THE PERIOD JANUARY - JUNE 2025
- Revenues (Jan - Jun): SEK 2 291 thousand (SEK 2 670 thousand on corresponding period 2024)
- EBITDA: SEK -8 485 thousand (SEK -6 359 thousand)
- Adjusted operative EBITDA1) - 6 521 thousand (SEK -6 359) at corresponding period level
- EBIT: SEK -9 182 thousand (SEK -7 219 thousand)
- Net result: SEK -9 825 thousand (SEK -7 493 thousand)
- Earnings per share (EPS) -0,38 SEK / share
- Cash and cash equivalents: SEK 3 874 thousand (30 June 2025)
THE PERIOD APRIL - JUNE 2025
- Revenues (Apr - Jun): SEK 1 149 thousand (SEK 1 675 thousand on corresponding period 2024)
- EBITDA: SEK - 5 281 thousand (SEK -3 228 thousand)
- Adjusted operative EBITDA1) -3 317 thousand (SEK -3 228) at corresponding period level
- EBIT: SEK -5 626 thousand (SEK -3 526 thousand)
- Net result: SEK -6 460 thousand (SEK -3 525 thousand)
- Earnings per share (EPS) -0,25 SEK / share
1)Excluding incentive programs and restructuring costs provisions
SIGNIFICANT EVENTS DURING APRIL - JUNE 2025
- Arctic Blue Beverages' product portfolio was awarded multiple medals at the prestigious San Francisco World Spirits Competition 2025. Arctic Blue Gin Rose secured a Double Gold medal.
- Artic Blue Beverages' Nightwish Gin was awarded the coveted Gold Medal at the 2025 International Wine & Spirit Competition (IWSC), one of the world's most prestigious spirits competitions.
- The Company signed a Letter of Intent (LOI) with a consortium of U.S. investors, led by former NHL star and entrepreneur Teemu Selänne. The LOI outlines the formation of a joint venture aimed at launching and commercializing the Arctic Blue Long Drink brand and product portfolio in the U.S. market, beginning in California.
- The Company resolved, subject to the approval of an extraordinary general meeting, to carry out a fully secured rights issue of 52 396 178 shares with preferential rights for the Company's existing shareholders.
- The Company entered a bridge loan agreement of SEK 5 million with Fenja Capital I A/S (the "Lender") on market terms and the board of directors, with authorization from the annual general meeting on 10 June 2025, issued 4 200 000 warrants of series 2025/2030 free of charge to the Lender.
- The Company entered into loan agreements amounting to a total of EUR 160 000 with shareholders Grizzly Hill Capital Ab and Heino Group Oy.
- The Company announced changes in the company's executive leadership. Valtteri Eroma stepped down from his position as Chief Executive Officer. The company's Chief Financial Officer, Petri Hirvonen, was appointed the new CEO, effective 1 July 2025.
SIGNIFICANT EVENTS AFTER PERIOD
- The extraordinary general meeting resolved to amend the articles of association.
- The extraordinary general meeting resolved to approve the board of directors' decision from 23 June 2025 to issue new shares with preferential rights for the existing shareholders.
REPORT HIGHLIGHTS
FOCUS ON COMMERCIALIZATION AND INTERNATIONAL EXPANSION
"The challenging market environment continued, and our revenue remained at the same level than in the previous quarter and clearly below the same period last year. The decline was highest in the gin category, but we managed to offset this decline partly by increasing our sales in premium ready-to-drink beverages category thanks to our new Arctic Blue Long Drink products. Also Nightwish Gin, launched at the end of last year, is demonstrating its value within our portfolio, being the second best-selling gin in our portfolio after our flagship product Arctic Blue Gin.
Number of tasting events increased, and sales of limited-edition gins started in the Arctic Blue Showroom Distillery in the second quarter of 2025. The first editions were made for NoHo Partners chain and other premium restaurants in the Helsinki area. We are confident that these operations will pick up during the rest of the year and that order volumes will grow. The introduction of the first editions of the limited-edition gins, particularly developed for the on-trade and restaurant segment, has been met with highly positive feedback.
After successful expansion of our global availability by launching our own e-commerce platform we have been still focused on finalizing the system, optimizing data flow and user experience, as well as testing different marketing channels and approaches. This initiative requires patience, but we believe that we will gain meaningful traction in a few selected markets, with early results starting to show in sales performance.
During the second quarter of 2025, our sales revenue decreased by 31% compared to the same period last year. The principal factor contributing to this downturn was an unfavourable sales trend evident in the domestic market and export sales, where we experienced a decline in sales. Due to challenging economic times consumers continue buying cheaper products and this can be seen across all our sales channels. Also unfavorable weather conditions weakened particularly domestic on-trade sales.
Despite the challenging market situation, during the second quarter we managed to increase our long drink sales almost by 10% compared to the previous year, increase number of tasting events and start sales of limited-edition gins.
Export sales have been slower than expected, with no significant growth achieved in any particular market recently. Nevertheless, we believe our own e-commerce availability will open a more agile and scalable path to strengthen international sales, without the complexity of building traditional distributor networks in every market. However, we are aware that building local awareness and brand visibility remains crucial to this strategy, and thus we will continue investing in this through collaborations with local influencers and premium on-trade partners.
The second quarter of the year was quieter than expected but included positive signs like increased sales of long drink products and Showroom Distillery products and events.
As announced in our new strategy we will focus on commercialization and international expansion. Our cost structure will be leaner, and we are targeting to improve our sales margins. We will focus on increasing domestic and travel retail sales and growing our e-commerce presence with new offerings such as Nightwish Gin and our Artic Blue Long Drink products. In addition, the full potential of our Showroom Distillery is expected to materialize later this year.
Lastly, alongside our European expansion, we are preparing to enter the U.S. market by leveraging the strength of our Long Drink portfolio. This effort is supported by an American investor consortium led by Finnish NHL legend and entrepreneur Teemu Selänne.
To efficiently execute our growth strategy in Europe and ensure a strong launch in the United States, we are currently carrying out a fully secured rights issue to support Arctic Blue Beverages' next chapter of growth and international success", says Petri Hirvonen, CEO of Arctic Blue Beverages.
Arctic Blue Beverages AB has published its January - June 2025 Half-year Report on the Company's website today. The Half-year Report is available to download on the Company's website www.arcticbluebeverages.com/investors/financial-reports/. A PDF version of the Half-Year Report is attached to this press release.
For more information please contact
Petri Hirvonen, CEO
Phone: +358 40 571 0834
Email: petri.hirvonen@arcticbluebeverages.com
The company's Certified Adviser is Eminova Fondkommission AB | +46 8-684 211 10 | adviser@eminova.se
About Us
Arctic Blue Beverages AB is a Nordic beverage company whose best-known products are the multi-award winning Arctic Blue Gin, Arctic Blue Gin Rose, Arctic Blue Laku and the world's first dairy-free gin-based oat liqueur, Arctic Blue Oat. The company invests heavily into international export and its products are sold in Finland, Sweden, Japan, Australia and more than a dozen other countries. For more information, visit Arctic Blue Beverages webpage https://arcticbluebeverages.com
This information is information that Arctic Blue Beverages 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 2025-08-04 09:00 EEST.
