Fingerprint Cards AB (publ) publishes interim report for January – June 2025

Core Insights - The company has reported strong core revenue growth, with a 40% increase in Q2 2025 and a 66% increase for the first half of the year compared to the same period in 2024, driven by high demand for biometric authentication solutions [5][6][12] - The gross margin remained robust at 48.1% in Q2 and 53.0% for the first half, significantly higher than previous levels in exited Mobile and PC businesses [6][8] - The company is focused on cash flow positivity while making targeted investments for long-term growth, supported by a leaner cost structure and reduced headcount by 59% compared to Q2 2024 [8][9] Financial Performance - Revenue for Q2 2025 amounted to SEK 15.7 million, up from SEK 11.2 million in the previous year, while total revenue for the first half reached SEK 33.9 million, compared to SEK 20.4 million [6][5] - EBITDA for Q2 was negative SEK 20.3 million, an improvement from negative SEK 57.6 million year-over-year, while adjusted EBITDA also reflected the same negative figure [6] - Cash flow from operating activities was negative SEK 18.3 million in Q2, showing a slight improvement from negative SEK 20.9 million in the previous year [6] Strategic Initiatives - The company has entered a licensing agreement for PC-related assets with Egis Technology for approximately SEK 24 million, which includes potential royalty payments, aligning with its strategy to monetize existing IP assets [13] - A strategic partnership with Anonybit is evolving, focusing on a cloud-based platform for privacy-first biometric authentication, enhancing market presence [10][11] - The company is expanding its sales capacity and marketing efforts to drive engagement and lead generation, including a new website to support future growth [14] Operational Improvements - The company is modernizing operations by simplifying core processes and adopting AI-based productivity tools to enhance efficiency and scalability [15] - Continued efforts to streamline operations are aimed at reducing operating expenses and strengthening financial flexibility [9] - The addition of experienced board members is expected to accelerate strategic execution across key dimensions, including technology monetization and revenue growth [12]