Stillfront Group Ab · OMXSTO:SF
Stillfront Group Ab — Q3 2023 Earnings Presentation
12 slides from Stillfront Group Ab's earnings presentation, 2023
Slide 1: Interim report Q3 2023
STILLFRONT GROUP Interim report Q3 2023
Slide 2: Stillfront in Q3 2023
STILLFRONT IN Q3 2023 Weak topline development in quarter, maintained high profitability and cash generation A global footprint › Net revenue declined 7 percent year-over-year Europe 28% › 80 MSEK net revenue and 50 MSEK adj EBITDAC North Am 41% decline related to a one-off event in Albion Asia 25%
Slide 3: Revenue development
Net Revenue, MSEK User acquisition cost, % of Net Revenue REVENUE DEVELOPMENT Net revenue & UAC Net revenue & UAC (LTM) Net revenue bridge -7% +5% 1787 1781 1758 1812 7058 7138 7138 7022 1 787 6719 -10% 1671 +5% -1% 1 671 26% 26% 25% 25% 25% 27% 26% 24% 25% 24% Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q3'22 LT
Slide 4: Margin development
Adj. EBITDAC, MSEK Adj. EBITDAC margin, % MARGIN DEVELOPMENT Adj. EBITDA margin, % Adjusted EBITDAC Adjusted EBITDAC (LTM) › Adjusted EBITDAC margin 25 percent, up from 23 percent same period last year, despite lower -1% +16% topline 1780 1777 › YTD EBITDAC margin 26 percent 516 1653 1599 › Gross ma
Slide 5: One-off event impacting performance in Q3
PORTFOLIO HIGHLIGHTS One-off event impacting performance in Q3 Portfolio highlights › Albion Online declined 80 MSEK sequentially after a very strong launch in H1, impacted by massive DDoS attack with prolonged negative effects throughout quarter › Sunshine Island, a new game in the Big Farm franchi
Slide 6: Additional new game launches planned for fourth quarter and beyond
PORTFOLIO HIGHLIGHTS Additional new game launches planned for fourth quarter and beyond › Several exciting game launches in fourth quarter, including new games from 6waves, Game Labs and Everguild › Large content updates and important live ops events during quarter, including Halloween, Black Friday
Slide 7: Active portfolio: total
ACTIVE PORTFOLIO: TOTAL Bookings (‘000 SEK) -6% MAU (‘000 SEK) -20% MPU (‘000 SEK) -23% Bookings by channel DAU (‘000 SEK) -21% ARPDAU (SEK) +18% 1 693 1 693 1 653 1 698 65 767 Advertising 1 586 60 909 60 502 1 424 13% 57 971 52 407 1 231 1 240 1 237 1 094 DTC & Other 28% 12 519 11 526 11 485 10 830
Slide 8: Active portfolio by product area
ACTIVE PORTFOLIO: TOTAL Bookings (MSEK) ARPDAU (SEK) User acquisition cost (MSEK) › Sequential bookings and user number decline in Simulation, RPG & Action 8,5 8,3 8,3 8,8 driven by one-off event in Albion 8,1 Online 599 586 554 145 586 542 162 129 145 › Sequential decline in Strategy and 165 Casual
Slide 9: Continued strong free cash flow
CASH FLOW HIGHLIGHTS Continued strong free cash flow Q3, MSEK Q3 2023 Q3 2022 Cash flow from operations (before NWC) 399 549 Change in net working capital -4 -51 Cash flow from operations (CFFO) 395 499 Cash flow from investment activities -387 -579 Cash flow from financing activities 164 -103 Stric
Slide 10: Leverage within target and improved maturity profile
BAL ANCE SHEET HIGHLIGHTS Leverage within target and improved maturity profile 7 000 5,00 4,50 6 000 874 4,00 1 350 1 039 5 000 989 776 3,50 725 517 2 162 917 748 749 3,00 4 000 2,50 3 000 2,00 1,87 1,91 1,88 1,75 1,78 4 404 4 388 1,50 2 000 3 860 3 923 3 826 1,00 1 500 1 588 1 000 1 000 0,50 690 50
Slide 11: Significant sequential organic improvement expected for fourth quarter
SUMMARY AND OUTLOOK Significant sequential organic improvement expected for fourth quarter › Weak topline development in quarter, but maintained high profitability and cash generation › Cost optimization work and realized synergies continues to ensure high margins going forward › Strong balance shee
Slide 12: Stillfront Group
STILLFRONT GROUP