Stillfront Q2 2018 Report

Key insights

6 takeaways

01
Stillfront Group generated 329 million SEK in net revenue for Q2 2018, marking a 26% year-over-year increase.See it on page 13
02
The company achieved an adjusted EBITDA of 104 million SEK, representing a 32% margin for the quarter.See it on page 13
03
Growth was significantly bolstered by the MENA region title Nida Harb III, which recorded a 173% sequential increase in deposits.See it on page 9
04
The organization operates a portfolio of nine studios across Europe, the Middle East, and North America, supporting 4.2 million monthly active users.See it on page 2
05
Monetization metrics reached all-time highs in average player revenue despite seasonal headwinds in the European market.See it on page 8
06
Stillfront plans to transition to the Nasdaq Stockholm main market in early 2019 to improve its corporate profile and investor reach.See it on page 16

Summary

Stillfront Group’s Q2 2018 report highlights the company’s position as a market leader in the free-to-play browser and mobile strategy game genre. The organization maintains a diversified portfolio of nine studios across Europe, the Middle East, and North America, supporting a user base of 4.2 million monthly active users. The primary thesis centers on a data-driven, decentralized business model that prioritizes long-term profitability, high-margin growth, and the systematic reuse of game engines and intellectual property to minimize risk and maximize return on investment.

Financial performance for the quarter showed strong stability, with net revenues reaching 329 million SEK, representing a 26% year-over-year increase. The group achieved an adjusted EBITDA of 104 million SEK, reflecting a 32% margin, and an adjusted EBIT of 73 million SEK. Key growth drivers included the successful performance of the Big Farm brand and the rapid expansion of Nida Harb III in the MENA region, which saw a 173% sequential growth in deposits. Despite seasonal headwinds in Europe during the quarter, the company maintained strong monetization metrics, reaching all-time highs in average player revenue.

The operational strategy relies on three pillars: product development, growth through systematic M&A, and efficient go-to-market execution. By leveraging cross-platform technologies—such as HTML5 and mobile-native applications—and optimizing marketing spend through performance-based data analysis, the group effectively extends the life cycles of its blockbuster titles. Looking ahead, the company is prioritizing further portfolio expansion and synergy realization between its studios, with plans to transition to the Nasdaq Stockholm main market in early 2019 to enhance its corporate profile and investor reach.