Xplora Technologies reported a 9% year-over-year decline in second-quarter revenue to NOK 422 million, reflecting softer device sales despite a 27% surge in subscriptions to 502,000. The Oslo-based company’s shares fell 15.9% in premarket trading to $30.15, nearing its 52-week low of $29.
Gross margins expanded to 54% in Q2 2026 from 50% a year earlier, exceeding the long-term device gross margin target of approximately 40%. Service revenue rose 10% to NOK 90 million, while device revenue declined 13% to NOK 332 million. First-half 2026 revenue was flat at NOK 798 million, though underlying EBITDA increased 11% to NOK 89 million, excluding acquisition costs and restructuring provisions.
Subscription growth was led by the children and youth segment, where the annual recurring revenue base rose NOK 33 million to NOK 359 million. Mobile subscriptions reached 310,000, with non-Nordic markets up 41% year-over-year to 114,000. Premium activity platform subscriptions grew 54% to 138,000, while service attachment rates reached 38% on a rolling 12-month basis, up one percentage point from the prior year.
The senior segment reported a 20% year-over-year revenue decline to NOK 198 million, though gross margins improved to 50% from 46%. The company targets 200,000 senior subscriptions by 2029 as part of a broader goal to reach 1 million total subscriptions by that year. Geographic diversification continued, with markets outside the Nordics accounting for 25% of total service revenue, up five percentage points year-over-year.
Xplora completed the acquisition of emporia in Q2 2026, following the 2025 purchase of Doro. The company identified NOK 50 million in direct operational cost synergies, expected to be fully realized in 2027. The emporia acquisition is projected to reduce capital expenditures by approximately EUR 40 million through consolidated 5G smartphone development. Total assets stood at NOK 2.104 billion, with a cash position of NOK 537 million and inventory increasing to NOK 367 million from NOK 312 million in Q1 2026.
CEO Sten Kirkbak highlighted the milestone of surpassing 500,000 subscriptions, noting the company’s experience navigating market volatility. Xplora plans a broader retail point-of-sale system rollout in September 2026 and a commercial launch of premium services for seniors in late September or early October 2026.
