Acast (ACAST) investor relations material

Executive summary

• Achieved 27% net sales growth and 32% organic growth year-over-year in Q2 2025, with North America as the primary growth engine and the US becoming the largest revenue market for the first time.

• Passed a milestone of $500 million paid out to creators since inception, reinforcing strong network effects and attracting both creators and advertisers.

• Launched Acast Creative Studios, integrating Wonder Media Network, enabling larger branded content deals and debuting its first original production in May.

• Rolled out AI-based Smart Recommendations tool, improving campaign planning efficiency and monetization for niche creators.

• Leadership changes included CEO transition, new board director, and ongoing management transitions.

Financial highlights

• Net sales reached SEK 607m in Q2 2025, up from SEK 478m in Q2 2024; organic net sales growth was 32%.

• Gross margin improved to 40%, supported by favorable product mix and efficient yield management.

• Adjusted EBITDA was SEK 16m (3% margin), a five percentage point improvement year-over-year; reported EBITDA was SEK -43m due to one-off costs.

• Operating cash flow was SEK -53m, impacted by SEK 85m in working capital changes, mainly higher accounts receivable; cash position at quarter-end was SEK 572m.

• Operating loss was SEK -66m and net loss SEK -80m, both impacted by one-time costs.

Outlook and guidance

• Targeting positive operating cash flow for full year 2025, expecting working capital impact to unwind in H2, especially Q4.

• Updated targets: organic net sales CAGR of 15% (2025–2028), adjusted EBITDA margin of 3–5% for 2025.

• Management remains bullish on margin expansion beyond 2025, citing strong foundation and scalability.

• Growth momentum expected to continue, with North America leading and record bookings in top markets.