F-Secure Corporation: Financial Statements Release 2025 - Strategic partners and AI innovations accelerate F-Secure's growth prospects

F-Secure Corporation: Financial Statements Release 2025 - Strategic partners and AI innovations accelerate F-Secure’s growth prospects

F-Secure Corporation | Stock exchange release | 5 February 2026 at 8:00 am EET

This is a summary of F-Secure Corporation’s Financial Statements Release 2025. The full report is a PDF file attached to this stock exchange release. Full report is also available on the company website at www.investors.f-secure.com.

Highlights of October–December 2025

Currency neutral revenue decreased by -1.3%. Reported revenue decreased by -3.6% to EUR 35.7 million (EUR 37.0 million).
- Currency neutral revenue from Partner channel was flat (+0.2%). Reported revenue decreased by -2.6% to EUR 29.2 million (EUR 30.0 million).
- Currency neutral revenue from Direct channel decreased by -7.5%. Reported revenue decreased by -7.8% to EUR 6.5 million (EUR 7.0 million).
Adjusted EBITA was EUR 12.0 million (EUR 11.8 million), 33.6% of revenue (31.8%).
Earnings per share (EPS) amounted to EUR 0.03 (EUR 0.02).
Cash flow from operating activities before financial items and taxes was EUR 13.8 million (EUR 11.9 million).
On 14 October, according to the decision of the Annual General Meeting, the second dividend instalment of EUR 0.02 per share was paid to shareholders.

Highlights of January–December 2025

Currency neutral revenue growth was 0.6%. Reported revenue decreased by -0.4% to EUR 145.7 million (EUR 146.3 million).
- Currency neutral revenue from Partner channel increased by 1.8%. Reported revenue increased by 0.6% to EUR 119.0 million (EUR 118.2 million).
- Currency neutral revenue and reported revenue from Direct channel decreased by -4.5% to EUR 26.8 million (EUR 28.0 million).
Adjusted EBITA was EUR 50.3 million (EUR 52.2 million), 34.5% of revenue (35.7%).
Earnings per share (EPS) increased to EUR 0.13 (EUR 0.12).
Cash flow from operating activities before financial items and taxes was EUR 54.0 million (EUR 53.9 million).
Net debt declined to EUR 145.6 million (EUR 163.6 million), and the leverage ratio was 2.8x.
The Board of Directors proposes a dividend of EUR 0.04 per share (31.2% of the group January–December 2025 net profit), to be paid in two instalments.

Figures in brackets refer to the corresponding period in the previous year, unless otherwise stated. Percentages and figures presented herein may include rounding differences and therefore may not add up precisely to the totals presented. Figures in this financial statements release are unaudited.

Outlook for 2026

Growth: F-Secure expects mid to high single-digit currency neutral revenue growth for 2026.

Profitability: The group’s adjusted EBITA is expected to be EUR 44–50 million in 2026 (2025: EUR 50.3 million).

Background for the outlook:

F-Secure expects the core consumer cybersecurity market to grow mid-single digit CAGR mid- to long-term¹. F-Secure sees the potential to grow faster than the market, focusing on partner channel and its offering around Embedded security and Scam Protection. The growth may be moderated by uncertainties around consumer sentiment in certain markets and general economic volatility.
Partner business and especially Embedded Security solutions are expected to drive F-Secure growth during 2026. Growth is expected to accelerate throughout the year as the most significant new Tier 1 services gradually start to generate revenue and support profitability.
Direct business revenue development is expected to be negative due to continued strategy of refraining from paid customer acquisition. Focus is on improving retention rate and ARPU.
Gross margin is expected to be slightly lower than in 2025 (84.7%) due to growth of strategic partners with Embedded Security solutions, as these typically have a lower gross margin level than F-Secure Total business.
F-Secure continues to develop its service, operations and production capabilities further to meet Tier 1 partner requirements. These efforts are reflected in the higher cost base. As business scales up we expect to leverage continued service level investments across a wider partner base, leading to positive Adjusted EBITA % development along with business growth.
Capex level is expected to remain on a similar or slightly higher level as in 2025 related to both product development as well as technology infrastructure improvements.

¹ Industry analyst views such as Gartner and IDC, and F-Secure management estimates.

Financial targets

F-Secure's medium-term financial targets and dividend policy for the company reflect the company’s growth ambitions and strategic direction.

Growth: High single digit growth (CAGR) with additional significant upside from major Tier 1 deals
Profitability: Adjusted EBITA margin approaching 40% as revenue reaches EUR 200 million
Dividend Yield: Around or above 50% of net profit, which can be adjusted as long as leverage is higher than the targeted level
Leverage: Net debt / adjusted EBITDA ratio below 2.5x, excluding temporary impact from acquisitions

F-Secure Corporation follows the Rule of 40 metric as internal performance measurement and guiding principle, according to which the combined revenue growth rate and profitability margin should be equal to or greater than 40%.

Financial performance

EUR million	10-12/2025	10-12/2024	Change %	1-12/2025	1-12/2024	Change %
Revenue	35.7	37.0	-3.6%	145.7	146.3	-0.4%
Gross Margin	30.2	32.1	-6.0%	123.4	126.0	-2.1%
% of revenue	84.6%	86.7%		84.7%	86.2%
Operating expenses¹	-18.0	-20.1	-10.6%	-72.3	-73.3	-1.4%
Sales & Marketing	-8.3	-8.4	-1.3%	-32.2	-33.4	-3.5%
Research & Development	-5.5	-7.9	-31.0%	-24.7	-25.4	-2.8%
Administration	-4.2	-3.8	11.4%	-15.4	-14.5	5.8%
Adjusted EBITA¹	12.0	11.8	1.9%	50.3	52.2	-3.7%
% of revenue	33.6%	31.8%		34.5%	35.7%
Items affecting comparability (IAC)²	-	- 1.7		0.1	-1.4	-105.2%
EBIT	8.2	6.7	22.4%	35.5	38.4	-7.5%
% of revenue	23.0%	18.1%		24.4%	26.3%
Earnings per share (EUR)³	0.03	0.02	52.5%	0.13	0.12	6.2%
Earnings per share, adjusted for PPA amortization (EUR)³	0.04	0.03	37.2%	0.16	0.16	5.1%
Shareholder's equity per share, EUR				0.32	0.27
Operating cash flow	11.6	9.1	27.3%	43.6	38.8	12.2%
Cash conversion %	74.2%	99.4%		79.1%	80.5%
Deferred revenue				27.0	28.5	-5.2%
Net debt (+) / Net cash (-)				145.6	163.6	-11.0%
Net debt/Adjusted EBITDA				2.8	3.1
Gearing, %				260.0%	356.0%
Equity ratio %				21.5%	17.4%
Personnel at the end of the period				549	529	3.8%

¹Excluding Items Affecting Comparability (IAC) and depreciation and amortization.
² A reconciliation and breakdown of items affecting comparability is presented at the end of this report.
³ Based on the average number of shares for the reporting period.

Timo Laaksonen, President and CEO

2025 closed with a clear message: Scams are scaling faster than ever. According to the latest Global Anti-Scam Alliance report¹, consumers lost USD 432 billion globally in the 42 countries surveyed, and younger adults aged 18–34 now face twice the scam risk compared to older generations. AI-driven scams have grown rapidly, and it is no longer enough to protect consumers from malware to keep them safe. Instead, we need to also identify signs and events that can lead to consumers being tricked, and subsequently either warn or stop the user from falling for the scam. Increasingly, humans are the weakest entry point as social engineering has become the most effective method for compromising victims. Our security solutions proactively prevent shopping scams by highlighting or blocking 5% of visited shopping sites and offer highly accurate SMS protection capturing already over 9 out of 10 scam messages while detection algorithm accuracy continues to increase.

2025 was a tough year for most software businesses. Based on JP Morgan analysis, sector value grew by only 1%, while a handful of tech giants grew by nearly 30%. Consumer sentiment remained neutral at best with global and local uncertainties. We see this environment not as a headwind, but as a call for sharper execution and innovation – strengths that position us strongly for the future. Our business execution faced delays as our Tier 1 partner deals took longer to materialize than indicated by them. A modest fourth quarter stemmed from flat growth in the Partner channel. Embedded Security supported growth, but headwinds with some Security Suite partners and a strategic decline in the Direct business due to refraining from paid customer acquisition had a negative impact on revenue development. Despite falling short of our 2025 growth expectations, we are confident that our strategic partner agreements will start to generate revenue growth in 2026.

Although later than expected, we’re progressing on our strategic journey with several major milestones: We signed a strategic partnership with one of the world’s largest communication service providers, aiming to deliver world-class digital protection to a potential customer base of over 100 million users. Final-stage negotiations are ongoing with another Tier 1 CSP for an agreement for our embedded security solutions at significant scale with launch expected in Q2 2026. In December we also signed a significant expansion agreement with an existing strategic partner for Credit Monitoring, Financial Transaction Monitoring and Identity Fraud Insurance - a completely new domain for us. Deliveries for these strategic projects will commence in phases, strengthening our 2026 revenue. To support large-scale service deliveries, we're developing our backend systems for scalability and reliability. This development continues throughout the year, impacting our 2026 cost base.

Technology remains at the heart of our strategy. Our evolution into an AI-native organization is exemplified by Horizon and Halo initiatives. Horizon is our new partner business platform, now in beta with the first partners onboard and a public launch in February. Halo, a completely new scam protection focused product, is expected to enter beta in early Q2/26. We do not expect these products to have a significant impact on 2026 revenue, but we are building a strong foundation for scalable development in the coming years. Nearly 80% of our software development work is either fully AI-generated or AI-assisted, cutting cycle times by more than half in 2025 alone.

Our innovation leadership received global recognition during the quarter. We were honored with the AI Growth Initiative of the Year award at the AI Gala 2025²for our groundbreaking Scam Image Scanner, an AI-driven capability that delivers a major leap forward in protecting consumers from image-based scams across social media, messaging apps, marketplaces, and online platforms. In addition, F-Secure Internet Security earned AV-Comparatives’ Fake-Shops Detection Certification³ for the second consecutive year, reaffirming our commitment to protect consumers from e-commerce fraud. We were also proud to accept the KPN Cybersecurity Award 2025, a testament to our outstanding partnership and services.

Finally, I want to extend my heartfelt thanks to all our F-Secure Fellows for your dedication and hard work throughout the year. Your passion and resilience have been the driving force behind our progress. Together with our trusted partners, we look forward to building on this momentum and embracing new opportunities in 2026.

¹ F-Secure Scam Intelligence & Impact Report 2025: https://www.f-secure.com/en/partners/insights/scam-intelligence-and-impacts-report-2025?utm_source=linkedin&utm_medium=social&utm_campaign=Scam+Report+2025&utm_content=wave2
² https://www.f-secure.com/en/partners/newsroom/f-secure-wins-ai-growth-initiative-of-the-year-at-ai-gala-2025-for-scam-image-scanner
³ https://www.f-secure.com/en/partners/newsroom/f-secure-earns-av-comparatives-fake-shops-detection-certification-for-second-straight-year

Significant events during the review period

Santeri Kangas was appointed as a new CTO and a member of the Leadership Team as of 1 October 2025.

On 20 November, F-Secure announced that the company is negotiating a significant strategic partnership agreement with a leading Communications Service Provider. Negotiations are ongoing and the company will publish a release with additional details once the agreement has been signed. The launch is expected to take place in the second quarter of 2026.

On 18 December 2025 it was announced that the current CFO Sari Somerkallio has decided to leave the company. She will continue working at F-Secure until 30 April 2026. Robin Pulkkinen was appointed as a new company CFO and Leadership Team member and he will assume the role by June 2026 at the latest.

Significant events after the review period

After the review period, on 13 January 2026, company announced the appointment of a new Chief Strategy Officer (CSO). F-Secure's SVP, Corporate Development and a member of the Leadership Team, Antero Norkio, decided to leave the Company on 30 January 2026. Jyrki Tulokas was appointed CSO and a member of the Leadership Team of F-Secure Corporation, effective 2 February 2026.

On 4 February 2026, F-Secure Board’s Personnel and Nomination Committee gave proposals to the Annual General Meeting scheduled for 25 March 2026 for the composition and remuneration of the Board of Directors. The Board’s Personnel and Nomination Committee proposes to that the Board of Directors consists of a total of seven (7) members and that the following persons be elected as members of the Board of Directors for a term expiring at the end of the Annual General Meeting 2027: Alessandro Adriani, Roxana Diaconescu, Pertti Ervi, Cornelia Schaurecker, Petra Teräsaho, Tommi Uitto are proposed to be re-elected as members. As F-Secure personnel member to-be-elected, the Personnel and Nomination Committee proposes Wilhelm Lamptey.

The Personnel and Nomination Committee proposes to the Annual General Meeting that the following annual remuneration be paid to the members of Board of Directors to be elected at the Annual General Meeting: EUR 80,000 annually for the Chair of the Board of Directors; EUR 38,000 annually for the external members of the Board of Directors; EUR 12,667 for members employed by F-Secure; EUR 10,000 additional remuneration for the Audit Committee Chair; EUR 4,000 additional remuneration for the Personnel and Nomination Committee Chair; EUR 2,000 additional remuneration for the members of Audit Committee as well as Personnel and Nomination Committee. The proposed annual fee and the fees for Committee work correspond to the current remuneration. In addition, The Personnel and Nomination Committee proposes that approximately 40 percent of the remuneration be paid as shares in the company repurchased from the market or as treasury shares held by the company.

Board of Directors' proposal for the distribution of profit

According to the company’s dividend policy, F-Secure aims to pay around or above 50% of net profit as dividend on an annual basis, which can be adjusted as long as leverage is higher than the targeted level (2.5x). On 31 December 2025 distributable funds of F-Secure Corporation were EUR 15.2 million. As the leverage (2.8x) is above the target level, the Board of Directors proposes to the Annual General Meeting 2026 that a dividend of EUR 0.04 per share to be paid. Earnings per share (EPS) for the period January–December 2025 was EUR 0.13, and the proposed dividend is 31.2% of the group January– December 2025 earnings. The dividend is proposed to be paid in two instalments.

No material changes have occurred in the company's financial position since the end of the financial year.

F-Secure Annual General Meeting 2026

F-Secure Corporation's Annual General Meeting is planned to be held on Wednesday 25 March 2026. The Board of Directors will summon the meeting separately with the stock exchange release later.

Additional information

Webcast

Everyone interested in F-Secure is welcome to follow the live webcast on the result publication day at 13:00 Helsinki time (EET). In the webcast, F-Secure’s President and CEO Timo Laaksonen and CFO Sari Somerkallio will present the results and after the presentation there will be time for questions. The event can be followed at https://fsecure.events.inderes.com/q4-2025.

Analysts following F-Secure are invited to the news conference at the company headquarters, Tammasaarenkatu 7, Helsinki, Finland.

A recording of the event will be available after the event on the company's website.

Financial reporting in 2026

F-Secure Corporation's planned release schedule for financial reports in 2026 is as follows:

Annual Report 2025 during the week beginning 23 February 2026
Interim Report for January–March 2026 on Wednesday 29 April 2026
Half-year Financial Report for January–June 2026 on Friday 17 July 2026
Interim Report for January–September 2026 on Wednesday 28 October 2026

The reports will be available on the company’s website https://investors.f-secure.com/en/ immediately after publication. All reports are available in Finnish and English.

For further information, please contact:

Sari Somerkallio, Chief Financial Officer
tel. +358 40 3569251
investor.relations@f-secure.com

F-Secure in brief

F-Secure is Finland headquartered and globally operating consumer cyber security company. F-Secure offers award-winning security and privacy products and services that make every digital moment more secure, for everyone. F-Secure operates in over 100 countries, has ~200 Service Provider partners and is the global leader providing security through Communication Service Providers. F-Secure Corporation is listed on Nasdaq Helsinki Ltd.