Sweden's Acast Q2 net sales rise 28% on North America and Europe strength, margins improve
Sweden's Acast Q2 net sales rise 28% on North America and Europe strength, margins improve
Overview
Sweden podcast platform's Q2 net sales rose 28% yr/yr, driven by North America and Europe
Adjusted EBITDA margin improved to 7% from 3% as operating leverage increased
Company launched first integrated video ad campaigns on Apple Podcasts in Q2
Outlook
Acast expects to expand audience measurement to include YouTube by its Q3 2026 report
Company says it remains on track towards its 2028 EBIT margin goal
Acast sees continued market-wide momentum as more brands adopt podcast advertising
Result Drivers
REGIONAL GROWTH - Co said North America and Europe each contributed almost identical amounts of incremental revenue, with North America up 34% yr/yr and Europe up 25% yr/yr
HIGHER MONETIZATION - Average Revenue Per Listen or View rose 26% yr/yr, reflecting increased demand from advertisers for high-value podcast inventory
VIDEO ADVERTISING LAUNCH - Co launched first integrated video ad campaigns on Apple Podcasts, enabling new revenue streams from video content
Company press release: ID:nMFN6j1Hdc
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales |
| SEK 775.60 mln |
|
Q2 EPS |
| SEK 0.14 |
|
Q2 Adjusted EBITDA |
| SEK 57.70 mln |
|
Q2 Adjusted EBITDA Margin |
| 7.00% |
|
Q2 EBIT |
| SEK 31.60 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for Acast AB (publ) is SEK45.00, about 18.7% above its July 22 closing price of SEK37.90
The stock recently traded at 37 times the next 12-month earnings vs. a P/E of 36 three months ago
Reuters Recommended Reads
July 22 - Sweden's Sinch Q2 sales, adjusted EBITDA beat on growth in Americas
July 22 - Sweden's Upsales Technology Q2 EBITDA margin improves on Aira separation
July 21 - Sweden's MTG Q2 adjusted EBITDA tops estimates on casual games scaling
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)