STRONG START TO THE YEAR'S FIRST QUARTER
CEO Atey Ghailan comments:
I am pleased to present Envar's results from first quarter in the 2025 financial year, a quarter in which the Company delivered a very strong financial performance. Compared to the first quarter in 2024, sales more than doubled and in the first quarter this year, operating profit (EBIT) increased by SEK 8.5 million. The quarter was characterized by work to raise Envar's profile in the international arena via participation in international and national gaming events, with the aim of broadening the customer base, stepping up the pace of sales and building the brand.
An intensive recruitment program is in progress at both subsidiaries, and several competent colleagues were hired during the quarter.
FIRST QUARTER¦JANUARY-MARCH 2025
- Net sales amounted to SEK 22,677 thousand (11,065), an increase of 104.94 percent compared to the same period last year.
- Operating profit before depreciation (EBITDA) totaled SEK 5,061 thousand (-3,425), representing an operating margin of 22.32 percent (-30.95) before depreciation.
- Operating profit (EBIT) totaled SEK 4,883 thousand (-3,629), representing an operating margin of 21.53 percent (-32.80).
- Earnings per share, basic, amounted to SEK 0.25 (-7,167.05). A 20,000-for-1 share split and a quota value issue of 2,500,000 shares were registered in the fourth quarter of 2024.
- Cash and cash equivalents totaled SEK 53,285 thousand (3,465). Cash flow from operating activities amounted to SEK -4,553 thousand (-148).
- Net cash totaled SEK 53,285 thousand. The Company has no interest-bearing liabilities.
(Figures for comparison in parentheses refer to the corresponding period of the previous year).
SIGNIFICANT EVENTS DURING THE QUARTER
- During the quarter, Envar moved into modern, well-adapted business premises on Södermalm, Stockholm.
- Also during the quarter, a previously planned intra-Group transfer of the game development business from the operating company Envar Entertainment to Envar Games was carried out. The transfer makes for clearer operational and financial monitoring, and helps to create a stronger employee culture in each of the business areas.
- In March, Envar announced a major order from a leading game developer in the Battle Royal category. The order is valued at approximately SEK 9.1 million and extends over a contract term of 6 months. It is one of the largest orders in relation to contract length in the Company's history. The counterparty has been a customer of Envar since 2024.
SIGNIFICANT EVENTS AFTER THE QUARTER
In early May, Envar announced a major order from a leading game developer in the Multiplayer Online Battle Arena (MOBA) category. The order is valued at approximately SEK 7.3 million and the counterparty has been a customer of Envar since 2020.
CERTIFIED ADVISER
Envar has appointed Amudova as the Company's Certified Adviser on Nasdaq First North Growth Market.
Tel: 08-546 017 58
E-mail: info@amudova.se
ABOUT ENVAR
Envar is an outsourcing and development studio focusing on graphic design, 3D graphics, animations and illustrations on behalf mainly of world-leading game development companies and other companies active in the entertainment industry. The Company has established itself as a provider of graphics and development services to some of the biggest brands in the gaming industry, including companies such as Riot Games, Netflix, EA Games, Nickelodeon, NetEase, Blizzard, 2K, Hasbro, Sony, Tencent and EPIC Games.
FOR FURTHER INFORMATION CONTACT
Atey Ghailan, CEO
info@envarstudio.com
Envar Holding AB
Org. reg. no. 559407-6563
Götgatan 78
SE-118 30 STOCKHOLM, SWEDEN
INTERIM REPORT
Envar Holding's report is attached and available at https://www.envarholding.com/interim-reports
MAR LABEL
This information is information that ENVAR HOLDING 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 2025-05-27 08:00 CEST.
