GN Store Nord reported second-quarter 2026 adjusted earnings before interest, taxes and amortization of DKK 110 million, up from DKK 95 million in the same period a year earlier, even as organic revenue fell 4%.
The hearing aid and gaming technology group said its Enterprise division, which includes hearing solutions, saw organic revenue decline 7% overall, or 3% excluding its FalCom unit. Gross margin in the division improved to 57.2% from 56.1% a year prior, while divisional profit margin narrowed to 31% from 34% due to channel investments.
The Gaming division, operated under the SteelSeries brand, reported revenue of DKK 630 million, an organic increase of 5%. Gross margin in the division rose to 39.2% from 34%, and divisional profit margin expanded to 15% from 12.2%.
Adjusted EBITA margin for the quarter was 5%, while free cash flow excluding mergers and acquisitions was negative DKK 616 million, reflecting a temporary working-capital build tied to supply-chain adjustments.
Net interest-bearing debt stood at DKK 9.6 billion as of the end of the quarter. One-off costs totaled DKK 74 million, primarily related to the planned carve-out of the hearing business ahead of its sale to Amplifon, expected to close by year-end.
The company also announced the launch of its ReSound Sensia hearing aid on August 20, positioning it as the world's smallest AI-powered device with automatic environmental adjustment. The Evolve3 product line, including models 85 and 75, was launched in March, with additional variants scheduled for September 1.
GN narrowed its full-year 2026 revenue guidance toward the lower half of its original range and upgraded its adjusted EBITA margin target to 9% to 10%. The company expects tariff refunds of DKK 100 million to DKK 150 million in the second half of the year, split between the third and fourth quarters.
A cost-reduction program aims to trim running costs of continuing operations by around DKK 200 million compared with 2026 levels, with benefits expected to materialize in 2027.
Shares of GN Store Nord fell 4.85% to $96.19 following the results, bringing its market capitalization to $2.16 billion and its 12-month trailing price-to-earnings ratio to 53.
