Fingerprint Cards (FING) Q2 2025 earnings summary

Executive summary

• Core revenue grew 40% year-over-year in Q2 2025 and 66% for the first half, outpacing the market and reflecting strong execution of the transformation plan and demand for biometric authentication solutions.

• Gross margin remained robust at 48.1% in Q2 and 53% for H1, higher than historical levels, reflecting a shift to high-value products.

• Asset monetization, including a SEK 24 million deal with Egis Technology, delivered upfront cash and future royalties, supporting growth investments and financial flexibility.

• Operational efficiency improved with a 59% year-over-year reduction in headcount, ongoing use of AI and automation, and a leaner organization.

• New business initiatives, including the launch of the first identity cloud product through partnerships with Anonybit and PingOne, are generating revenue and pipeline opportunities.

Financial highlights

• Q2 2025 revenue: SEK 15.7 million (up 40% year-over-year); H1 2025 revenue: SEK 33.9 million (up 66%).

• Gross margin: 48.1% in Q2, 53% for H1.

• EBITDA: SEK -20.3 million in Q2 (improved from -57.6 million); H1 EBITDA: SEK -9.7 million (improved from -113.3 million).

• Free cash flow: SEK -18.4 million in Q2 (improved from -23.5 million year-over-year).

• Cash and equivalents at June 30, 2025: SEK 32.7 million, with SEK 24 million from asset monetization expected.

Outlook and guidance

• Management targets continued revenue growth above market rates and gross margins above 50% for the year.

• Focus remains on achieving positive EBITDA and free cash flow through operational discipline and targeted investments.

• Strategic partnerships and asset monetization are expected to drive new revenue streams and financial flexibility.

• Reverse share split planned for Q3 2025 to optimize share structure and support growth initiatives.

• The company is transitioning to an accelerated growth phase, leveraging its transformation plan and biometric expertise.