Storytel Group (STORY) Q4 2025 earnings summary

Executive summary

• Achieved record profitability and strong cash flow in 2025, driven by robust performances in both Streaming and Publishing, and supported by integrated strategy and innovative features such as AI-powered personalization and pay-per-book model.

• Subscriber base grew 9% year-over-year to 2.67 million, with significant gains in both Nordic and non-Nordic markets, and churn rates at all-time lows.

• Announced process to transfer listing to Nasdaq Stockholm Main Market, expected to complete in 2026.

• Launched new features including synced listening, StoryArt, AI-powered sleep timer recaps, and added over 35,000 English titles via pay-per-book.

Financial highlights

• Q4 sales grew 12% in constant currencies; full year revenue reached SEK 4,023M, up 9% CER.

• Adjusted EBITDA margin reached 20% in Q4 and 18.8% for the full year; EBITDA up 26% to SEK 757M.

• Net profit for 2025 was SEK 504M, including a one-off positive tax impact of SEK 195M.

• Cash flow from operations before working capital changes was SEK 217M in Q4 and SEK 647M for the year, up 26% year-over-year.

• Gross margin reached an all-time high of 47.0% in Q4; operating margin at 10.5%.

Outlook and guidance

• On track to meet midterm 2028 targets, including revenue CAGR >10% CER, EBITDA margin >20%, and net debt/EBITDA <1.5x.

• 2026 EBITDA target set at a minimum of SEK 870M.

• Dividend proposed at SEK 1.50 per share for 2025/2026, with plans for steady increases through 2028.

• Guidance for 2026 is based on organic growth, with flexibility to prioritize top-line growth or margin protection as needed.

• Expect continued growth in digital formats and subscriber base, aiming for over 3 million subscribers by 2027.