Stillfront Group Reports Increased Revenue and Profitability in Q2 2023
Stillfront Group, a leading video game company, has announced its financial results for Q2 2023. The company generated 1.812 billion Swedish kronor ($174.447 million), representing a slight increase from the same period last year. Additionally, the company reported an EBITDA of 695 million kronor ($66,865,533), indicating a 10% year-on-year growth. These figures demonstrate that Stillfront Group is experiencing continued success and is well-positioned for future growth.
Focus on Profitability and Cash Flows
CEO Jörgen Larsson expressed satisfaction with the company’s performance, stating, “In the second quarter of 2023, we continued to deliver on our communicated agenda from our capital markets day in February with a focus on growing profitability and cash flows.” He highlighted that Stillfront Group’s net revenue remained stable at 1,812 MSEK in the quarter, while Adjusted EBITDAC and Adjusted EBITDA reached all-time highs, growing by 32% and 11% respectively.
The increased profitability can be attributed to several factors, including a higher share of direct-to-consumer bookings, continued cost optimization, and reduced user acquisition and development costs. Furthermore, the company generated strong cash flow and saw a significant increase of 51% in free cash flow in Q2 compared to the previous year.
Success Across Markets
Stillfront Group’s Q2 report also reveals success across various markets. The company achieved 58 million monthly active users across its 71 games, with its top five franchises accounting for 51% of bookings. The total bookings for the active portfolio reached 1.698 billion kronor ($163.384 million), with casual and mash-up games contributing significantly to this success. Although this revenue decreased by 7% compared to the previous year, it remains a notable achievement.
Simulation, RPG, and action games in Stillfront Group’s portfolio performed well, generating 467 million kronor ($44,935,496) in revenue. These genres experienced a combined revenue growth of 22%, demonstrating their increasing popularity among users. However, they have yet to reach the same level of success as other genres.
Geographically, North America proved to be the most lucrative market for Stillfront Group, accounting for 51% of sales. This was followed by Asia with 27% and Europe with 26%.
Stillfront Group continues to be recognized as a top player in the industry, as it was listed among the top 50 mobile game makers of 2022. The upcoming list for 2023 will be unveiled in the coming months.