Thunderful Group (THUNDR) Q4 2024 earnings summary

Executive summary

• 2024 marked a transformative year with a major restructuring program to streamline operations and focus on game publishing, aiming for a more agile and sustainable business.

• Net revenue declined significantly both in Q4 and full year, driven by fewer game releases and divestment of distribution businesses.

• Substantial write-downs of capitalized development costs and goodwill, mainly acquisition-related, impacted results.

• Restructuring is expected to generate annual cost savings of 80–90 MSEK, with one-time costs of up to 30 MSEK.

• Divestment of Jumpship Limited and other non-core assets completed or underway.

Financial highlights

• Q4 2024 net revenue fell 27.6% to 77.4 MSEK; full year net revenue down 23.8% to 292.8 MSEK year-over-year.

• Q4 operating profit (EBIT) was -631.5 MSEK (margin -815.5%); full year EBIT -917.3 MSEK (margin -313.3%).

• Adjusted EBITDA for Q4 improved to -10.8 MSEK from -17.9 MSEK; full year adjusted EBITDA dropped to -41.3 MSEK from 109.2 MSEK.

• Write-downs of capitalized development costs totaled 659.3 MSEK for the year, with 444.0 MSEK related to goodwill.

• Earnings per share for the year were -12.63 SEK, down from -8.96 SEK.

Outlook and guidance

• Focus in 2025 is on positive cash flow and sustainable growth, leveraging external studio collaborations and a streamlined cost base.

• Several important game launches are planned for 2025, supporting optimism for improved performance.

• No annual dividend is planned in the medium term; new long-term financial targets to be communicated later.