Digital Bros (DIB) Q2 2025 earnings summary

Executive summary

• Net revenue for H1 FY25 was €43m, down 8.7% YoY, generated solely from back catalogue sales with no major new launches.

• EBITDA rose 35.3% to €13.1m, driven by lower payroll and service costs after reorganization.

• Net loss narrowed to €3.5m from €6.4m YoY, reflecting operational efficiencies.

• EBIT loss improved to €0.4m, up €4.3m YoY but still slightly negative.

• Net financial debt increased to €29.7m, in line with expectations.

Financial highlights

• Gross profit was €28.2m, down 9.9% YoY, with payroll costs falling by €7m due to reorganization.

• Operating costs reduced by 32.8% to €18.7m, supporting EBITDA growth.

• Net interest expense rose to €2.5m, mainly from exchange rate losses.

• Cash and cash equivalents at period end were €4.6m, down from €12m at the start.

• Basic and diluted loss per share were €0.25, unchanged YoY.

Outlook and guidance

• FY25 revenue expected to decline YoY, but H2 revenue projected to increase sequentially from H1.

• EBIT at year-end expected to align with June 2024, benefiting from reorganization.

• Net financial debt forecasted to remain stable at year-end, with improvement expected in Q1 next fiscal year.

• Key launches: Assetto Corsa EVO (Early Access Jan 2025), Blades of Fire (May 2025), Wuchang: Fallen Feathers (Q1 FY26), and Free to Play relaunch in Q4.