Goodbye Kansas Group AB (GBK) AI Stock Analysis

• Market Cap: kr35.76M
• Dividend Yield: N/A
• Average Volume (3M): 38.93K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.42
• Revenue Growth: 33.98%
• EPS Growth: -104.57%
• Country: SE
• Employees: 119
• Sector: Services
• Sector Strength: N/A
• Industry: Entertainment
• EPS (TTM): -0.25
• Shares Outstanding: 21,346,579
• 10 Day Avg. Volume: 28,949
• 30 Day Avg. Volume: 38,931
• PEG Ratio: <0.01
• Price to Book (P/B): -1.67
• Price to Sales (P/S): 0.18
• P/FCF Ratio: -0.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: kr1.50 ▼(-13.79% Downside)

The score is driven mainly by weak financial fundamentals—continued losses, negative free cash flow, and negative equity—despite some TTM stabilization. Technicals add pressure due to a clear downtrend across moving averages and negative MACD, while valuation is constrained by negative earnings and no dividend support.

Positive Factors

High Project-Level Gross Margins

Sustained high gross margins indicate strong project-level economics and pricing power for GBK’s VFX and animation work. This durable margin profile reflects skilled labor and specialized technology, supporting long-term profitability potential if top-line stability or scale is restored.

Improving Profitability Trends

Trailing-twelve-month results show meaningful narrowing of losses (net margin improved from ~-30% in 2024 to ~-10% TTM) and reduced cash burn. This trend reflects operational leverage and cost discipline, which, if sustained, materially improves solvency and runway over months.

Stable Absolute Debt

Debt levels are modest in absolute terms (~15–19M) and have not accelerated, reducing immediate refinancing pressure. Stable indebtedness helps preserve flexibility in the near term, making recovery easier if revenue and margins continue improving.

Negative Factors

Negative Shareholders' Equity

Negative shareholder equity is a structural solvency overhang that limits access to traditional equity markets, weakens creditor confidence, and increases refinancing risk. Restoring equity requires sustained profitability, external capital, or asset revaluation to remove this long-term constraint.

Persistent Negative Cash Generation

Ongoing negative operating and free cash flow creates structural dependence on external financing and limits reinvestment capacity. Even with improved burn rates, enduring negative cash generation constrains strategic investments and heightens solvency risk over the medium term.

Declining Revenue Trend

A multi-year revenue decline (~-35% YoY TTM) undermines scale and the company’s ability to cover fixed costs despite high gross margins. Persistent top-line shrinkage suggests structural demand or client-loss issues that weaken long-term earnings visibility and recovery prospects.

Goodbye Kansas Group AB Business Overview & Revenue Model

Company Description

Goodbye Kansas Group AB (publ) supplies technology driven visual contents. It develops products and solutions based on Augmented Reality (AR), Virtual Reality, VFX production, cinematics, performance capture and scanning, digital humans, and real time animation. The company also offers virtual training solutions; SaaS solutions in 3D/AR for e-commerce; and location based mobile games, as well as produces 3D animated films. It serves customers in the TV, film, streaming, gaming, and e-commerce industries. The company was formerly known as Bublar Group AB (publ) and changed its name to Goodbye Kansas Group AB (publ) in May 2021. Goodbye Kansas Group AB (publ) was incorporated in 2015 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

Goodbye Kansas Group AB generates revenue through multiple channels including VFX and animation services for film and television productions, game development, and related consultancy services. The company charges clients on a project basis, often resulting in significant contracts with major studios for complex visual effects. Additionally, GBK earns income from partnerships with gaming companies, where they may provide outsourced development services or collaborate on specific projects. The company also explores licensing opportunities and intellectual property rights associated with its original content, further diversifying its revenue streams.

Goodbye Kansas Group AB Financial Statement Overview

Summary

Despite improved profitability and reduced cash burn in TTM, the company still has negative profitability and cash flow, shrinking revenue (~-35% YoY), and a stressed balance sheet with negative equity—keeping overall financial strength weak.

Income Statement

TTM (Trailing-Twelve-Months) shows a meaningful improvement in profitability versus 2024, with net losses narrowing (net margin improving from roughly -30% in 2024 to about -10% in TTM) and losses at the operating line also materially reduced. Gross margin remains very strong (high-70% to ~80%), indicating solid project-level economics. Offsetting this, revenue has been shrinking for several years and remains down sharply in TTM (about -35% year-over-year), and profitability is still negative at every major level (EBIT, EBITDA, and net income), keeping earnings quality and outlook constrained.

Balance Sheet

The balance sheet is pressured by negative shareholders’ equity in the most recent periods (TTM and 2024), which limits financial flexibility and increases refinancing/solvency risk. Debt is not extremely large in absolute terms (about 15–19M recently), but negative equity makes leverage metrics less meaningful and highlights a thin capital base. A positive is that total debt has not been accelerating and is slightly lower in TTM versus 2024, but the capital structure remains a key overhang until equity is rebuilt.

Cash Flow

Cash generation remains weak: operating cash flow and free cash flow are negative across the entire history provided, including TTM (operating cash flow about -4.8M and free cash flow about -7.4M). The pace of cash burn has improved substantially in TTM versus 2024 (when operating and free cash flow were deeply negative), but the business is still not self-funding. With continued negative free cash flow, ongoing liquidity needs and potential financing dependence remain the main risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	202.68M	172.56M	278.68M	288.33M	263.48M	161.30M
Gross Profit	159.18M	138.23M	201.11M	219.04M	214.36M	153.63M
EBITDA	-15.19M	-43.21M	-60.40M	-67.78M	-65.23M	-44.93M
Net Income	-19.76M	-52.47M	-109.09M	-126.41M	-150.35M	-85.03M
Balance Sheet
Total Assets	50.26M	43.56M	102.12M	274.40M	344.66M	307.70M
Cash, Cash Equivalents and Short-Term Investments	5.98M	17.50M	2.96M	3.62M	37.95M	25.34M
Total Debt	15.32M	18.72M	16.19M	14.40M	19.46M	5.83M
Total Liabilities	80.28M	62.60M	85.62M	286.54M	222.83M	128.80M
Stockholders Equity	-30.02M	-19.04M	16.50M	-12.14M	115.65M	174.13M
Cash Flow
Free Cash Flow	-7.36M	-41.52M	-61.20M	-84.67M	-36.04M	-71.40M
Operating Cash Flow	-4.79M	-41.42M	-58.75M	-34.47M	-637.00K	-39.53M
Investing Cash Flow	-2.57M	3.39M	-10.67M	-54.56M	-34.64M	-17.50M
Financing Cash Flow	5.69M	52.51M	67.81M	54.65M	47.87M	45.23M

Goodbye Kansas Group AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.74
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:GBK, the sentiment is Positive. The current price of 1.74 is above the 20-day moving average (MA) of 1.53, above the 50-day MA of 1.62, and below the 200-day MA of 2.14, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 57.53 is Neutral, neither overbought nor oversold. The STOCH value of 67.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:GBK.

Goodbye Kansas Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ENRO	72 Outperform	kr279.81M	4.08	23.97%	―	-0.21%	33.33%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
FRAG	45 Neutral	kr62.84M	-0.46	-229.41%	―	-10.21%	-1.15%
GBK	43 Neutral	kr35.76M	-3.41	―	―	33.98%	-104.57%
QIIWI	42 Neutral	kr17.67M	-2.85	-31.43%	―	-34.32%	70.25%
MAV	41 Neutral	kr4.00M	-0.16	―	―	-75.52%	86.85%
GCOR	41 Neutral	kr174.53M	-3.83	―	―	32.83%	13.34%