Enad Global 7 (EG7) Q2 2025 earnings summary

Executive summary

• Net revenue for Q2 reached SEK 379 million, up 7.4% year-over-year, with FX-adjusted growth of 17.2% and organic growth (FX-neutral, excluding Palia) of 6.7%.

• Adjusted EBITDA was SEK 38 million, up 12% year-over-year, with a margin of 9.9–10%.

• Palia's console launch and Elderwood expansion were major highlights, driving significant user and revenue growth.

• Live service and back catalog titles contributed 76–77% of group net revenue, supporting predictable cash flows.

• Operational performance remained stable despite FX headwinds and seasonal lows.

Financial highlights

• Net revenue: SEK 379 million (Q2), up from SEK 353 million last year.

• Adjusted EBITDA: SEK 38 million, margin 9.9–10%.

• Net profit for the quarter was SEK 8.4 million, compared to a loss of SEK -38.8 million last year.

• Cash balance at period end was SEK 454.4 million; net cash position at quarter end was SEK 102.5 million.

• SEK 36.5 million negative FX impact in Q2, mainly affecting Daybreak and Big Blue Bubble.

Outlook and guidance

• Continued focus on live service games and content updates to sustain user engagement and revenue.

• Ongoing evaluation of M&A opportunities, with a disciplined approach to strategic fit.

• Expectation of improved margins as marketing spend normalizes and revenue recognition aligns.

• Anticipated rebound in Big Blue Bubble profitability in H2, driven by content and campaigns.

• Industry challenges persist, but opportunities seen for both organic and acquisitive growth.