Thunderful Group Q1 2024 Presentation

Key insights

6 takeaways

01
Thunderful Group reported a net revenue of 392 MSEK for Q1 2024, representing a 28% year-over-year decline, with an EBIT loss of 184 MSEK driven by 72 MSEK in game development write-downs and 18 MSEK in restructuring costs.See it on page 14
02
The Games segment revenue fell 36% to 69 MSEK, resulting in an adjusted EBITDA of -20 MSEK, while the Distribution segment revenue dropped 26% to 323 MSEK due to lower hardware sales at Bergsala and underperformance at Nordic Game Supply.See it on page 14
03
The company faces significant liquidity pressure with a cash position of 71 MSEK and net debt of 647 MSEK, resulting in a net debt/EBITDA leverage ratio of 4.6x.See it on page 16
04
Thunderful is executing a restructuring program that includes the divestment of Headup (subject to shareholder approval), the closure of Stage Clear Studios, and the divestment of the Nordic Game Supply business.See it on page 5
05
Despite overall segment declines, Amo Toys performed well with a 14% revenue increase, and the Games segment saw growth in transactional sales and back-catalog performance.See it on page 13
06
Management has secured a bank waiver conditional on asset divestments and is positioning 2024 as a transition year to establish a more sustainable foundation through a focused 2025 product pipeline.See it on page 18

Summary

• Q&A Martin Walfisz Per Alnefelt NET REVENUE ADJ. EBITDA EBIT 392 MSEK -29 MSEK -184 MSEK -28% y/y n.m. n.m. CASH FLOW OPS. INVESTMENTS EPS -156 MSEK 45 MSEK -3.36 SEK n.m -63% y/y n.m.