Fingerprint Cards (FING) Q1 2025 earnings summary

Executive summary

• Core business revenue doubled year-over-year to SEK 18.2 million in Q1 2025, driven by strong demand for biometric authentication and a major licensing deal with Smart Eye.

• EBITDA turned positive at SEK 10.7 million, supported by the Smart Eye licensing deal; underlying EBITDA remains negative but improving.

• Discontinued operations (Mobile and PC) have been fully exited and are now reported separately, clarifying core business performance.

• Headcount reduced by 70% year-over-year, supporting cost control and financial flexibility.

• Gross margin remained robust at 56.6%, supported by a strategic shift to more profitable markets and product lines.

Financial highlights

• Q1 2025 revenue: SEK 18.2 million, up 100% year-over-year; gross margin: 56.6% (down from 65.8% YoY due to revenue mix).

• EBITDA: SEK 10.7 million (including Smart Eye deal); operating result: negative SEK 0.3 million (improved from negative SEK 67.3 million YoY).

• Free cash flow: -SEK 36.4 million (with -SEK 22 million from discontinued operations), improved 44% YoY.

• Cash and equivalents: SEK 52.6 million post-rights issue, up from SEK 12.1 million at year-end 2024.

• Net loss for the period: SEK 16.8 million (improved from SEK 85.9 million loss YoY); EPS: SEK 0.00.

Outlook and guidance

• Focus on accelerating growth in year two of the transformation, leveraging operational discipline, partnerships, and new revenue streams.

• Mass production of new biometric System-in-Package module expected to begin in Q4 2025.

• Continued asset monetization and licensing deals expected to supplement revenue.

• Software and recurring revenue streams anticipated as new products with Anonybit launch.

• Discontinued operations' cash flow impact expected to be minimal from Q3 2025 onward.