects into full-scale implementation.

Among the notable customers who have turned to IFS's Industrial AI offerings are major players such as Tesco, LATAM Airlines, and Mitsubishi Electric. These companies have specifically utilized IFS solutions for asset lifecycle management, field service operations, and aviation maintenance. The diverse use cases illustrate how industrial sectors are now fully embracing AI to enhance efficiency and productivity.

Launching IFS Intelligence

As part of its commitment to innovation, IFS recently unveiled IFS Intelligence during the IFS Unleashed event in Orlando. This feature enables users to leverage Industrial AI at the point of work, allowing employees to engage with digital workers effectively. By delegating workflows and actions according to established business rules, workers can improve their efficiency and operational capabilities. The response has been overwhelmingly positive, with over 100 customers expressing interest in piloting the IFS Intelligence module during the initial phase of its release.

Executive Insights

Commenting on these developments, Ryan Courson, CFO of IFS, noted, "Customers are moving beyond testing AI and buying our Industrial AI at scale. This year’s bookings already far exceed last year’s totals, and this has driven significant growth for us, with our ARR rising above €1.3 billion. Our focus now is on expanding adoption of IFS Intelligence to enhance customer performance across various operations."

Mark Moffat, the CEO of IFS, added, "Every industrial organization can leverage unused capacity. Our AI solutions are designed to understand the specifics of equipment, safety protocols, and operational workflows, allowing AI to interact seamlessly with live jobs without posing risks. This comprehensive understanding comes from decades of industry experience and development, which is reflected in our rapidly increasing AI bookings."

Eric Newmark, a Group Vice President at IDC, commented on the industry transition: "Industrial organizations have successfully moved from AI pilot programs to operational deployments. They remain focused on ensuring these technologies can be trusted in live settings. While creating an AI agent is relatively straightforward, ensuring that it can be a dependable digital worker in a complex production environment is far more challenging. Vendors like IFS, with specialized industry knowledge, are well-positioned to meet this rising demand for dependable production-grade AI."

Conclusion

The substantial growth in IFS's Industrial AI bookings and revenue signifies a major shift in how industries are adopting AI technologies. As organizations aim to enhance their operational performance through trustable AI solutions, IFS's ongoing commitment to innovation and understanding customer needs places them atop this rapidly evolving market landscape. The upcoming period promises to further illuminate the capabilities of Industrial AI as companies capitalize on its transformative potential.