Sweden · Delayed Price · Currency is SEK Enad Global 7 AB Earnings Call Transcripts
Fiscal Year 2025
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Q4 and full-year 2025 saw modest revenue declines, but strong growth in Daybreak and Palia, with Big Blue Bubble rebounding late in the year. Major impairment and cost optimization actions were taken, and 2026 guidance was retracted pending a strategic update in 2027.
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Q3 net revenue fell 24% year-over-year to SEK 355 million, with an 18% adjusted EBITDA margin. Palia delivered strong growth, while Cold Iron's key title was delayed to Q3 2026, requiring further investment. The company remains cautious amid challenging industry conditions.
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Q2 saw 7.4% revenue growth (17.2% FX-adjusted) and a 12% rise in adjusted EBITDA, driven by Palia's successful console launch. Live service titles provided stable cash flow, while FX volatility and litigation impacted results. Liquidity remains strong.
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Q1 saw 19% year-over-year growth in both net revenue and adjusted EBITDA, driven by Fireshine's strong performance and cost optimization measures. Liquidity improved with a SEK 350 million bond, supporting M&A ambitions, while new releases like Palia are expected to fuel long-term growth.
Fiscal Year 2024
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Q4 2024 saw strong revenue and EBITDA growth, driven by new game launches and live service titles, despite a full-year revenue decline. Cost reductions and business optimization position the group for a return to growth in 2025, with a robust release pipeline and strong liquidity.
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Q3 delivered a strong rebound with net revenue up 32% and adjusted EBITDA up over 200% sequentially, driven by robust performance in core game units and successful new releases. The outlook for Q4 and 2025 is positive, with major launches and a focus on conservative growth and risk management.
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Q2 saw lower revenues and EBITDA due to timing of releases, but major launches and cost savings are expected to drive a strong H2. The Singularity 6 acquisition and cost optimizations support long-term growth, with full-year guidance reaffirmed.