Mavshack (MAV) Q3 2024 earnings summary

Executive summary

• Focus on restructuring and returning to core streaming and IT operations, with renewed emphasis on the Indian e-commerce market and stable Middle East streaming revenues.

• MavshackLive.in in India now has 125+ sellers and 35,000+ products, positioned for future growth.

• IT subsidiaries Itevo and Å-data provide stable revenue streams, supporting expansion in faster-growing segments.

Financial highlights

• Q3 2024 net sales: 4.4 MSEK (unchanged year-over-year); nine months: 10.2 MSEK (down from 13.2 MSEK).

• Q3 EBITDA: -0.7 MSEK (improved from -2.8 MSEK); EBIT: -2.4 MSEK (improved from -4.7 MSEK).

• Nine-month EBITDA: -5 MSEK (down from 9.4 MSEK); EBIT: -12.3 MSEK (improved from -14.9 MSEK).

• Q3 EPS: -0.069 SEK (vs. -0.02); nine months EPS: -0.35 SEK (vs. -0.05).

• Q3 net income: -2.3 MSEK (vs. -3.7 MSEK); improvement driven by cost savings and efficiency.

Outlook and guidance

• Management expects MavshackLive.in to drive significant revenue and eventual profitability, leveraging India's rapid e-commerce growth.

• Middle East streaming expected to remain stable and profitable as investments resume.

• CinemaOne YouTube channel to benefit from new Hollywood content rights over the next five years.