CEO's comments
Full-year and Q4 summary
For full-year 2025, revenue was SEK 78.2 M (60.2) with a gross margin of 60.7% (60.9) and EBITDA of SEK -19.1 M (-181.8). The year reflects materially improved operating performance, driven by strong transformation execution, tighter focus, and disciplined asset monetization alongside product sales.
We simplified the business and concentrated resources on key high-impact priorities. In parallel, we executed multiple asset monetization transactions, including licensing agreements with Smart Eye (iris), Egis Technology (PC-related assets), and PixArt (Q4), demonstrating continued value creation from our core capabilities.
In Q4, our strategic move up the value chain accelerated. AllKey - our integrated biometric system-in-package (SiP) - gained further traction, supported by strong customer feedback on ease of integration, performance, and total cost. Adoption metrics continued to improve as you’ll see below, reinforcing our confidence in AllKey as a scalable growth platform with a robust opportunity pipeline.
Q4 revenue was SEK 23.8 M (24.6), though when viewed in constant currency shows a growth of 9%. Gross profit was SEK 15.6 M (16.1), corresponding to a gross margin of 65.8% (65.5). EBITDA improved to SEK 0.4 M (-27.6), reflecting both margin strength and improved cost control. Operating profit remained negative at SEK -9.6 M (-38.0), primarily due to depreciation of previously capitalized development costs.
Operating cash flow in Q4 was positive at SEK 0.9 M, and we ended the period with SEK 27.1 M in cash (12.1). As we continue to simplify the company and prioritize execution, our focus remains on building a profitable business that funds the transition from sensors to systems through operations and disciplined asset monetization.
Deliberate portfolio choices to accelerate progress
Our execution is centred on three priorities: monetizing our assets and capabilities, driving growth by moving up the product value chain, and improving productivity through AI augmentation.
AllKey is central to this strategy. By delivering complete biometric systems rather than individual components, AllKey reduces customer integration effort and system complexity while enabling FPC to capture higher ASPs and greater wallet share. As the platform scales, it reinforces our shift toward higher-value, higher-margin solutions:
- Existing Customer Migration: We already have over 50% of our customers on an upgrade path from sensors to AllKey systems. This shift secures our volume business while moving our value business toward more complex, higher-value system integrations that increase "stickiness" and long-term contract value.
- New Customer Validation: Beyond our existing base, the launch of AllKey and AllKey Ultra has catalyzed significant new customer momentum. This validates our system value proposition in high-assurance segments. New customers now represent approximately 50% of total pipeline, indicating a future expansion of our customer base.
- Transformed Unit Economics: AllKey systems deliver a 3x ASP uplift compared to standalone sensors. We are capturing a larger wallet share at a sustained 50-60% gross margin target as these products move into mass production in the second half of 2026 and scale throughout 2027 and 2028.
In Q4, we extended the platform with AllKey Ultra, addressing higher-security use cases through the inclusion of a secure element—an area of growing demand where our capabilities are even more unique. We also launched AllKey Ultra FIDO with jNet Secure, a turnkey platform designed to accelerate time-to-market for biometric FIDO tokens.
In parallel, we continued to build momentum in India, including VISA certification for M-Tech Innovations’ biometric payment card powered by FPC technology, and a design win where AllKey Pro was selected for Mettlesemi’s next-generation FIDO2-certified authenticators—important validations in high-assurance access applications.
Alongside product execution, we continued to demonstrate value creation through asset monetization, including IP licensing and commercialization of engineering capabilities. The PixArt transaction exemplifies our disciplined approach to unlocking additional sources of value.
Our iris business also made meaningful progress, particularly through the partnership with Smart Eye. By enabling multimodal authentication at distance and across a wider range of real-world conditions, the solution materially improves usability and opens new enterprise use cases where secure, intuitive authentication is increasingly critical.
Path forward
Looking ahead, we will build on this progress with a continued focus on execution. This includes further concentrating the organization around AllKey, simplifying customer adoption, expanding the platform offering, and converting momentum into sustainable, profitable growth. We will remain proactive in asset monetization and IP licensing, while maintaining strict cost and cash discipline to fund our transition from sensors to systems. We also see selective, complementary non-organic growth as a potential lever in 2026, where it can strengthen our core offering and accelerate time-to-market.