This article first appeared on GuruFocus .
-
Revenue:SEK 193 million for Q4 2025.
-
Cost Reductions:Achieved SEK 43 million in Q4, totaling SEK 72 million since Q2 2025.
-
Underlying EBIT:SEK 1 million, excluding non-cash adjustments.
-
Reported EBIT:Negative SEK 196 million, including non-cash impairments and adjustments.
-
Non-Cash Adjustments:Negative SEK 195 million, including goodwill and project write-offs.
-
Free Cash Flow:Positive SEK 57 million for the period.
-
Products and Solutions Segment:Represented 57% of net sales with an EBIT of SEK 1 million.
-
Integrations Segment:Represented 24% of net sales with an EBIT of SEK 24 million; underlying EBIT of SEK 8 million excluding adjustments.
-
AutoSense Segment:Represented 19% of net sales with a negative EBIT of SEK 172 million; underlying EBIT of SEK 9 million excluding adjustments.
-
Cash and Cash Equivalents:SEK 2,117 million as of December 31, 2025.
-
Credit Facility Utilization:EUR 47 million utilized from a EUR 50 million facility.
-
COVID Loan Repayment:SEK 91 million repaid in 2025, with an additional SEK 40 million to be repaid in Q1 2026.
Release Date: February 04, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
-
Tobii AB ( TBIIF ) achieved significant cost reductions, with 43 million SEK in Q4 and a total of 72 million SEK since Q2 2025, moving towards a 100 million SEK target.
-
The company reported a positive free cash flow of 57 million SEK during the quarter.
-
A driver monitoring system (DMS) technology asset licensing deal was secured in Q4, contributing to one-time revenues.
-
The AutoSense business unit saw a significant increase in net sales, representing 19% of Tobii's overall net sales, due to the DMS technology licensing agreement.
-
Tobii AB ( TBIIF ) continues to evaluate and engage in strategic initiatives to strengthen its cash position, including potential divestments and partnerships.
Negative Points
-
Q4 2025 was weak in terms of both revenue and results, with total revenue amounting to 193 million SEK.
-
The company faced headwinds from global geoeconomic conditions and currency-related challenges, particularly the strengthening of the SEK.
-
Substantial non-cash fair value adjustments and write-offs amounted to a net value of negative 195 million SEK, impacting the financial results.
-
The international automotive market developed weaker than expected, affecting Tobii's business plans and financial performance.
-
There remains a risk that Tobii AB ( TBIIF ) may not have sufficient financing for the coming 12 months, and addressing this is a top priority.
Q & A Highlights
Q: How large was the free cash flow from the DMS deal in Q4, and what is expected in H1 2026? A: Asa Wiren, Interim CFO, stated that they do not comment on specific customers or projects. However, a significant part of the payment is expected in the first half of 2026.
Q: Was the underlying business in Q4 free cash flow positive? A: Asa Wiren confirmed that the underlying business was free cash flow positive in Q4.
Q: Do you expect a positive or negative free cash flow in 2026? A: Asa Wiren mentioned that they do not provide forecasts or outlooks in that manner, focusing instead on long-term assessments.
Q: Is the automotive market more challenging due to competition or project delays? A: CEO Fadi Pharaon explained that the market delays are due to various factors, including competitive forces and supply chain issues. However, EU regulations in 2026 are expected to accelerate plans.
Q: Can you share any design wins or expected product launches in the smart glasses market? A: Fadi Pharaon stated that they do not share forward-looking statements but acknowledged the smart glasses market as developing, with Tobii keen to cement its role.
Q: What will the major automotive supplier receive through the DMS licensing agreement? A: Fadi Pharaon described it as a technology license, a new way for Tobii to monetize R&D work, but did not disclose specific terms or values.
Q: Why haven't new business deals materialized as anticipated for AutoSense? A: Fadi Pharaon attributed this to the weakened international automotive market and emphasized the importance of their single camera DMS project with a European OEM.
Q: Have you received cash for the DMS deal, and what are the working capital dynamics? A: Asa Wiren confirmed that part of the payment was received in Q4 2025, with the main part expected in the first half of 2026.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
