Minor estimate cuts after Q3

Weaker sales, strong cash flow

Waiting for new games to improve growth

Slight miss on sales, organic growth remains soft

We trim growth expectations ahead of Q2

We expect the negative growth trend to continue in Q2. Good cost control is protecting profitability and cash flow. 6-5x EBIT and 15-14% FCF yields on '24e-'26e

Neg. growth trend, but solid profitability and CF

Sales -4% vs. ABGSCe but adj. EBIT +1% in Q1. We cut sales by 5% and adj. EBIT by 12-17% on '24e-'26e. Trades at 9x P/E, 7-6x EBIT and 14-12% FCFy '24e-'26e.

G5 Entertainment AB: 1 director

A director at G5 Entertainment AB sold 25,000 shares at 145.846SEK and the significance rating of the trade was 51/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years cl...

G5 Entertainment - A solid report, but write-off mudded the waters

Sales & adj. EBIT above our expectations We cut adj. EBIT but raise FCF on 2023e and 2024e Buybacks to continue – 2% of shares repurchased in Q3

G5 Entertainment - Solid report, but EBIT hurt by one-off

Sales in line, adj. EBIT +18% vs. consensus One-time impairment of 73m hurt net profit Buybacks to continue

G5 Entertainment - Sequential improvements in growth and profit

Sherlock going strong with HC seeing seq. improvement Elevated RUB weighing on EBIT in 2022e and 2023e Share trading at 5.9x EV/EBIT 2023e, incl. high RUB

G5 Entertainment - Report on the weak side, and outlook cut

Sales in line, but profitability and outlook worse ‘22e, ‘23e & ‘24e adj. EBIT cut by 7%, 7%, & 8% New fair value range: SEK 230-390 per share (260-440)

G5 Entertainment - Pulling the breaks on Sherlock

EBIT SEK 1m vs ABGSCe 15m and cons 16m Estimates on ‘22e-‘24e likely to come down 5-10% UAC will be back to normal range from August

G5 Entertainment - Big investments in Q2 to yield in H2

Q2 report due on 11 August We cut ‘22e-‘24e EBIT by 17%, 5%, and 4% 14% FCF yield with positive growth outlook in ’23e-‘24e

G5 Entertainment - Initiates new buybacks

Authorised to repurchase 5% of shares… … while the share trades at 13% FCF yield on 2023e Investments in Sherlock looks promising

Sector Fast Comment - US Gaming sales -19% in May

Content spending -19%, hardware -11%, y-o-y Evil Dead from Embracer 4th best-selling game in May Lack of game releases hurt total sales in May

G5 Entertainment - A new king (detective) on the throne

EBIT +7% vs. ABGSCe; guides for increased UAC in Q2 We raise ‘23e-‘24e EBIT on higher growth for Sherlock Trading at 5x EV/EBIT and a 12% FCF yield on 2023e

G5 Entertainment - Guides for higher UAC

Adj. EBIT +7% vs ABGSC, +11% vs cons UA/sales to increase to 35% in Q2… …lowering profit short term, but is accretive to growth

G5 Entertainment - Under pressure, but we see signs of strength

ABGSCe Q1: adj. EBIT +6% y-o-y and flat sales We cut ‘22e-‘24e EBIT by 6%-9% 5x 2022e EV/EBIT – a five-year low

G5 Entertainment - Feedback from call with CFO

Stands by communication from last week… … that immediate revenues are not affected Tempted to do buybacks but are waiting for now

G5 Entertainment - Weak Q4, but set to grow EPS rapidly in ‘22e

Disappointing sales, with -6% organic growth in Q4… …but we still think it will grow EBIT by 30% in 2022 7.5x ‘22e EV/EBIT and 14% ’21-‘24e EPS CAGR