Thunderful Group Interim Report January–December 2023

22 February 2024 · Attachments

Challenges in Games but positive results in Distribution

Fourth quarter October–December 2023

  • Net revenue decreased 18.4 percent to 953.2 MSEK (1,168.1*).
  • Operating profit (EBIT) decreased 574.0 percent to –678.3 MSEK (143.1), corresponding to an operating margin of –71.2 percent (12.3). Write-down of goodwill amounted to 500 MSEK and capitalized development cost to 98 MSEK.
  • Adjusted EBITDA decreased 98.4 percent to 2.9 MSEK (185.2), corresponding to an adjusted EBITDA margin of 0.3 percent (15.9).
  • Adjusted EBITA decreased 186.8 percent to –143.8 MSEK (165.7), corresponding to an adjusted EBITA margin of –15.1 percent (14.2).
  • Profit for the quarter amounted to –587.1 MSEK (130.4).
  • Earnings per share after dilution amounted to –8.35 SEK (1.86).
  • Cash flow from operating activities amounted to 304.2 MSEK (406.3).
  • Consolidated cash and cash equivalents together with unutilized credit facilities amounted to 320.1 MSEK (493.7) as of 31 December 2023.
  • Henrik Lundkvist assumed his role as CFO for Thunderful Group effective 1 December 2023, succeeded Annette Colin, interim CFO.

 Full year January–December 2023

  • Net revenue decreased 4.6 percent to 2,818.2 MSEK (2,953.3*).
  • Operating profit (EBIT) decreased 410.8 percent to –609.3 MSEK (196.1), corresponding to an operating margin of –21.6 percent (6.6). Write-down of goodwill amounted to 500 MSEK and capitalized development cost to 98 MSEK.
  • Adjusted EBITDA decreased 35.6 percent to 241.9 MSEK (375.6), corresponding to an adjusted EBITDA margin of 8.6 percent (12.7).
  • Adjusted EBITA decreased 97.3 percent to 7.7 MSEK (284.8), corresponding to an
    adjusted EBITA margin of 0.3 percent (9.6).
  • Profit for the period amounted to –609.4 MSEK (121.2).
  • Earnings per share after dilution amounted to –8.67 SEK (1.72).
  • Cash flow from operating activities amounted to 315.4 MSEK (527.4).

* Income related to marketing activities has been reclassed from net revenue to other income in the prior periods.
 
Events after the end of the quarter
Thunderful Group announced that the company will implement a restructuring program to strengthen its long-term competitiveness. The program will aim to reduce costs and increase focus in areas with highest potential for future growth and profitability potential and is estimated to yield an annual savings of 90–110 MSEK.
 
Telephone conference
Thunderful Group invites to a webcast February 22, 2024, 09.00 CET. The Year-end Report for 2023 is presented and thereafter there is an opportunity to ask questions. A recorded version of the presentation will also be available on Thunderful Group's website. The presentation will be held in English. The presentation will be moderated by Anton Hoff, analyst at Redeye.

Link to webcast:
https://ir.financialhearings.com/thunderful-group-q4-report-2023

For more information, please contact:
Martin Walfisz, CEO, Thunderful Group, +46 705 37 19 10
Henrik Lundkvist, CFO, Thunderful Group, +46 733 33 66 23

About Thunderful Group
Thunderful Group is a group of companies that develops, publishes and invests in games, while also distributing Nintendo products, games, game accessories and toys. The headquarters is located in Gothenburg, Sweden, with additional offices in Aarhus, Cologne, Copenhagen, Guildford, Helsinki, Hong Kong, Karlshamn, Kungsbacka, Larvik, Madrid, Malmö, Newcastle, Skövde and Stockholm. The Group's overall goal is to provide high-quality entertainment products for people of all ages. Thunderful Group is listed on Nasdaq First North Premier. FNCA Sweden AB is appointed Certified Adviser.

This information is information that Thunderful Group AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2024-02-22 07:30 CET.

Attachments
Thunderful Q4 2023 EN

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