Fingerprint Cards (FING) Q1 2025 earnings summary

Executive summary

• Core business revenue doubled year-over-year to SEK 18.2 million in Q1 2025, driven by strong demand for biometric authentication and a major Smart Eye licensing deal.

• Transformation program completed first phase, stabilizing the company and exiting low-margin Mobile and PC segments, now classified as discontinued operations.

• Headcount reduced by 70% year-over-year, supporting cost control and financial flexibility.

• Focus shifted to accelerating growth, expanding sales capacity, and leveraging partnerships such as Anonybit for decentralized biometric authentication.

• Strategic cost management and operational rigor maintained, with ongoing monitoring of tariff risks.

Financial highlights

• Q1 2025 revenue from core business: SEK 18.2 million, up 100% year-over-year; gross margin: 56.6%.

• EBITDA positive at SEK 10.7 million, primarily due to the Smart Eye deal; underlying EBITDA remains negative but improving.

• Free cash flow was -SEK 36.4 million, with -SEK 22 million attributed to discontinued operations.

• Cash and equivalents at period end: SEK 52.6 million, up from SEK 12.1 million at year-end 2024.

• Net loss for the period: SEK 16.8 million (improved from SEK 85.9 million loss year-over-year); EPS: SEK 0.00.

Outlook and guidance

• Focus on accelerating growth in year two of the transformation, with disciplined cost control and expansion into new revenue streams.

• Mass production of new biometric System-in-Package module expected to begin in Q4 2025.

• Discontinued operations' cash flow impact expected to be minimal from Q3 2025 onward.

• Anticipated growth in software and licensing revenue as new products and partnerships mature.

• Continued investment in digital identity and secure authentication solutions, targeting enterprise, finance, healthcare, and government sectors.