Coffee Stain (COFFEE) Q2 25/26 earnings summary

Executive summary

• Net sales for Q2 FY 2025/26 were SEK 224 million, down 12% year-over-year, mainly due to currency headwinds and lower back-catalogue sales.

• Sequential net sales increased by SEK 40 million from Q1, driven by the Deep Rock Survivor 1.0 release and a platform deal.

• EBIT for the quarter was SEK 44 million, with a margin of 20%, reflecting lower sales and higher expensed development costs.

• Net profit for the quarter was SEK 19 million, compared to SEK 28 million in the prior year.

Financial highlights

• Adjusted EBIT was SEK 83 million (margin 37%), down from SEK 133 million (margin 52%) year-over-year.

• Cash EBIT was SEK 69 million (margin 31%), down from SEK 106 million (margin 41%).

• Free cash flow after working capital was SEK 78 million, up from SEK 46 million in the prior year.

• Cash and cash equivalents at quarter-end were SEK 269 million, down from SEK 576 million a year earlier.

Outlook and guidance

• Management notes ongoing risks from currency fluctuations, market conditions, and dependence on key titles and personnel.

• Forward-looking statements are subject to significant uncertainties, including economic and regulatory changes.