Asmodee Group (ASMDEE) Q3 25/26 earnings summary

Executive summary

• Achieved record Q3 sales and EBITDA, with net sales reaching EUR 524.1 million, up 22.2% year-on-year, and organic growth at 25.6%, driven by strong TCG performance in Europe and robust partner-published games.

• Growth was led by TCGs such as Pokémon, Magic: The Gathering, and One Piece, while Asmodee Studios' published games declined 12.7% due to US market factors and FX impacts.

• Strategic M&A activity included acquisitions of Cthulhu: Death May Die and Sheriff of Nottingham IPs, and exercising the option to acquire the remaining stake in Exploding Kittens.

• Healthy free cash flow and improved leverage, with net debt/EBITDA at 1.9x, supported by cost discipline and a solid balance sheet.

• Major licensing and transmedia deals were signed, including with Netflix for Catan and Ticket to Ride, and Middle-earth Enterprises for Lord of the Rings and The Hobbit tabletop games.

Financial highlights

• Q3 net sales reached EUR 524.1 million, up 22.2% year-on-year; organic sales growth was 25.6%.

• Adjusted EBITDA grew by 28% to EUR 114.5 million, with margin up to 21.8%.

• Year-to-date net sales at EUR 1,276 million, up 24.3% year-over-year; YTD adjusted EBITDA at EUR 230.5 million.

• Free cash flow after tax and lease payments was EUR 76.5 million in Q3, with a conversion rate between 66.8% and 76%.

• Net debt at EUR 322 million in Q3, with net debt/EBITDA at 1.9x after M&A commitments.

Outlook and guidance

• Strong Q3 performance expected to drive further cash generation in Q4, consistent with seasonal trends.

• Positive outlook for TCGs, supported by upcoming major anniversaries and new releases.

• Board to provide recommendations on excess cash allocation, including potential dividends, with Q4 results.

• Management confident in continued growth due to a diversified portfolio and robust market trends.