Interim Report for the Period July 1, 2020 to September 30, 2020
July – September 2020 in Summary
- Total revenue amounted to SEK 120.5 million. Net revenue amounted to SEK 80.5 million which represents a growth of 21% compared to the same period last year.
- EBITDA amounted to SEK 22.6 million.
- The cash balance amounted to SEK 540.8 million
- Net debt amounted to SEK -320.2 million.
- Equity amounted to SEK 705.7 million.
- Earnings per share amounted to SEK -0.202.
July – September 2020 in Summary Pro-Forma*
- Total revenue amounted to SEK 145.2 million.
- EBITDA amounted to SEK 32.1 million.
Rolling 12 Months in Summary Pro-Forma*
- Total revenue amounted to SEK 678.6 million.
- EBITDA amounted to SEK 95.8 million.
Significant events during the third quarter 2020
- Sold Out signs publishing agreement for two unannounced titles.
- Radical Rabbit Stew is released.
- Sold Out signs agreement regarding physical publishing of the title Planet Coaster: Console Edition developed by Frontier.
- No Straight Roads is released.
- Descenders is released.
- The Canadian game developer Big Blue Bubble is acquired. The company had revenues of approximately SEK 80 million and EBITDA of SEK 24 million for the rolling twelve months up to Q2 2020. The up-front payment amounts to approximately SEK 106 million, an up-front EBITDA multiple of 4.6x.
- EG7 receives approximately SEK 5 million through redemption of series TO1 warrants.
- EG7 successfully completes a directed issue of 8,747,131 new shares raising proceeds of approximately SEK 429 million.
Significant events after the third quarter 2020
- An extra general meeting is held where it is decided to authorize the board to decide on a new issue of shares, warrants and/or convertibles.
- EG7 completes the acquisition Big Blue Bubble.
Comment from Robin Flodin, CEO of EG7:
“During the third quarter of 2020, we have taken several big and important steps towards creating the eco-system within the gaming industry that we envisioned when we were listed 3 years ago. We have recently raised SEK 429 million, acquired the successful Canadian game developer Big Blue Bubble while simultaneously having launched four game titles and achieved a net sales growth of 21% compared to the same quarter last year. We have a very exciting time ahead of us with several game releases as well as a further accelerated M&A strategy.”
FOR MORE INFORMATION, PLEASE CONTACT:
Robin Flodin, CEO
Phone: +46 70 477 06 34
Alexander Albedj, Chairman
Phone: +46 76 221 30 75
EG7 is a group within the gaming industry that develops, markets, publishes and distributes PC, console and mobile games to the global gaming market. Game development departments Toadman Studios, Big Blue Bubble and Antimatter Games employ over 170 game developers who develop their own games where EG7 owns the rights and also undertakes development assignments for other publishers around the world. The group's marketing agency Petrol Advertising Inc has so far contributed to the release of at least 1,500 titles, many of which are world famous brands such as Call of Duty, Destiny, Dark Souls and Rage. The group's publishing and distribution company Sold Out Sales & Marketing Ltd through its experts offers both physical and digital publishing and has worked with Team 17, Rebellion and Frontier Developments. The group is headquartered in Stockholm with approximately 270 employees in 10 offices worldwide. The group's business model provides the conditions for close cooperation as well as stable cash flows. The company's strategy is to continue to grow by developing games in its existing offices, and to continue to work its way up the value chain by developing games with its own resources and publishing games on its own.
Nasdaq First North Growth Market Ticker Symbol: EG7
Certified Adviser: Eminova Fondkommission AB, Phone: +46 8 684 211 00
This information is information that Enad Global 7 AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, on November 25, 2020 at 06:00 CET.
*: Financial figures as if Big Blue Bubble is included in the group during the period