Slide 1: A leading free-to-play powerhouse
2021 A leading free-to-play powerhouse Interim report Second quarter 2021 1
Slide 2: Stillfront at a glance
STILLFRONT AT A GLANCE 67 A leading free-to-play 67 million MAU and 13 million DAU powerhouse of 20 gaming studios creating significant operational Main markets by revenue are US, synergies Germany, MENA, UK and Canada million A diverse and evolving game Europe 29% portfolio with two common North Am
Slide 3: Highlights from the portfolio: game highlights in the second quarter
HIGHLIGHTS FROM THE PORTFOLIO Game highlights in the second quarter • 4 new titles added to the active portfolio during Q2, 56 games in New games in the active portfolio active portfolio and more than 30 titles in soft launch/development • Acquisition of first asset: Crush Them All, an idle RPG, ope
Slide 4: Net revenue, UAC development & organic growth
NET REVENUE, UAC DEVELOPMENT & ORGANIC GROWTH Net Revenue, MSEK UAC, MSEK UAC, % of Net Revenue +41% 1382 1 382 1319 4809 1192 4619 -8% 25% 1 192 1080 28% 3991 23% 18% 1027 21% 20% 3462 16% 19% 2952 -17% 18% 19% 363 346 958 1088 216 164 215 635 743 554 Q2'20 Q3'20 Q4'20 Q1'21 Q2'21 Q2'20 LTM Q3'20 L
Slide 5: Adj. EBIT development
ADJ. EBIT DEVELOPMENT Adj. EBIT, MSEK Adj. EBIT, % of Net Revenue 477 1713 1727 463 35% 1493 37% 36% 39% 1272 37% 432 1028 35% 419 33% 33% 41% 399 37% Q2'20 Q3'20 Q4'20 Q1'21 Q2'21 Q2'20 LTM Q3'20 LTM Q4'20 LTM Q1'21 LTM Q2'21 LTM COMMENTS Q2 Adj. EBIT LTM Adj. EBIT • High profitability in Q2 with A
Slide 6: Active portfolio: Total
ACTIVE PORTFOLIO: TOTAL MAU (‘000) +194% YoY DAU (‘000) +173% YoY MPU (‘000) +67% YoY Bookings (‘000) +12% YoY ARPDAU (SEK) -59% YoY UAC (MSEK) +59% YoY UAC, % of Bookings 14000 12809 20,0 1261 1309 1410 66903 18,0 1170 12000 28% 26% 16,0 1159 1046 18% 950 10000 14,0 21% 7458 12,0 846 877 17% 39410
Slide 7: Active portfolio: Strategy
ACTIVE PORTFOLIO: STRATEGY MAU (‘000) -13% YoY DAU (‘000) -18% YoY MPU (‘000) -11% YoY Bookings (‘000) -17% YoY ARPDAU (SEK) +1% YoY UAC (MSEK) -24% YoY UAC, % of Bookings 700 20,0 600 398 3349 18,0 116 117 600 111 351 2899 513 519 16,0 100 103 19% 338 330 2752 2735 2708 477 494 310 500 14,0 17% 22%
Slide 8: Active portfolio: Simulation, RPG & Action
ACTIVE PORTFOLIO: SIMULATION, RPG & ACTION MAU (‘000) +37% YoY DAU (‘000) +16% YoY MPU (‘000) +58% YoY Bookings (‘000) +22% YoY ARPDAU (SEK) +5% YoY UAC (MSEK) +59% YoY UAC, % of Bookings 1800 1643 20,0 415 8761 341 394 1600 1442 1482 18,0 373 7668 312 29% 7339 1400 1273 16,0 288 322 28% 27% 14,0 12
Slide 9: Active portfolio: Casual & Mash-up
ACTIVE PORTFOLIO: CASUAL & MASH-UP MAU (‘000) +302% YoY DAU (‘000) +283% YoY MPU (‘000) +87% YoY Bookings (‘000) +30% YoY ARPDAU (SEK) -66% YoY UAC (MSEK) +145% YoY UAC, % of Bookings 12000 10833 20,0 56665 18,0 995 585 10000 16,0 496 14,0 450 30% 8000 700 383 33% 27941 12,0 5296 533 546 16% 334 600
Slide 10: Financial highlights
Financial highlights Second quarter 2021 10
Slide 11: Financial highlights Q2 2021
FINANCIAL HIGHLIGHTS Q2 2021 Cash generative business Revenue growth of 16% paired with with record level cash flow Adj. EBIT margin of 35% from operations of 443 MSEK Continuously strong financial 1,500 MSEK bond issuance completed position with a cash balance of 850 MSEK and an undrawn credit 1.56
Slide 12: Income statement Q2 2021
INCOME STATEMENT Q2 2021 MSEK Q2 2021 Q2 2020 Net revenue 1 382 1 192 16% Platform fees -314 -343 -9% Gross profit 1 069 849 26% Gross profit margin 77% 71% 6 pp User acquisition costs (UAC) -346 -216 60% UAC/Net revenue -25% -18% -7 pp Other external expenses -72 -47 53% Other external expenses/Net
Slide 13: Cash flow and balance sheet metrics
CASH FLOW AND BALANCE SHEET METRICS CASH FLOW STATEMENT BALANCE SHEET METRICS MSEK 4000 3 MSEK Q2 2021 Q2 2020 Net debt, MSEK 3 584 Cash flow from operations (before 3500 3 116 2,5 Leverage ratio proforma NWC) 434 467 -7% 3000 Change in NWC 9 -123 -107% 2 2500 Cash flow from operations (CFFO) 443 34
Slide 14: Summary & Operational update
Summary & Operational update Second quarter 2021 14
Slide 15: Indicative guidance for third quarter
SUMMARY & OPERATIONAL UPDATE Indicative guidance for third quarter • Challenging comparison numbers from Covid-19 INDICATIVE GUIDANCE FOR Q3 2021 cohorts will continue into Q3, organic growth to return in latter part of the year NET REVENUE • Usual seasonality effects during July and August 1275 132
Slide 16: Continuing our growth journey
SUMMARY & OPERATIONAL UPDATE Continuing our growth journey • The underlying business continues to perform well with increased monetization paired with strong margins across the portfolio • Impressive performance from acquired studios over past 24 months, highlighting the strength of our Stillops pla
Slide 17: Stillfront Group
STILLFRONT GROUP