Modern Times Group FY2026 Q2 Earnings Release
Download PDFQ2 2026
Maria Redin, CEO
Nick Hopkins, CFO
July 21, 2026
Strong Q2 performance
2
SEK 1,163 m
($122m)
UA spend
SEK 707 m
Adj. EBITDA
SEK 2 ,965 m
Net
sales
SEK 4 7 4 m
Unlevered
free cash flow
39 %
UA spend
as % of revenue
6 % Q2 / 10 % H1
Net sales
PF 1 YoY growth
24 % Q2 / 25 % H1
Adj. EBITDA
margin
(10 % Q2 / 20% H1 YoY growth)
81 %
LTM U nlevered
cash conversion
Note: All numbers are for 2026 Q2 unless otherwise stated
Note: USD figure presented based on reported financials converted from SEK at an FX rate of 9.5
Note: Growth is fully organic in Q2, which means that constant currency growth, organic growth and pro forma growth are the s ame in Q2. 1 PF refers to pro forma
($312m )
($74 m) ($50 m)
Q2 & H1 2026 performance
-22%
Q2 growth driven by RAID: Shadow Legends and PlaySimple
3
794
274
246 216 248 184
189 173
161 222 190 174
169
Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Q2’26
2,557
2,911 2,987 3,123 3,159
2,965
1,316
1,461
1,044
1,472
1,078
1,559
1,127
1,492
1,309
1,531
1,076
Other games
Warhammer 40,000: Tacticus
Forge of Empires
RAID: Shadow Legends
Revenue by top games, SEKm
Q2 r evenue
per district
75%
25%
52%
36%
6% 6%
Q2 largest games
by revenue
5%
CC YoY growth
+10%
+9%
Midcore Casual
Note: Growth is fully organic in Q2, which means that constant currency growth, organic growth and pro forma growth are the s ame in Q2.
+5%
Direct – to – Consumer close to 40% of group revenues
Note: Revenue generated by platform affected by the acquisition of Plarium in Q1’25
4
Revenue streams Revenue generated by platform, %
59% 61% 62%
75%
79% 78%
74% 77% 74%
35% 33% 32%
36%
19% 20% 22% 20% 23%
5% 6% 6% 4% 4% 2% 2% 4% 3% 3%
0
10
20
30
40
50
60
70
80
Q1’24 Q2’24 Q3’24
60%
Q4’24
21%
Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Q2’26
IAP
IAA
Third party publication platforms (Other)
75% 76% 77% 78%
69% 70% 69%
64%
56% 57%
20% 19% 19% 19%
24% 24% 26%
32%
39% 38%
4% 5% 5% 3% 7% 5% 5% 4% 5% 5%
0
10
20
30
40
50
60
70
80
90
Q1’24 Q2’24 Q3’24 Q4’24 Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Q2’26
Mobile
Direct to consumer
Other
• Group UA spend up 15% YoY in constant FX
• Midcore District UA spend up 5% YoY in constant FX
o Higher spend on RAID, offset by lower spend on
Forge of Empires and certain other games
• Casual District UA spend up 36% YoY in constant FX
o Primarily scaling of new games Crossword Go, Tile
Match and Cryptogram, along with multiple others
Continued UA investment at 39% of revenue
5
356 360 375
498 464 465
603 694 736
694 735 698
0
200
400
600
800
1,000
1,200
38%
Q1’25
36%
Q2’25
37%
Q3’25
38%
Q4’25
38%
Q1’26
39%
Q2’26
959
1,054
1,111
1,192 1,199 1,163
UA spend development
Midcore UA spend, SEKm Casual UA spend, SEKm UA spend as % of total revenue
• Group UA spend 39% of revenues in Q2 2026, up from
36% in Q2 2025
Strong 24% adjusted EBITDA margin
Note: Figures from Plarium are included for a two -month period in Q1 2025
6
Reported adj. EBITDA, SEKm Adj. EBITDA 1 margin, %
616 640 675
717
802
707
Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Q2’26
+10%
24%
22% 23% 23%
25% 24%
Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Q2’26
Midcore District: 1% organic growth with 26% margin
7
SEK 581 m
Adj. EBITDA
SEK 2,230 m
Net
sales
1 %
Organic
growth YoY
26 %
Adj. EBITDA
margin
0
2
4
6
8
5.1
Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Q2’26
4.2 4.0
6.3
4.0
6.5
3.9
6.7
4.1
6.6
4.0
6.1
DAU ARPDAU
Revenue and Adj. EBITDA DAU & ARPDAU
Casual District: 29% organic growth with 24% margin
1) Casual district DAU figures have been updated to align with the calculation and disclosure from PlaySimple’s DRHP filing, which reflect PlaySimple’s internal data rather than third party
measurement.
8
SEK 177 m
Adj. EBITDA
SEK 736 m
Net
sales
29 %
Organic
growth YoY
2 4 %
Adj. EBITDA
margin
0
2
4
6
Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Q2’26
4.2
1.6
4.7
1.4
4.6
1.5
4.8
1.6
4.8
1.6
4.5
1.8
DAU ARPDAU
Revenue and Adj. EBITDA DAU 1 & ARPDAU
LTM unlevered cash conversion of 81 %
1) Realised FX effects are added back to be excluded from UFCF
2) Paid interest is added back to be excluded from UFCF
3) Adj. Net Income is defined as net income excluding non -cash items in the net finance and PPA related amortizations
4) LTM EBITDA SEK 2 ,636 m
9
Group cash flow statement, SEKm
Q2’26 LTM Q2’26
Income before tax adjusted for items not included in cash flow 621 2,573
Taxes paid -187 -450
Changes in working capital 36 174
Cash flow from operations 471 2,297
CAPEX -66 -226
Realised FX effects 1 -6 11
Levered free cash flow 411 2,061
Paid interest 2 -63 -280
Unlevered free cash flow 474 2,338
Adj. EBITDA 2,901
Unlevered cash conversion rate 81 %
Adj. Net Income 3 1,760
Average number of outstanding shares 119 ,544,384
Adj. EPS 14.72
UFCF per share 19.56
Sunrise Village
Financial leverage
ratio 4
1. 29 x
Leverage ratio 4
1. 45 x
Net financial debt
3,413
Net debt
3,812
Conclusion: Delivering on our strategy, with momentum into H2
O rganic G row th
New Games
DTC
AI
Potential
PlaySimple
IPO
Midcore
Transformation
M&A
Strategic priorities
• Positive Q2 with continued organic growth
and a balanced portfolio across both
Districts
• Full -year outlook reiterated, with an active
H2 pipeline ahead
• Preparatory work towards a potential
PlaySimple listing continues
• C lean balance sheet supported by strong
cash flows provides flexibility and optionality
AdditionalV alue C reation
O rganic G row th
10
We reiterate our outlook for 2026 and the medium term
Notes: 1) MTG calculates pro forma growth on a like -for -like basis: as if all currently owned businesses had been consolidated ( or de -consolidated) for the entirety of both the current and
comparative periods and on a constant currency basis.
2) Over the medium -term
11
Outlook
2026
Medium term
guidance
5 % – 8% 22% – 24%
3% – 7% > 24% > 60%
Pro forma revenue growth¹ Adj. EBITDA margin
Annual gross revenue
growth
Adj. EBITDA margin 2 Unlevered steady
state cash conversion 2
12
Q&A
