ENVAR HOLDINGS INTERIM REPORT FOR THE THIRD QUARTER 2025
A CONTINUED STRONG THIRD QUARTER
CEO Atey Ghailan comments:
It is a pleasure to present Envar’s third quarter for the 2025 financial year, which has once again been a financially strong quarter. Compared to Q3 2024, revenue increased by almost 23%. During the quarter, we have recruited several senior resources to further enhance the quality of our deliveries and to prepare for the next growth phase for the company. We have also incurred significant costs in both hardware and software to improve IT security and monitoring. Despite this, we achieved an operating margin of 22.90% for the quarter, which demonstrates that we are able to maintain strong profitability during growth.
Net sales for the quarter are very strong, and it is clear that the ongoing work to develop existing customer relationships and maintain a high presence at gaming events worldwide has yielded good results. The earlier assessment that the gaming industry continues to move towards outsourcing for increased cost efficiency and flexibility is reflected in Envar’s financial development.
THIRD QUARTER│JULY–SEPTEMBER 2025
- Net sales amounted to SEK 27,248 thousand (22,192), an increase of 22,78 percent compared to the same period last year.
- Operating profit before depreciation (EBITDA) totaled SEK 6,240 thousand (7,192), representing an operating margin of 22.90 percent (32.41) before depreciation.
- Operating profit (EBIT) totaled SEK 6,033 thousand (6,988) representing an operating margin of 22.14 percent (31.49).
- Earnings per share, basic, amounted to SEK 0.37 (12,176). 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 47,734 thousand (7,474). Cash flow from operating activities amounted to SEK 1,158 thousand (4,618).
- Net cash totaled SEK 47,734 thousand. The Company has no interest-bearing liabilities.
(Figures for comparison in parentheses refer to the corresponding period of the previous year).
ACCUMULATED │JANUARY – SEPTEMBER
- Net sales amounted to SEK 74,292 thousand (49,421), an increase of 50.32 percent compared to the same period last year.
- Operating profit before depreciation (EBITDA) totaled SEK 17,524 thousand (4,948), representing an operating margin of 23.59 percent (10.01) before depreciation.
- Operating profit (EBIT) totaled SEK 16,961 thousand (4,336), representing an operating margin of 22.83 percent (8.77).
- Earnings per share, basic, amounted to SEK 1.01 (6,701.12). 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 47,734 thousand (7,474). Cash flow from operating activities amounted to SEK 4,080 thousand (5,588).
- Net cash totaled SEK 47,734 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
- In July, Envar Holding AB announced an update of the financial calendar for 2025/2026 published earlier. The background to this is that Envar's financial monitoring has been streamlined, making it possible to bring forward the quarterly reporting to the market as of the Q3 report in 2025.
- In July, Envar Holding AB published a “reverse” profit warning as a result of a materially higher operating profit (EBIT). The reason for the announcement was a preliminary positive EBIT of SEK 6,045 thousand, an increase of 518.10 percent compared to Q2 2024 and of 23.80 percent compared to Q1 2025.
- In August, Envar published a press release regarding the official announcement of Witchspire, the company’s own developed game (IP) in the survival-crafting adventure genre. The game is planned to be released in Early Access during 2026. Witchspire is the first game title developed by Envar Games AB, a subsidiary of Envar Holding AB. The game and the new IP made their debut at the Future Games Show during Gamescom 2025, the world’s largest gaming convention.
SIGNIFICANT EVENTS AFTER THE QUARTER
- In October, Envar published a press release regarding a record-breaking order from a client who is a globally leading player in the Battle Royale category and has collaborated with Envar since 2024. The new agreement extends over 12 months, starting on 1 October 2025, and has an estimated order value of approximately SEK 23 million. This is the largest single order in the company's history.
INTERIM REPORT
Envar Holding's report is attached and available at https://www.envarholding.com/interim-reports
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 Holding
Envar Holding is an outsourcing and development studio focusing on game graphics to mainly game development companies or other companies active in the entertainment industry. The company has established itself as a provider of high-quality graphics and development services to some of the largest players in the gaming industry, including companies such as Riot Games, Netflix, NetEase, Blizzard, 2K, Hasbro, Tencent and EPIC Games.
For further information please contact:
Atey Ghailan, CEO
info@envarstudio.com
Envar Holding AB
Org.nr 559407-6563
Götgatan 78
118 30 STOCKHOLM
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 2025-11-11 08:00 CET.
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