Year End Report: January–December 2017

Key insights

6 takeaways

01
Stillfront Group achieved significant financial growth in 2017, reporting a 75% increase in net revenues to 166.0 million SEK and a 53% rise in EBITDA to 52.3 million SEK.See it on page 2
02
The acquisition of Altigi GmbH (Goodgame Studios) was finalized as a reverse acquisition, a pivotal move expected to fundamentally alter the group’s future financial reporting structure.See it on page 20
03
The company expanded its portfolio through the integration of eRepublik Labs and maintained a stable leverage ratio of 1.30 throughout the year.See it on page 19
04
A net result of 91.4 million SEK was reported for 2017, significantly bolstered by an 83.0 million SEK gain from the revaluation of conditional contingent considerations.See it on page 1
05
The group transitioned to the Nasdaq First North Premier market in 2017 to increase corporate visibility and market standing.See it on page 4
06
Stillfront operates as a decentralized collective of nine near-autonomous subsidiaries, leveraging established intellectual properties like Empire and BigFarm across international markets including Germany, the US, and the MENA region.See it on page 22

Summary

Stillfront Group achieved substantial financial and operational growth throughout 2017, characterized by a 75 percent increase in net revenues to 166.0 million SEK and a 53 percent rise in EBITDA to 52.3 million SEK. This performance was supported by a net result of 91.4 million SEK, which was bolstered by an 83.0 million SEK gain from the revaluation of conditional contingent considerations. The company maintained a stable leverage ratio of 1.30 while successfully transitioning to the Nasdaq First North Premier market, signaling a period of significant corporate maturation and increased market visibility.

The company’s growth strategy centered on aggressive portfolio expansion and the acquisition of high-quality assets. By integrating eRepublik Labs and finalizing an agreement to acquire Altigi GmbH, known as Goodgame Studios, the organization significantly scaled its operations. The latter transaction, structured as a reverse acquisition, represents a pivotal shift that will fundamentally alter the group’s financial reporting structure in subsequent periods. These strategic moves reflect a commitment to long-lifecycle titles and sustained investment in game development to ensure competitive positioning within the global gaming market.

Operating as a collective of nine near-autonomous subsidiaries, the group maintains a diverse presence across major international markets, including Germany, the United States, France, the United Kingdom, and the MENA region. By leveraging established intellectual properties such as Empire and BigFarm, the company successfully navigated the digital gaming landscape throughout the 2017 calendar year. This decentralized operational model, combined with a focus on high-quality, multi-platform distribution, provides a robust foundation for the company’s ongoing expansion and long-term value creation in the global digital entertainment sector.