Tobii Dynavox

Dynavox Group AB (publ) today announced its results for the second quarter 2025. 
Comment from the Dynavox Group CEO Fredrik Ruben:

Dynavox Group delivered another quarter of exceptional growth and continued strong momentum across all regions and product categories. In the period, we achieved a record-breaking revenue growth of 38% in local currencies while accelerating our efforts in improved infrastructure, organization and M&A. This quarter marks a continuation of the robust trajectory for the past three years and a strong ability to execute our strategy.

QUARTER APRIL – JUNE 2025

• Revenue grew 27% to SEK 603 million (476). The currency adjusted growth was 38%. 
• Gross margin was 67% (69). 
• Operating profit totaled SEK 44 million (53), corresponding to an operating margin of 7.4% (11.0). 
• Cash flow after continuous investments was SEK -100 million (42).
• Basic and diluted earnings per share were SEK 0.27 (0.34).

PERIOD JANUARY – JUNE 2025

• Revenue grew 31% to SEK 1,184 million (904). The currency adjusted growth was 36%. 
• Gross margin was 68% (68). 
• Operating profit totaled SEK 87 million (85), corresponding to an operating margin of 7.3% (9.4). 
• Cash flow after continuous investments was SEK -74 million (52).
• Basic earnings per share were SEK 0.50 (0.44) and SEK 0.49 (0.44) after dilution.

SIGNIFICANT EVENTS DURING THE QUARTER 

Dynavox Group has completed the acquisition of Cenomy, its reselling partner in France.
Dynavox Group and Tobii have extended their contract for an additional five years and agreed on a volume deal for eye-tracking components

SIGNIFICANT EVENTS AFTER THE QUARTER 

Dynavox Group has on July 11th entered into an agreement to acquire all the shares of its reselling partner RehaMedia in Germany.

COMMENTS FROM THE CEO:

Dynavox Group delivered another quarter of exceptional growth and continued strong momentum across all regions and product categories. In the period, we achieved a record-breaking revenue growth of 38% in local currencies while accelerating our efforts in improved infrastructure, organization and M&A. This quarter marks a continuation of the robust trajectory for the past three years and a strong ability to execute our strategy.

Sales continue to grow at equal pace across all our markets, up by 38% in local currencies whereof 37% organic. This reflects the increasing awareness and global demand for our assistive communication solutions combined with our ability to scale effectively across diverse markets. We continue to see growing adoption among younger users with autism. At the same time, there is solid growth across all device types and user conditions, rein-forcing the broad relevance and impact of our solutions. 

We are delivering according to plan on the investments in systems, infrastructure, and organization to support our long-term ambitions. During 2025, we expect to invest approximately 100 MSEK in total of non-recurring nature on two main projects:

• A new enhanced ERP system launched on schedule July 1 in our largest market, the US, lays the foundation for improved scalability and efficiency. The total non-recurring spend in the quarter was 17 MSEK and 31 MSEK year-to-date.
• The consolidation of our product and development organization to a central development hub in Stockholm proceeds well. The total non-recurring spend related to this in the quarter was 11 MSEK and 19 MSEK year-to-date.

In addition to these planned investments, the recent strong development of the Dynavox Group share price has rendered an increase in reserved costs for employee long-term incentive programs of 10 MSEK compared to the second quarter last year.

Both revenue and gross margin were negatively impacted by the strengthened SEK versus USD. While the impact on revenue will always relate to the current exchange rate, the impact on gross margin is typically more of a time-lag as we buy components at a certain exchange rate and sell the same some 3-6 months later at another rate. In this quarter, there was a significant negative impact of around 13 MSEK due to the rapid swings in exchange rates. 

The operating profit of 44 MSEK or 7.4% was negatively affected by the above mentioned non-recurring costs totaling some 51 MSEK in the quarter, lowering the profit margin temporarily by over 8 percentage points. This implies an underlying profitability above our long-term target.

We continue to strengthen our market presence through strategic acquisitions. During the quarter, we signed and closed the acquisition of our reselling partner Cenomy in France, and on July 11 we signed an agreement to acquire our partner RehaMedia in Germany. Both these acquisitions demonstrate how we quickly gain direct presence to key markets while adding great team members who we typically know quite well.

Since our products are exempt from tariffs under the Nairobi Protocol, we have not seen any direct impact from ongoing trade negotiations. However, we have experienced indirect effects through elevated freight costs in the aftermath of increased tariffs. We are actively managing these dynamics. At this point there are no indications of changes to reimbursement policies that affects our ability to sell or get paid – nevertheless we continue to stay close to the topic.

Looking ahead, I remain confident in our ability to sustain strong growth while building a more scalable, and resilient organization. Many individuals who could benefit from assistive communication are unaware of or unable to access available solutions. Our comprehensive product offering, combined with the dedication and expertise of our team, positions us well for future success.

Fredrik Ruben, CEO
 

Webcast:
Today at 9:00 a.m. CEST, Dynavox Group will host a webcast presentation for media, analysts and investors. If you want to attend the webcast click the following link. The report and a recording of the webcast will be available here after the webcast.

This information is inside information that Dynavox Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 07.30 CEST on July 18, 2025.