Q3 2025 Interim Report

Appear

A black background with a black square

AI-generated content may be incorrect.

Our solutions reduce carbon footprint through optimised power consumption, rack space, low shipping costs and minimal waste.

From hardware to software and services, we simplify complex production environments.

We actively support industry-wide collaboration through open standards.

The third quarter of 2025 was another strong period for Appear, showing continued momentum across all regions and further proof of our ability to scale with quality.

Revenues for Q3 reached NOK 183.1 million, up 30% from Q3 last year. This brings us to NOK 616.3 million for the first nine months, a 36.1% increase year-on-year and already ahead of our full-year 2024 result. It’s a clear reflection of the trust our customers place in Appear and the dedication of our teams around the world.

This quarter’s growth was underpinned by continued traction with Tier 1 customers and progress on long-term strategic projects. Alongside key commercial wins, such as a multi-year North American contract supporting remote production for a global 2026 sports event and our first significant order from a leading U.S. sports league customer, we have focused on strengthening our operational foundations. 

We are strengthening our regional Centers of Excellence and expanding our teams with top talent to support scalability and enhance customer proximity. In Europe, our local presence has grown to meet rising demand from major broadcasters and sports leagues such as La Liga. Meanwhile, in the U.S. and the UK, customers have begun ordering our new X5 product as part of our reinforced regional operations.

/ CEO, Appear ASA
Telephone: +47 920 32 078
E-mail: Thomas.jorgensen@appear.net

/ CFO, Appear ASA
Telephone: +47 979 54 008
E-mail: per.oyvind.stene@appear.net

We’re preparing to launch the VX Platform, our first software-based solution bridging broadcast and cloud workflows, a step forward for Appear and our customers. To support this, we’ve established a new Swedish subsidiary and welcomed senior developers in Stockholm who bring valuable experience in live production software. They will play an important role in further developing the VX solution alongside our existing teams.

In November, Appear reached a new milestone with the first day of trading on Euronext Oslo Stock Exchange (OSE:APR). Following the successful completion of our initial public offering, Appear welcomed more than 5,000 new shareholders following the IPO. The listing marks the beginning of an exciting new chapter, one that gives us the platform to accelerate growth, expand into new markets, and continue redefining what’s possible in live production technology.

As we enter the final quarter, we do so with focus and confidence. Appear continues to build the technology that powers the world’s biggest live productions, with trust and ambition at the core of everything we do.

A person in a suit

AI-generated content may be incorrect.

Revenue in the third quarter of 2025 amounted to NOK 183.1 (140.8) million, exceeding Q3 2024 revenue by NOK 42.2 million representing an increase of 30.0%. The quarter was defined by high activity across all major regions, with several important Tier 1 deliveries, particularly in Europe and North America.

Free cashflow was an inflow of NOK 110.9 (inflow of 24.3) million.

Revenue, MNOK

Gross earnings for the third quarter amounted to NOK 135.2 (104.1) million, achieving a gross margin of 73.8% (73.9%), the margin decreased slightly with an adverse impact from U.S. tariffs almost completely compensated by a positive product mix effect and higher share of service revenues. The cost of raw materials and consumables used was NOK 47.9 (36.7) million.


Overall, operating expenses, excluding raw materials and consumables, for the third quarter amounted to NOK 90.0 (75.0) million, an increase of 19.9% year-on-year. 

Employee benefit expenses of NOK 51.5 (49.6) million, increased by 3.8%. The increase in costs reflects higher number of employees (including sales consultants), 208 FTEs compared to 177 in the same period last year, and sales growth resulting in uplifts related to sales commissions and performance-based bonuses. 

One key change from 2024 affected the variance, with opposite effects. Employee benefit expenses of NOK 17.4 million (nil) related to commercial technological development projects have been capitalised and classified as internally developed intangible assets, reducing operating expenses. 

Depreciation and amortisation in the third quarter amounted to NOK 4.8 (3.6) million. Amortisation began on capitalised technological development expenditure in the quarter with a charge of NOK 0.6 (nil) million; amortisation is dependent on the completion status of the development projects combined with the timing of commercial product launches of fully developed products. 

Other operating expenses increased to NOK 33.8 (21.9) million, costs incurred were in line with our long-term strategy of building a scalable, efficient, and customer-focused organization. This included costs incurred for the IPO, ERP implementation, and increased market presence including office expansions.

EBIT for the third quarter amounted to NOK 45.2 (29.1) million. EBITDA amounted to NOK 49.9 (32.7) million, corresponding to an EBITDA margin of 27.3% (23.2%), and EBITDAC (EBITDA less the impact of capitalised development expenditure) amounted to NOK 32.6 (32.7) million, and an EBITDAC margin of 17.8% (23.2%).

Net financial income and expenses for the quarter amounted to an expense of NOK 3.4 (income of 3.0) million, attributable to foreign exchange losses. 

Tax on the ordinary result was NOK 12.9 (6.9) million directly attributable to the positive profit before tax, with an effective rate of tax of 31% (22%), impacted by non-deductible IPO related expenditure for tax purposes.

This resulted in net profit for the quarter of NOK 28.9 (25.2) million.

At the end of quarter, Appear maintained a solid financial position with a 60.8% (57.3%) equity ratio and NOK 318.3 (231.8) million in available liquidity comprising net cash and cash equivalents of NOK 158.7 (99.5) million and financial assets held in money market funds of NOK 159.6 (132.3) million. Appear has no interest-bearing debt. 

Total assets at 30 September 2025 increased by 40.6% to NOK 631.8 (449.4) million and was up 37.8% (54.7%) from 31 December 2024 (31 December 2023), the increase explained mainly by the strong performance, but also increased investments.

The investments in the third quarter was NOK 21.2 (41.2) million, of which NOK 17.4 million related to capitalisation of technological development expenditure and NOK 3.8 million to property, plant and equipment. 

In the third quarter no amounts were paid into money market funds. 

Furthermore, the Group executed a new lease agreement for our Singapore office for an initial term of 2 years with an option to extend for a further 2 years. This resulted in an increase in the right-of-use asset and a corresponding increase in our lease liabilities.

Cash flow from operating activities amounted to an inflow of NOK 134.7 (inflow 27.4) million. The increased cash flow from operating activities is primarily attributable to customer receipts from strong sales in the previous quarter.

Cash flow from investment activities amounted to an outflow of NOK 21.0 (outflow 41.1) million and is primarily attributable to capitalised technological development expenditures of NOK 17.4 (nil) million. 

Cash flow from financing activities amounted to an outflow of NOK 2.6 (outflow 1.7) million related to repayment of lease liabilities and lease finance expenses. 

Total cash inflow amounted to NOK 111.2 (outflow 15.5) million.

Revenue in the first nine-month period of 2025 amounted to NOK 616.4 (453.3) million, exceeding the same period last year by NOK 163.1 million representing an increase of 36.0%.

Revenue rolling 4 quarters, MNOK

Revenue for the last four-quarters ended 30 September 2025 amounted to NOK 769.2 (594) million.

Gross earnings for the first nine-month period of 2025 amounted to NOK 444.5 (325.8) million, achieving a gross margin of 72.1% (72.0%). The margin increased slightly despite the impact of U.S. tariffs which increased our costs of goods sold from the second quarter onwards. The cost of raw materials and consumables used was NOK 171.8 (126.9) million.

Overall, operating expenses, excluding raw materials and consumables, for the period amounted to NOK 287.6 (256.5) million, an increase of 12.9% year-on-year. Employee benefit expenses decreased by 2.8% to NOK 174.0 (179.0) million and the decrease in employee benefit expenses in the income statement was due to capitalisation of NOK 42.3 million (nil) of employee benefit expenses relating to internally developed intangible assets. Total employee benefit expenses including capitalised expenses increased due to a higher number of employees, 199 FTEs in first nine-month period 2025 compared to 169 in the previous period.  

The increased activity level brought natural cost increases tied to sales commissions and performance-driven bonuses. 

Depreciation and amortisation amounted to NOK 12.5 (10.3) million for the three quarters to date. Amortisation began on capitalised technological development expenditure in the quarter with a charge of NOK 0.6 (nil) million; amortisation is dependent on the completion status of the development projects combined with the timing of commercial product launches of fully developed products. 

Revenue increased to NOK 183.1 (140.8) million, an increase of 30.0% year-on-year. 

Other operating expenses of NOK 101.2 (67.2) million, increased by 50.6%, costs incurred were in line with our long-term strategy of building a scalable, efficient, and customer-focused organization. This included costs incurred for the IPO, ERP implementation, office expansions and increased market presence.

EBIT for first nine-month period of 2025 amounted to NOK 157.0 (69.9) million. EBITDA amounted to NOK 169.4 (80.2) million, corresponding to an EBITDA margin of 27.5% (17.7%), and EBITDAC (EBITDA adjusted for the impact of capitalised development expenditure) amounted to NOK 122.4 (80.2) million, and an EBITDAC margin of 19.9% (17.7%). 

Revenue increased to NOK 616.3 (452.8) million, an increase of 36.1% year-on-year. 

Net financial income and expenses was an expense of NOK 8.5 million (income 7.1) million attributable to foreign exchange losses.

Tax on the ordinary result was NOK 34.9 (17.8) million directly attributable to the positive profit before tax, with an effective rate of tax of 24% (23%). The effective tax rate was higher in the nine-month period ended 30 September, impacted by non-deductible IPO related expenditure for tax purposes.

This resulted in net profit of NOK 113.5 (59.1) million.

The investments in the first nine-month period were NOK 78.3 (44.5) million, of which NOK 47.1 (nil) million related to intangible assets arising from capitalisation of internal technological development expenditure. 

In addition, NOK 20.0 (40.0) million was deposited into money market funds. 

Furthermore, we executed a renewal of the lease agreement for our U.S. office securing larger office space for an initial term of 4 years with an option to extend for a further 5 years. This resulted in an increase in the right-of-use asset and corresponding increase in our lease liabilities.

Cash flow from operating activities in the first nine-month period amounted to an inflow of NOK 143.6 (inflow 76.5) million. Collection of trade receivables with the majority of Q2 invoices collected in Q3 2025 lifted cash flow from operating activities and reduced non-cash working capital.

Cash flow from investment activities in the first nine-month period amounted to an outflow of NOK 77.6 (outflow 44.0) million and is primarily attributable to capitalized technological development expenditures of NOK 47.1 (nil) million and the purchase of money market funds of NOK 20.0 (40.0) million. 

Cash flow from financing activities in the first nine-month period amounted to an outflow of NOK 3.4 (outflow 6.2) million. The group received consideration of NOK 2.5 (0.0) million from the sale (purchase) of treasury shares.

Total cash inflow for the first nine-months amounted to NOK 62.5 (inflow of 26.3) million.

EBITDAC increased to NOK 122.4 (80.2) million, corresponding to an EBITDAC margin of 19.9% (17.7%), impacted by IPO costs of NOK 7.3 (2,4) million.  

EBIT amounted to NOK 157.0 (69.9) million, corresponding to an EBIT margin of 25.5% (15.4%). 

Net profit amounted to NOK 113.5 (59.1) million, corresponding to a net margin of 18.4% (13.1%).

Free cashflow was an inflow of NOK 79.3 (inflow of 65.7) million.

Financial information in the table below, for the three- and nine-month periods ended 30 September 2025 and the comparative 30 September 2024, are extracted from periods that are unaudited.

EBITDAC remained constant at NOK 32.6 (32.7) million, corresponding to an EBITDAC margin of 17.8% (23.2%), impacted by IPO costs of NOK 2.9 (2.4) million. 

Ongoing dependency on high-end semiconductors, particularly from Taiwan, poses a risk of delayed production or unfulfilled orders if geopolitical or natural disruptions occur. This is currently Appear’s highest-rated operational risk.

The ability to retain or replace key members of the executive management team, key founders, engineers, and commercial staff, especially in strategic markets like the U.S., is critical to maintaining momentum and delivering long-term growth.

Trade tensions or new import restrictions in the U.S. could reduce competitiveness or profitability in Appear’s largest revenue market.

Heavy reliance on key suppliers introduces risk if suppliers encounter operational or financial distress.

With most of Appear’s revenue earned in USD or other non-NOK currencies, significant FX movements could affect reported financial performance.

As deployments scale, so do expectations and exposure. Any significant defects or delays in product performance could lead to reputational damage or legal claims, especially in high-stakes live production environments.

EBIT amounted to NOK 45.2 (29.1) million, corresponding to an EBIT margin of 24.7% (20.7%). 

Appear is a global leader in high-capacity, sustainable solutions for live media processing and content delivery. We empower the world’s most demanding broadcasters, sports leagues, and content creators, including NBCUniversal, Warner Bros. Discovery, Formula 1, Riot Games, and the NHL, to deliver seamless, high-quality live experiences to global audiences.

We operate in the live production technology space, an essential part of the global media and entertainment industry. This sector enables the real-time capture, processing, and distribution of video, audio, and data for live events such as sports, concerts, news, and large-scale broadcasts.

A large control room with many screens

AI-generated content may be incorrect.

A close-up of a computer server

AI-generated content may be incorrect.

Appear provides a solution portfolio of hardware, software, and services designed for mission-critical live production:

 – Modular, ultra-dense hardware for video compression, interfacing, and transport.

 – Cloud-native processing engine enabling hybrid and scalable workflows (launch expected in H2 2025).

 – End-to-end systems and services for broadcast, remote, and distributed production.

 – Flexible, modular solution for IPTV and broadcast distribution.

Our solutions are trusted for performance, reliability, and operational efficiency, especially where space, power, and scale matters.

Net profit amounted to NOK 28.9 (25.2) million, corresponding to a net margin of 15.8% (17.9%).

Customers can tailor solutions to specific needs and scale over time.

We offer unmatched density and power efficiency.

Trusted for critical live workflows with low-latency and zero-failure tolerance.

Revenue increased to NOK 183.1 (140.8) million, an increase of 30.0% year-on-year. EBITDAC remained constant at NOK 32.6 (32.7) million, corresponding to an EBITDAC margin of 17.8% (23.2%), impacted by IPO costs of NOK 2.9 (2.4) million. EBIT amounted to NOK 45.2 (29.1) million, corresponding to an EBIT margin of 24.7% (20.7%). Net profit amounted to NOK 28.9 (25.2) million, corresponding to a net margin of 15.8% (17.9%). Earnings per share was NOK 0.78 (0.67). Free cashflow was an inflow of NOK 110.9 (inflow of 24.3) million.	Revenue 183.1 MNOK
	EBITDAC 32.6 MNOK
	EPS 0.78 NOK

Revenue increased to NOK 616.3 (452.8) million, an increase of 36.1% year-on-year. EBITDAC increased to NOK 122.4 (80.2) million, corresponding to an EBITDAC margin of 19.9% (17.7%), impacted by IPO costs of NOK 7.3 (2,4) million. EBIT amounted to NOK 157.0 (69.9) million, corresponding to an EBIT margin of 25.5% (15.4%). Net profit amounted to NOK 113.5 (59.1) million, corresponding to a net margin of 18.4% (13.1%). Earnings per share was NOK 3.04 (1.58). Free cashflow was an inflow of NOK 79.3 (inflow of 65.7) million.	Revenue 616.3 MNOK
	EBITDAC 122.4 MNOK
	EPS 3.04 NOK

NOK thousands	2025	2024	Change	2025	2024	Change	2025	2024
	Three months ended 30 September			Nine months ended 30 September			Last 12 months ended 30 September	Year ended 31 December
Revenue from contracts with customers	183,064	140,815	30.0%	616,327	452,757	36.1%	769,178	605,608
Revenue growth as a %	30.0%	45.8%		36.1%	63.9%		27.0%	48.6%
Gross earnings	135,158	104,124	29.8%	444,534	325,838	36.4%	556,520	437,824
Gross margin	73.8%	73.9%		72.1%	72.0%		72.3%	72.3%
EBITDAC	32,554	32,655	-0.3%	122,385	80,185	52.6%	129,493	87,293
EBITDAC margin	17.8%	23.2%		19.9%	17.7%		16.8%	14.4%
EBIT	45,151	29,104	55.1%	156,962	69,884	124.6%	160,225	73,147
EBIT margin	24.7%	20.7%		25.5%	15.4%		20.8%	12.1%
Profit/(loss) for the period	28,926	25,181	14.9%	113,496	59,133	91.9%	123,876	69,513
Net margin	15.8%	17.9%		18.4%	13.1%		16.1%	11.5%
Basic earnings per share, NOK	0.78	0.67		3.04	1.58		3.32	1.86
Free cash flow	110,946	24,307		79,319	65,722		73,026	59,430

Q3 2025 Interim Report

Financial highlights

July - September highlights

January - September highlights

Financial Overview