Interim Report Q2 2026: Successful reception of Evolve3 headsets and gross margin improvement boding well for strong H2 2026
Highlights
- The Enterprise division delivered organic revenue growth of -7%, while the organic revenue growth excl. FalCom ended at -3%. The development reflects continued strong growth in North America and APAC. The EMEA market, and GN’s EMEA business, remain under pressure but is showing signs of improvement compared to Q1 2026 supported by strong sell-out growth of Evolve3. The divisional profit margin ended at 31.0% reflecting gross margin improvements (57.2%), and channel investments to support growth in H2 2026 from further Evolve3 launches, including the three new products launching in September
- The Gaming division delivered organic revenue growth of 5% in a market that continues to be challenged by weak consumer sentiment. The growth is supported by market share gains in headsets, driven by Nova Pro Omni. The divisional profit margin of 15.0% (12.2% in Q2 2025) reflects a significant gross margin expansion (39.2%) benefiting from lower level of tariffs and ASP increases, while making targeted channel investments to support the growth opportunities in H2 2026, including launches across mice and keyboards
- Group adj. EBITA (continuing operations) ended at DKK 110 million, equal to an adj. EBITA margin of 5.1%, compared to 7.1% in Q2 2025 reflecting gross margin improvements, offset by front-loaded channel investments tied to the significant number of product launches that will support growth and margin expansion in H2 2026
- Free cash flow excl. M&A ended at DKK -616 million, driven by a temporary increase in working capital, due to insourcing activities in the supply chain, which is expected to normalize during the rest of the year as well as one-off costs related to the Hearing carve-out process as earlier communicated
- On August 19, the financial guidance was updated, reflecting an upgrade to the adj. EBITA margin from 8-9% to now 9-10% as well as a narrowing of the organic revenue growth from 0-6% to now 0-3%
- The Hearing division (discontinued operations) delivered revenue of DKK 1,772 million in the quarter on a demanding comparison base. Transaction still expected to close by end of 2026
Quotes from Executive Management
Peter Karlstromer, CEO of GN Store Nord, comments: “We continue to make strong progress in creating the future for GN. The Evolve3 headsets we recently launched in Enterprise and the Nova Pro Omni headsets we launched in Gaming support improvements in underlying revenue and margins. Thanks to the great work by our teams, we are launching more products than we have in years – strengthening our position and the markets we serve. In Hearing, the ReSound Sensia platform will strengthen the business as we progress the carve-out and advance toward closing the divestment to Amplifon. Taken together, the building blocks for a strong second half are in place, and we are executing with conviction”.
Financial overview Q2 2026
| Continuing operations | Discontinued operations | ||||||||||||
| Total | Enterprise division | Gaming division | Hearing division | ||||||||||
| DKK million | Q2 2026 | Q2 2025 | Growth | Q2 2026 | Q2 2025 | Growth | Q2 2026 | Q2 2025 | Growth | Q2 2026 | Q2 2025 | Growth | |
| Revenue | 2,171 | 2,302 | -6% | 1,558 | 1,713 | -9% | 613 | 589 | 4% | 1,772 | 1,858 | -5% | |
| Organic growth | -4% | -5%*** | -7% | -7% | 5% | 0%*** | -2% | 8% | |||||
| Gross profit* | 1,131 | 1,161 | -3% | 891 | 961 | -7% | 240 | 200 | 20% | ||||
| Gross profit margin* | 52.1% | 50.4% | 1.7%p | 57.2% | 56.1% | 1.1%p | 39.2% | 34.0% | 5.2%p | ||||
| Divisional profit* | 575 | 655 | -12% | 483 | 583 | -17% | 92 | 72 | 28% | ||||
| Divisional profit margin* | 26.5% | 28.5% | -2.0%p | 31.0% | 34.0% | -3.0%p | 15.0% | 12.2% | 2.8%p | ||||
| EBITA* | 110 | 164 | -33% | 321 | 382 | ||||||||
| EBITA margin* | 5.1% | 7.1% | -2.0%p | 18.1% | 20.6% | -2.5%p | |||||||
| Non-recurring items | -74 | 0 | -58 | 0 | |||||||||
| Free cash flow excl. M&A** | -616 | 353 | |||||||||||
*Excluding one-off costs in Q2 2026
** Including continuing and discontinued operations
*** Excluding wind-down of Elite and Talk. The reported organic revenue growth was -27% for the Gaming division and -13% for Continuing operations
Teleconference
GN Store Nord will host a teleconference at 11.00 a.m. CEST on August 20, 2026. Please visit www.gn.com/investor to access the teleconference. Presentation material will be available on the website prior to the start of the teleconference.
For further information, please contact:
Investor Relations
Rune Sandager +45 45 75 92 57
Media Relations
Helge Coroli Frandsen +45 22 94 98 24
Forward-looking statements
The forward-looking statements in this report reflect the management's current expectations of certain future events and financial results. Statements regarding the future are, naturally, subject to risks and uncertainties, which may result in considerable deviations from the outlook set forth. Furthermore, some of these expectations are based on assumptions regarding future events, which may prove incorrect. Changes to such expectations and assumptions will not be disclosed on an ongoing basis, unless required pursuant to general disclosure obligations to which GN is subject.
Factors that may cause actual results to deviate materially from expectations include – but are not limited to – general economic developments and developments in the financial markets as well as foreign exchange rates, technological developments, changes and amendments to legislation and regulations governing GN’s markets, changes in the demand for GN's products, competition, fluctuations in sub-contractor supplies, and developments in ongoing litigation (including but not limited to class action and patent infringement litigation in the United States).
For more information, please see the "Management's report" and "Risk management” sections in the Annual Report. This Report should not be considered an offer to sell securities in GN.
About GN
GN brings people closer through our leading intelligent hearing, audio, video, and gaming solutions. Inspired by people and driven by innovation, we deliver technologies that enhance the senses of hearing and sight. We help people with hearing loss overcome real-life challenges, improve communication and collaboration for businesses, and provide great experiences for audio and gaming enthusiasts. GN was founded more than 150 years ago with a vision to connect the world. Today, inspired by our strong heritage, GN touches more lives than ever with our unique expertise and the broadest portfolio of products and services in our history – bringing people closer to what is important to them.
We market our solutions with the brands Jabra, ReSound, SteelSeries, Beltone, Interton, BlueParrott, Danavox, and FalCom in 100 countries. Founded in 1869, GN Group employs more than 7,000 people and is listed on Nasdaq Copenhagen (GN.CO).
Visit our homepage GN.com and connect with us on LinkedIn, Facebook and X.
Attachment
