Fractal Gaming Group (FRACTL) Q3 2025 earnings summary

Executive summary

• Q3 2025 net sales rose 16% year-on-year to SEK 181.4 million, with organic USD growth of 27% and strong end-customer sales up 34%.

• Product launches, notably the SCAPE gaming headset, Epoch PC case, and Refine gaming chair, drove growth in new categories.

• EMEA region led with 35% sales growth, now 59% of revenue; Americas declined 11.9% due to tariffs and FX, APAC grew 18.8%.

• The company maintains a strong net cash position of SEK 36.4 million, supporting ongoing investments and strategic flexibility.

• For the first nine months, net sales reached SEK 622.8 million, up 26%, with record sales to Amazon.

Financial highlights

• Q3 net sales: SEK 181.4 million (up 16% YoY); Jan–Sep: SEK 622.8 million (up 26% YoY).

• EBITDA Q3: SEK 13.7 million (margin 7.6%, up from 7.4% YoY); product margin improved to 39.0%.

• Net cash position increased to SEK 36.4 million from SEK 29.8 million YoY.

• Operating cash flow Q3: SEK -28.0 million, mainly due to inventory build-up, expected to normalize.

• Profit for the period was SEK 6.2 million, up from SEK 0.6 million YoY.

Outlook and guidance

• Ongoing PC upgrade cycle expected to extend into 2026, with strong demand from new components and gaming titles.

• Q4 faces high comparison figures and discount-heavy periods, but margin impact expected to be manageable.

• Focus remains on mitigating cost pressures from tariffs, freight, and currency fluctuations.