UPDATE 2-TomTom's reorganization boosts operating profit in Q1
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Adds CEO quotes in paragraphs 4, 8-9, reorganization details in paragraph 5, graphics
By Mathias de Rozario
April 16 (Reuters) - Dutch digital mapping specialist TomTom TOM2.AS reported on Thursday higher than expected operating profit for the first-quarter of the year despite lower revenue following an internal reorganization.
Its earnings before interest and taxes (EBIT) came in at 13.8 million euros ($16.3 million), above analysts' average estimate of 7 million euros in a company-provided consensus and last year's level of 5.7 million euros.

TomTom said growth was driven by a higher margin and lower operating expenses after completing a reorganization last year.
"We have come through a situation of significant investments in a new mapping platform, ..., and that allowed us to simplify and streamline our organization," outgoing CEO and co-founder Harold Goddijn told Reuters.
In June 2025, it announced 300 job cuts as part of the reorganization and to embrace artificial intelligence.
The company, which counts Microsoft MSFT.O , Uber UBER.N and Volkswagen VOWG.DE among its customers, recorded lower revenue as an expected shift between old and new contracts will have a negative effect this year.
Its revenue dropped to 129.2 million euros, in line with analysts' average estimate of 130 million euros in a company-provided consensus from 140.4 million euros in 2025.

"In 2025, we had a record order intake in the automotive sector, so that will translate into revenue growth in 2027 and 2028," Goddijn said.
He added the group sees further opportunities for efficiency gains related to software development.
TomTom confirmed its revenue outlook for 2026.
($1 = 0.8469 euros)
