Oneflow (ONEF) Q2 2025 earnings summary

Executive summary

• ARR reached SEK 171.2 million in Q2 2025, up 19% year-over-year, with net new ARR at SEK 6.6 million, down 33% due to increased churn and downgrades.

• Net sales for Q2 were SEK 42 million, a 28% increase year-over-year, with 41% of sales outside Sweden and customers in 48 countries.

• Gross margin remained high and stable at 93%, supporting scalable growth.

• Paying customers increased 15% year-over-year to 4,400, and ARR per full-time employee rose 22% to SEK 936,000.

• EBIT loss narrowed to SEK -20.7 million in Q2, including a SEK 3.6 million one-off restructuring cost; adjusted EBIT was SEK -17.1 million.

Financial highlights

• Net new ARR for Q2 was SEK 6.6 million, down 33% year-over-year, and YTD net new ARR was SEK 12.2 million, down 45% from last year.

• EBITDA for Q2 was SEK -8.4 million (margin -20.4%), a SEK 7.2 million improvement year-over-year; first half EBITDA was SEK -17.1 million, a 40% improvement.

• Average customer value (ACV) rose 3% year-over-year to SEK 39,000.

• Net retention was 97% and gross retention 87%, both below internal expectations due to higher churn and downgrades.

• ARR/Net sales ratio was 112% in Q2, reflecting a strong recurring revenue base.

Outlook and guidance

• Focus has shifted from aggressive growth to achieving profitability within current funding, with a long-term ambition to surpass 30% ARR growth.

• Management expects significant EBIT improvement in H2 2025, supported by cost reductions and operational streamlining.

• Market conditions remain challenging, with no clear signs of improvement yet.

• Expect further improvements in ARR per FTE and cost base in upcoming quarters due to ongoing headcount reductions.