Positive EBITDA and operating cash flow for the full year in a challenging external environment

Summary by AI ^BETAClose X

Precise Biometrics reported a challenging year-end for 2025, with net sales falling to SEK 77.8 million from SEK 86.9 million in 2024, primarily due to a major mobile customer rescheduling production and negative currency effects. Fourth-quarter net sales were SEK 17.0 million compared to SEK 21.8 million in the prior year. The company experienced an operating loss (EBIT) of SEK -20.1 million for the full year, a significant increase from SEK -9.4 million in 2024, and earnings per share were SEK -0.25. Despite these financial declines, the company achieved positive EBITDA of SEK 0.2 million and positive operating cash flow for the full year, with Annual Recurring Revenue remaining stable at SEK 18.9 million. Significant product developments included the launch of a next-generation biometric matching algorithm and new physical access control capabilities.

Disclaimer*

Year-end report Jan – Dec 2025

Fourth quarter

Net sales totaled SEK 17.0 (21.8) million
- The single biggest reason for the difference compared to 2024 is a major mobile customer that rescheduled its planned Q4 production to 2026
EBITDA totaled SEK -1.9 (3.4) million.
The operating profit/loss (EBIT) totaled SEK -6.7 (-2.1) million
Earnings for the period totaled SEK -6.3 (-1.3) million
Earnings per share before and after dilution totaled SEK -0.08 (-0.02)
Cash flow from operations totaled SEK -3.2 (5.8) million
ARR (Annual Recurring Revenue) at the end of the period was SEK 18.9 (19.0) million

Full-year period, January - December

Net sales totaled SEK 77.8 (86.9) million.
- The single biggest reasons for the difference compared to 2024 are a major mobile customer that rescheduled its planned Q4 production to 2026 and a negative currency effect of SEK 3.3 million
EBITDA totaled SEK 0.2 (13.4) million
- Adjusted for negative currency effects from operating items, EBITDA totaled SEK 3.1 million and operating expenses were at the same level as in the previous year
The operating profit/loss (EBIT) totaled SEK -20.1 (-9.4) million
Earnings for the period totaled SEK –19.9 (–8.4) million
Earnings per share before and after dilution totaled SEK -0.25 (-0.11)
Cash flow from operations totaled SEK 1.9 (10.1) million
ARR (Annual Recurring Revenue) at the end of the period was SEK 18.9 (19.0) million

Significant events during the quarter

Next generation biometric matching algorithm launched
Precise and SecuGen strengthen trust in national ID programs with joint anti-spoofing solution
Precise strengthens Precise Visit by EastCoast with new physical access control capabilities

Significant events after the end of the full-year period

Precise participates at MOSIP Connect 2026
Age Back Co Stockholm selects Precise Access for biometric physical access

Presentation and live Q&A
Precise has published a video interview with CEO Joakim Nydemark in connection with this report. The video is available on the Investor Relations page. The Company will also host a live Q&A on the day of the report. More information and a registration link to the Q&A session may be found on the Investor Relations page.

CEO Joakim Nydemark comments

“2025 was a challenging year, marked by geopolitical uncertainty, currency headwinds, and delayed customer investments. Despite this, we delivered positive EBITDA and positive operating cash flow for the full year, confirming the strength of our offering and business model. We made important technological and commercial progress during the year and are well positioned for 2026. With a strong offering and biometrics having evolved into an increasingly central pillar of both digital and physical security, I look ahead to 2026 with great confidence.”

About Precise Biometrics

Precise Biometrics AB (publ) (“Precise”), is a global pioneer in biometrics and cybersecurity. The biometric recognition solution suite today includes fingerprint, face, and palm recognition algorithm products along with turnkey solutions for visitor management (Precise Visit by EastCoast) and biometric physical access management (Precise Access).

Precise’s premium biometric recognition solutions is used in mobiles, laptops, security tokens and smart looks, as well as automotive applications for in-car payments, driver authentication, and personalized settings and access. Precise also offer visitor management and physical biometric access control solutions.

Precise operates through two business units, Digital Identity and Biometric Technologies, and the company has offices in Sweden ( HQ in Lund), USA, South Korea, Taiwan, and China. Precise is a public company listed on Nasdaq Stockholm (PREC). Learn more at www.precisebiometrics.com.