Freja eID Group (FREJA) Q4 2025 earnings summary

Executive summary

• Annual recurring revenue (ARR) for Freja eID grew 52% year-over-year to 41.3 MSEK, with user numbers up 25% to 1,577,000 by year-end 2025.

• Net revenue retention (NRR) reached 134% and gross revenue retention (GRR) 96% for Freja eID, indicating strong customer engagement and low churn.

• Group net sales increased 16% year-over-year to 51.1 MSEK, driven by 49% growth in the Freja eID segment, while Fulfilment segment sales declined 28%.

• Adjusted EBITDA for the year rose to 9.5 MSEK (from 4.6 MSEK), and adjusted EBIT improved to -5.9 MSEK (from -10.6 MSEK).

• Net result for the year was -15.3 MSEK, an improvement from -23.4 MSEK in 2024.

Financial highlights

• Q4 net sales were 13.5 MSEK, up 9% year-over-year; adjusted EBITDA was 2.0 MSEK (up 13%).

• Adjusted EBIT for Q4 was -1.9 MSEK, a slight improvement from -2.0 MSEK in Q4 2024.

• Cash flow from operations for the year was 7.1 MSEK, up from 2.0 MSEK.

• Group gross margin remained high at 97.7% for the year.

• Result per share improved to -0.59 SEK (from -1.03 SEK) for the year.

Outlook and guidance

• The company expects continued strong growth in Freja eID, with the new authorization system adding 4.5 MSEK to ARR from January 2026.

• Demand from public sector and international users is expected to drive further expansion.

• Fulfilment segment is expected to continue declining as the market shifts from physical to digital solutions.