Fractal Gaming Group AB (publ) (FRACTL) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Hi everyone and welcome to today's presentation of the 2025 Q1 report for Fractal Gaming Group. Today we'll be presenting the key highlights from our just released Q1 report, focusing on the business status and financial performance for Fractal during the first quarter of 2025. We've had a strong start of the year. and a good momentum now when we're moving into Q2. But at the same time, we are navigating an uncertain macro environment that could impact especially the second half of the year. We'll go a bit deeper into that today. And as usual, we're of course happy to answer any questions you might have either in the end of the call or if you reach out to us individually. Starting by looking at the highlights from Q1, we are satisfied that we are able to build on our strong momentum from Q4, delivering a great start of the year driven by our strategic initiatives and an increase in consumer demand. In Q1, we reached an impressive year-over-year increase of 18%, reaching a net sales of 226 million SEK. This is the second strongest quarter for Fractal ever, only surpassed by the record set in Q2 2023. We see strong momentum in all our regions and positive contribution from our strategic initiatives, such as the sales expansion at Amazon that is now a key driver of growth. In total, our sales out from track partners increased by an exceptional 29% and we strengthened our market shares in key regions. Despite efforts to increase our channel stock levels, the high sales out resulted in continued low inventory in the channel at the end of the quarter. Therefore, our order book, together with continued healthy sales momentum, points to a positive sales development also in Q2. But we also see that the challenges in the global business environment could have impact in the sec...