Asmodee Q2 25/26 Earnings Release

Key insights

6 takeaways

01
Asmodee achieved net sales of €752.4 million for the first half of fiscal year 2025/2026, a significant increase from €598.4 million in the prior year period.See it on page 2
02
The Trading Card Game segment remains the primary revenue driver, contributing €458.2 million, while partner-published games saw a 39% surge in revenue.See it on page 21
03
Despite strong top-line growth, the company recorded a net loss of €7.8 million for the half-year, driven by interest expenses from senior secured bonds and non-cash fair value adjustments.See it on page 6
04
Financial leverage improved substantially, with the net debt ratio (excluding M&A commitments) dropping to 1.8x from 4.1x in the previous year following a successful capital restructuring.See it on page 3
05
The acquisition of the Exploding Kittens intellectual property contributed to total acquisition-related liabilities of €140 million.See it on page 24
06
Second-quarter free cash flow was negative €23.3 million, impacted by seasonal inventory build-up and the cash flow requirements of the expanding TCG business.See it on page 5

Summary

Asmodee demonstrated robust top-line expansion during the first half of the 2025/2026 fiscal year, achieving net sales of €752.4 million, a significant increase from the €598.4 million recorded in the same period the previous year. This growth was primarily fueled by a 39% surge in partner-published games and sustained momentum within the Trading Card Game segment, which contributed €458.2 million in revenue. The second quarter alone accounted for €403.4 million in net sales, reflecting a 20.8% year-over-year increase. Adjusted EBITDA reached €116.0 million for the half-year, signaling strong operational performance despite margin pressures stemming from a shifting sales mix and elevated operating expenses.

Despite these gains in revenue and operational earnings, the company reported a net loss of €7.8 million and a total comprehensive loss of €39.9 million for the six-month period. These bottom-line results were heavily influenced by non-cash adjustments, including the fair value measurement of put/call options on non-controlling interests and significant interest expenses associated with the transition to senior secured bonds. Furthermore, the acquisition of the Exploding Kittens intellectual property contributed to total acquisition-related liabilities of €140 million. Seasonal inventory build-up and the specific cash flow requirements of the expanding TCG business resulted in a negative free cash flow of €23.3 million for the second quarter.

The company underwent substantial structural changes during this period, including a transition of its functional and presentation currency from SEK to EUR and a successful capital restructuring. These efforts have yielded a marked improvement in financial leverage, with the net debt ratio—excluding M&A commitments—dropping to 1.8x from 4.1x in the prior year. While the company faces ongoing volatility from currency translation and non-cash financial instruments, the core business maintains strong market demand and a significantly deleveraged balance sheet.