Flexion Mobile (FLEXM) Q3 2026 TU earnings summary

Executive summary

• Third consecutive quarter of positive Adjusted EBITDA in 2026; Q3 revenue was flat YoY while gross profit and margin improved. Three games were signed, bringing the active contracted portfolio to 40 titles.

• Q3 was the first full quarter operating as a single integrated organisation following the Exprexion launch.

Financial highlights

• Q3 revenue was £16.5m, flat YoY; gross profit rose 19% to £2.1m and gross margin increased to 12.9% from 10.9%.

• Q3 Adjusted EBITDA was £0.29m versus a £0.55m loss YoY; operating loss narrowed to £0.09m from £0.74m, and net loss narrowed to £0.15m from £0.71m.

• YTD Sep revenue was £51.4m, flat YoY; gross profit rose 4% to £6.5m and Adjusted EBITDA reached £0.70m versus a normalised £1.06m loss.

• YTD Sep operating result was £0.53m versus a £1.90m loss; net profit was £0.48m versus a £1.89m loss.

• Q3 staff costs fell 22% to £1.4m and general and administrative expenses fell 12% to £2.2m; headcount was 115 versus 155 YoY.

Outlook and guidance

• Q4 priorities: convert the sales pipeline into live titles, restore Creators to profitable growth through key accounts, and prepare for growth in competing stores and alternative payments.

• Converting active Q4 opportunities is expected to leave the contracted portfolio just short of the 50-game target.

• Commercial benefits from regulatory changes are expected to take ~12 months to fully materialise across the industry.

• Further Creators headcount reductions are expected in Q4; Client Success rollout across Creators is slated for Q4/Q1.