Fingerprint Cards (FING) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 4% year-over-year (21% in constant currency) to SEK 18.9M, driven by strong demand for biometric authentication and a strategic shift toward the AllKey product family, which accounted for 75% of new pipeline revenue and 60% from new customers.

• Gross margin improved to 62.3% from 56.6% year-over-year, exceeding both Q1 2025 and the 2025 annual average, reflecting a more profitable product mix and operational focus.

• Merger with Precise Biometrics approved by shareholders and EGM, targeting SEK 45 million in annual cost synergies, double-digit EBITDA margins, and a stronger, scalable European biometrics platform.

• Operating profit was negatively impacted by SEK 3 million in one-time merger-related costs, resulting in an operating loss of SEK -22.9 million and a net loss of SEK -78.2 million, mainly due to a SEK 55 million non-cash tax charge from derecognition of deferred tax assets.

• Launch of the AllKey Software Platform and new multi-modal biometric authentication solutions, with ongoing M&A activity and a focus on portfolio consolidation and capability expansion.

Financial highlights

• Q1 2026 revenue: SEK 18.9M (up 4% year-over-year); gross margin: 62.3% (up from 56.6%); EBITDA: SEK -14.1M (includes SEK 3M in one-time merger costs); operating loss: SEK -22.9M; net loss: SEK -78.2M (mainly due to non-cash tax effects).

• Free cash flow: SEK -13.2M (improved from SEK -36.4M year-over-year); cash and equivalents: SEK 18.2M at quarter-end (down from SEK 52.6M year-over-year); equity/assets ratio: 84.3%.

• Headcount at 50, down 3.8% year-over-year.

Outlook and guidance

• Merger with Precise Biometrics expected to deliver at least SEK 45M in annual cost synergies and double-digit EBITDA margins, with integration expected to close around mid-July.

• Combined company plans a SEK 110M rights issue to accelerate growth and synergy realization, with SEK 20M bridge financing secured for near-term working capital.

• Continued pipeline shift toward AllKey, with majority revenue from AllKey projected in 2027 and a focus on expanding customer adoption.