G5 Entertainment (G5EN) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue was SEK 279.3M, down 12% year-over-year but up 4% sequentially in SEK and 1% in USD, marking the first sequential growth since Q2 2021.

• Gross margin reached a record 69.1% in Q4, driven by G5 Store growth, which now accounts for 19% of net revenue after 35% year-over-year growth.

• Improvements in mature games and strong G5 Store performance drove sequential growth and engagement.

• Twilight Land, after further iterations, is showing signs of scalability and may be globally launched in 2025.

• Board proposes a dividend of SEK 8 per share, representing 53% of net profit.

Financial highlights

• Full-year 2024 revenue was SEK 1,134.5M, down 14% year-over-year; gross margin improved to 68.4%.

• EBIT for the year was SEK 117M, up 5% year-over-year, with a 10% EBIT margin.

• Q4 EBIT was SEK 32.8M, up 214% year-over-year, with an EBIT margin of 11.8%.

• Q4 EPS was SEK 4.29, up from SEK 1.12 last year; full-year EPS was SEK 15.22, down 4% year-over-year.

• Cash position at year-end was SEK 275.5M, a record high, up from SEK 182.3M last year.

Outlook and guidance

• Focus remains on organic and sustainable growth, new game launches, and operational efficiency.

• Plan to launch one or two new games globally in 2025, with nine games in the pipeline.

• Additional features and events are planned for 2025, including Twilight Land as a potential global launch.

• No formal forecasts published.