Huddly AS reported a second-quarter 2026 revenue decline of 11% year-over-year to NOK 50 million, reflecting a 13% organic increase after adjusting for one-time effects in the prior-year period. The drop follows a NOK 8 million tariff-related stocking benefit in Q2 2025 and a NOK 4 million negative foreign exchange impact due to USD depreciation against the Norwegian krone. Shares were little changed at $24.70, near the 52-week high.
Gross margin expanded by 600 basis points to 49%, reaching NOK 24.5 million in gross profit, while operating expenses rose 17% to NOK 60.8 million. The operating loss widened to NOK 34.7 million from NOK 26.1 million a year earlier. Net financial items swung to a loss of NOK 6.4 million from a positive NOK 5.9 million in the prior-year period, with a pre-tax loss of NOK 41.1 million compared with NOK 20.2 million.
Cash flow remained negative, with operating cash flow at NOK -50 million versus NOK -18 million in Q2 2025. The company’s cash balance fell to NOK 62.3 million by June 30, excluding a NOK 11 million office deposit, while inventory rose to NOK 160 million. Financing activities included a NOK 40 million loan from Innovation Norway, repayment of a NOK 30.8 million shareholder facility, NOK 11 million from a repair issue, and approximately NOK 70 million raised via a private placement.
Strategic partners contributed 27% of revenue in Q2 2026, down from 45% in Q1, despite a 7% year-over-year increase. Gross margin gains were described as "very strong" by CFO Abhijit Banik, who cited industry-wide component price pressures. Microsoft’s Albert Kooiman highlighted the shift toward AI-enabled meeting rooms, emphasizing devices that provide spatial awareness and participant tracking.
Full-year 2026 revenue guidance was revised to NOK 230–300 million, with gross margins expected between 45% and 50%. The company targets NOK 500–600 million in 2027 revenue and NOK 650–800 million in 2028, maintaining gross margin ranges of 45–50%. Frost & Sullivan projects the global video conferencing devices market at $5 billion in 2026, expanding to $8 billion by 2029 at a 16% CAGR, with multi-camera rooms rising from under 1% to about 8% of video-enabled rooms by 2029.
