Embracer Group AB (EMBRAC_B) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning everyone and welcome to Embracer's Q4 2025 report. My name is Victor Lindström, being an equity analyst at Nordia Markets and will be today's moderator. As usual, we'll start off with the presentation by CEO Lars Vingefors and CFO Myge and following the presentation, There will be a Q&A session where you will have the possibility to ask questions fiscally here in the stands, online, or through the telephone conference. With that said, I leave the floor to you, Lars. Thank you, Victor. Hello, everyone, and welcome to this conference call in Stockholm. Let's look at the highlights for the quarter. Our financials came in a bit stronger than expected. Net sales grow on performer basis 19% to 5.4 billion. Our profitability, driven by the solid performance of Kingdom Come Deliverance 2, came in at 1.1 billion, which is a 44% performer growth. And free cash flow came in close to one billion in the quarter. And the performance were very much driven by the solid performance of Kingdom Come Deliverance 2 that now is confirmed to have sold more than three million copies. a bit into this quarter. And we are now looking to launch additional content, DLC content, in the course of this financial year. We also had a positive organic growth of 30% within mobile, but also a significant increase of user acquisition spent. Ultimately, this will drive increased free cash flow generation within the mobile business on the long term. We have a solid slate of new game releases and I will come back to that later in the presentation. This year, we're looking forward to two defined AAA releases, but we do have a very broad portfolio within the group. We expect to release 76 games, new IPs, sequels, remasters. In total, we're expecting 3.8 billion in completion value, meaning invest...