TNIEF (TNIEF) Q2 2026 Earnings Report, Transcript and Summary

Good morning and good afternoon from wherever you are joining us virtually today, and welcome to the tonies earnings call for the second quarter and the first half of 2026, highlighting once again continued strong growth halfway through the year. With me today are our CEO, Tobias Wann; and CFO, Hansjorg Muller. As always, Tobias will start with last quarter's business highlights. Hansjorg will walk you through the financials before we finish with the confirmation of our full year 2026 guidance. [Operator Instructions] We have an exciting story to share with you today. So without further ado, I will hand the floor over to Tobias to kick things off.

Thank you, Moritz. A warm welcome from my side as well. As always, let me start with an update on where we stand in building tonies into a global icon. Let's quickly recap. We built the category of interactive audio for children. We are leading it. We're continuing to shape it and innovate it. In less than a decade, we sold around 12.6 million Tonieboxes and more than 173 million Tonies. What's even more important, we continue to grow household penetration in more than 100 countries every quarter, every year. The families who join us stay with us. Their kids engage with their Toniebox for nearly 5 hours per week. We are an essential part of daily family life. And as you will see today, that continuously pays off. So what does the first half of 2026 tell us? With EUR 243 million in revenue, an increase of 41% in constant currency, we are firmly on track to meet our annual goals. We delivered in every single market, North America, DACH and Rest of World, all with impressive double-digit growth. Underneath that top line, the flywheel is accelerating. In the first half of the year, we sold more than 830,000 Tonieboxes, an increase of 54% compared to the first 6 months in 2025. In addition, our customers bought roughly 17 million Tonies, EUR 4 million more than in the first half of the prior year. With that, we continued our momentum, more boxes, more Tonies, deeper relationships. Let's look at some of this year's highlights so far. For us at tonies, 2026 is another year of innovation. The announcement of Toniebox Lite marks our second device launch within 1 year. It's a milestone for our ecosystem strategy because Toniebox Lite will be a major driver of additional growth. We also continued to build exciting partnerships. Our Pokémon figurines, very excited, launched yesterday, and it's already a smashing success. Bluey created unprecedented buzz already upon our announcement in June. Our new Hasbro games fuel Tonieplay with true classics. Toniebox Lite for our ecosystem. And we just landed another big partner. I don't know if you can see it with tonies FC Bayern Munich. We've not only added a great name, we've deepened our reach in the sports vertical. And with it, we are introducing serialized content to DACH, a major format innovation beyond the box. Wins like these are the foundation of our continued growth. And the results speak for themselves, 57% top line growth in North America, 26% in DACH and over 40% in Rest of World. We are clearly continuing our momentum, strong, profitable and sustainable growth. In the first half of the year, we also held our very first Capital Markets Day, London on June 18, when we laid out a bold ambition. We are aiming to roughly double our top line and our margin. That means EUR 1.4 billion in revenue by 2030 and an adjusted EBITDA margin between 16% and 18%. The midterm ambition is clearly rooted in our 3 strategic priorities. First, we are building an ecosystem that compounds value for tonies and for families alike, shaping our industry and the future of childhood. Second, we remain focused on winning internationally, particularly in the U.S., where we still have major room to grow. And third, we prioritize reliable, profitable growth. Our model is designed to extend our track record year after year. Over the past few months, we've made good progress in each of these areas. Let's take a closer look at this. Let me remind you, tonies is bigger than the box. This becomes crystal clear when we take into account the growing needs of modern families. Important and sometimes overdue social discussions around what good entertainment for kids looks and sounds like are providing clear tailwinds for our business. We have a great opportunity ahead of us. To realize tonies' full potential, we are building an ecosystem that spans experiences throughout the childhood, be it our rich and ever-expanding above-the-box portfolio, just what I showed you, or our range of accessories or digital experiences. And now for the first time, we also have a device ecosystem, thanks to Toniebox Lite. Toniebox Lite complements our flagship product, Toniebox 2, perfectly. Each is designed for different family needs. Still, they are running on 1 unified platform and 1 vast portfolio of curated content. The tonies ecosystem is built to grow with families across products and over time. And keep in mind that our ecosystem is self-compounding. No single layer alone creates the value. Real value is created in the interaction between them. Content drives engagement. Engagement drives habit, habit drives repeat participation. The discipline we apply is simple. Everything we build must fit and compound within this ecosystem. And then there's the international potential. Our ambition is global, and it's big. Growth is not just a game of new markets. Yes, expansion does include new markets, and we are excited for that, but there's a lot left to win in our existing markets as well. Just take North America, our largest market already. North America grew 57% year-over-year in the first 6 months of 2026. That's possible because while we are winning already, our household penetration is still just around 12%. Compare that 12% to nearly 60% in DACH, where we're also still growing by double digits, and you get the idea. It tells you everything about the vast potential we still have in our existing markets. The same dynamic, by the way, applies to the Rest of World. Having said that, growth will also come from new markets. We will be bringing tonies to 2 of them by the end of 2027, at least 2. And by 2030, we are aiming to be present across all major regions of the world. The markets we are looking at are already taken into account in our path to EUR 1.4 billion in revenues, and they will further fuel our proven economic model. Cohorts make our business quite predictable by design. You can see it here. Every box that enters our ecosystem leads to 20-plus Tonies sold over its lifetime. We've been observing that behavior across all markets across time. Every cohort of new families is larger than the one before. Every new cohort increases in value and generates subscription-like attached revenues for years to come. More than 60% of the lifetime value of cohorts acquired since 2020 is still for us to take. I'm talking about future purchases from boxes that are in homes already today as we speak. The majority of what those families will spend with us is still ahead of us, and the compounding effect only increases as we are acquiring new and larger cohorts. This gives us great confidence for the years ahead. Now let's turn to one of the most important milestones of 2026. A few weeks ago, on July 27, we announced Toniebox Lite. The buzz around the launch was electrifying. It meets family needs, and we've seen a high level of excitement among our communities as well as a lot of press in media. Toniebox 2, let's be very clear, is and remains our flagship device. The full Tonieplay experience with a range of premium features, including Tonieplay and more. Toniebox Lite complements it. It delivers our signature listening experience in a more compact format and importantly, at a more accessible price. We'll speak on our strategic implications in a moment, but first, I wanted to share a brief overview with you. Here, you have at a glance, both boxes side by side. This overview shows how they complement each other rather than compete. If you want the full experience, you go for Toniebox 2. Priced at a little under $130, it includes the full range of features, including sunrise alarm, dynamic lighting and of course, Tonieplay. Toniebox Lite opens the door at already less than $80 and provides the opportunity to listen to all of your favorite figurines. While it's more compact, I think it's clear it's unmistakably tonies. This device differentiation is by design, and it unlocks strategic value. Expanding our ecosystem means 2 things. On the one hand, we are sticking to the foundations of our success. On the other hand, we are adding a new opportunity. tonies' main premise and child's first experience, a vast curated content portfolio, a tactile and intuitive platform that fosters independent play and peace of mind for parents, all of that stays in place. We are not diluting our platform. We are not stretching our abilities. What we are doing, we are opening up. We are opening up our serviceable addressable market. More families can now start their tonies' journey. More families on the platform mean more attached revenue. Second, the compact design and portability opens up new moments for tonies. Toniebox Lite goes wherever childhood goes. And let me tell you, we are constantly listening to our customers, and we've heard it many, many times from so many families when multiple children are in the house, I would love a second box. One we can leave at another place, at grandma's or when we are traveling. Toniebox Lite makes life easier for those families. As a result, it creates value in 2 directions. First, it expands so we can reach for families new to tonies, price was sometimes the primary barrier. Toniebox Lite removes it. These are families who were not going to purchase, not going to join our ecosystems at all. So we are talking now net new to tonies' ecosystem. Second, Toniebox Lite deepens engagement with families already on our platform. For existing customers, the question is no longer, is a second device worth the full investment. And critically, neither benefit comes at the cost of the platform itself, the same content, the same Tonies, the same ecosystem. And beyond today, the pricing flexibility Toniebox Lite creates is a structural asset, one that we can leverage in existing markets and those we will be entering in the future. Now let's go above the box again. I want to start with a partnership that genuinely excited our whole community and genuinely excited me. I'm talking about Bluey. Here it is again, wonderful little Bluey. Bluey is the most beloved children's franchise in the world right now. Of course, such a character belongs on the Toniebox. Now she is. Families all around the world continue to ask for her and her furry friends. Over the past few years, even Bluey was by far the most requested IP for us here at tonies. Statistically, have been looking into this, her coming to the Toniebox was requested every single day. We did the math on this one here. Our first launch impressions show that the excitement is real. In New Zealand, for example, close to Bluey's home country, Australia, we hosted an immersive event at the country's largest shopping mall. In the U.S., the launch of Bluey was powerful enough to expand our shelf at Target, and the sell-in is really strong. Our fans noticed and media fully understood the dimension of what such a partnership means in our industry. It's a truly landmark one. When a launch lands like this, you feel it. The global Bluey rollout has started and will continue. We are excited for what's to come. Then there's Hasbro. Here is the Hasbro Monopoly game that I hold in my hand. This partnership represents a new growth vertical for tonies because with our Hasbro games, Monopoly as you just saw, Game of Life, Guess Who, we are able to tonie-fy classic board games, titles that every family already knows and loves for generations. And now they can experience that in a new format on Tonieplay. The Tonieplay versions of these board games show the versatility of this new category on full display. Teaming up with such an iconic partner as Hasbro also levels up our campaigning power. And last but certainly not least, we are exciting kids at the upper age range with games without screens. And that is not all when we look at this year's tentpole launches, if you happen to be in London today, and I know some of you are, you might actually see us on your way home. Pokémon is launching, and we wouldn't be tonies if we didn't celebrate in style. This bus that you can see here is an ad, but it's also a testament to the 2 powerhouses that are joining forces here. Finally, when we do partnerships, we always look at the right format for the right licensor. In some cases, this can add fantastic innovation to our content roster. Just days ago, we launched a partnership that we are extremely proud of. FC Bayern Munich is Germany's favorite team and record champion, as we say in German, the [Foreign Language]. A partner like that, you want to do justice. This Pocket tonies is true above-the-box innovation. There's 2 reasons it matters so much. Let me explain this to you. First, it's the debut of serialized sports content. We'll feature 18 sequential releases with Bayern Munich throughout the '26 and '27 season. And you probably did the math, there is 18 home games that every team plays. So there is a certain logic behind that. This format keeps engagement high and opens up new ways to think about our content portfolio. And probably strategically more important, it secondly deepens our footprint in sports. We believe that sports content can be a meaningful new growth vector for us across leagues, across markets. It deeply connects to local culture. It offers opportunity for real-life immersion and for great partnerships. And it fascinates kids and adults alike. Whenever we engage in partnerships, we want to get it right from the get-go. And for serialized sports content in DACH, we are literally kicking it off with the best possible partner there is, one of the top clubs in Europe and quite possibly in the world. Speaking of serialized content, another very proud moment for me and for us in 2026. We already have a blueprint, so most of you know probably that in our content portfolio that demonstrate why both our little listeners and we as tonies share love for recurring formats. In the U.K., our daily podcast, Today with tonies, aired its 1,000th episode less than 3 weeks ago. Today with tonies drops every morning and is a great example not only for content kids love, but how we retain and deepen loyalty with our community. 7 out of 10 listeners tune in every single day. Picture this. And even more remarkable, households that own this Tonie, Today with tonies podcast, Tonie, have both higher play time and purchase more above-the-box items in general. All indicators suggest that this award-winning daily show for kids drives brand loyalty towards tonies. And by the way, it is one of many productions by our very own tonies studio, which demonstrates the powerful capabilities of our in-house content team. And I'm very proud of this team. I want to say a big thank you to this team here in this call as well. Both serialized formats and sports are verticals that offer additional opportunities for us. Today with tonies and our partnership with Bayern Munich illustrate just 2 of the paths that are possible. And I can tell you, we are already exploring more. Stay tuned. Let me close our strategic highlight session with 2 examples of successful retail innovation. The first is from North America, where we already have a broad network of points of sale, as you know, collaborating in the best sense of the world with every major retailer. Toniebox Lite, I keep showing it to you because I'm so proud of this product. Toniebox Lite opened up an additional path for that. Working with Walmart, we agreed upon an exclusive and gained 800 additional points of sale with out-of-aisle placements for the launch. And if you are in the U.S., I encourage you to visit your local Walmart to actually look at it yourself. And we are exploring even more options to drive innovation in retail. The second example is from DACH, our established market, in this case, specifically from Switzerland. It comes with a loyalty program, so-called retail loyalty program, which is yet another driver of incremental growth for us. We recently partnered with leading Swiss retailer, Migros. Together, we developed exclusive Pocket tonies and accessories, each featuring content in Swiss German, French and Italian. Our collaboration also includes a loyalty program designed to drive incremental reach. These are just 2 of several examples of how we look at creating new shelf space in all the different type of markets that we are in and reach that we did not exist before. With this, I hand it to Hansjorg for the financial details. Hansjorg?

Thank you, Tobias. Let me start by giving you an overview of what you are about to hear. The first half of 2026 was a period of outstanding growth for tonies. We saw strong momentum in all segments, particularly driven by accelerated Toniebox sales. Let me take you through the numbers. Group revenue came in at EUR 243 million. That's a top line growth of 41% in constant currency. We're pleased to see that North America and DACH accelerated their growth with the Rest of World segment continuing its momentum. In regards to EBITDA margin, we expected a lower margin for this half year versus the prior year. This is mainly because of Tonieboxes growing stronger than figurines, but also due to the timing of tariffs. Let me double-click on that last year's Toniebox baseline a bit. That was artificially low last year when retailers were delaying their purchases in anticipation of Toniebox 2, so also contributing to this product mix shift from a year-on-year perspective. So our product mix developed as planned. While we do not provide a specific quarterly guidance on that, the structural mix directly supports the half year financial results we published today and keeps us fully on track to achieve our full year guidance. So the actual result of 0.7% adjusted EBITDA is in line with our margin expansion prediction for the full year as per our guidance. Now let me comment on our free cash flow. It was driven by the typical seasonal working capital buildup amplified to support our tentpole launches, some of which are occurring earlier in 2026 this year than compared to 2025. For example, these included Bluey, Hasbro and Pokémon as well as the Toniebox Lite launch this half year 1 where we had only Toniebox 2 in last half year 2. So different earlier timing of launches than last year. And for the full year, we expect free cash flow to be positive. Now let's approach the line items in our P&L that require a bit of context, our margin. Gross margin came in at 64.3% versus 70.9% in the prior year. This is mainly driven by the dynamic I just mentioned. First is the timing of tariffs. In last half year 1, we sold products that were imported at 0 tariff. And this half year 1, the products sold were imported at a time when tariffs were still volatile and high before they actually settled to a more stable baseline just earlier this year. So previously imported product that still needs to flow through the P&L. And then second, the product mix shift from Tonies to Tonieboxes versus the prior year, also influencing the gross margin. As mentioned, please keep in mind that the baseline for comparison Toniebox sales during the first half of last year was rather low because of H1, half 1 of 2025, retailers had reduced Toniebox 1 orders as they waited for Toniebox 2 to hit the shelves. In contrast, in the first half of this year, we had the full benefit of Toniebox 2 availability, so quite some timing impacts. And whilst this had a slightly unfavorable impact on this period's gross margin, each box sold increases the installed base of Tonieboxes in the market. Ultimately, that is what lays the foundation for future profitable above-the-box sales. Another positive sign, our operating leverage partially offset the impact of this product mix shift, particularly through efficiencies in fulfillment, marketing and SG&A. And as a result, our adjusted EBITDA margin was less affected, came in at 0.7%. These results, as I already said, are in line with our plan as we remain on track to deliver our full year guidance for both top and bottom line. Now let me focus on the top line. It's been a great first half year. With revenues up 41% in constant currency, we accelerated our growth rate at group level, increasing our growth rate to plus 26% in DACH shows that we can deliver outstanding progress and innovation even in established markets. In North America, our biggest segment, we grew by an exceptional 57% in constant currency. Let me repeat this, 57% revenue growth in constant currency in our biggest market, which also is our most important growth market. That is an incredible momentum, especially against the potential we still have. We saw a similar development in our Rest of World segment, which has been growing both fast and sustainably at 43% year-over-year in constant currency. So while DACH continues to be a major success story for tonies, our strong performance outside our home market continues to drive our internationalization. Against this backdrop, our share of international revenues increased by 3 percentage points to 63%. That's a start to build on this year. Moving on. We already touched upon the product mix when we discussed our key margin drivers. Let's go a bit more into detail. Toniebox revenue increased by 69% year-over-year in constant currency, reaching EUR 57 million. As I already pointed out, this exceptional growth rate was also driven by a low comparable base during last year's period when retailers were waiting for the new box launch. But it does pay testament to the fact that Toniebox 2 was the right product at the right time. Announced almost a year ago to this very day, our flagship device continues to fuel our installed base of Tonieboxes. Let's not forget our other segments as they showed a strong performance as well. Tonies, that is above the box, revenue increased by 36% to EUR 177 million and accessories grew by 15% year-over-year, both in constant currency. Now let me spend a moment on Q2. Q2 had a major impact on our strong performance in the first half of the year. In the second quarter, Group revenue increased by 49% in constant currency, with North America recording an astonishing 85% top line growth. Revenues from Tonieboxes accelerated in the second quarter as well compared to the start of the year. You can see here that the segment grew by 76%, further strengthening our installed base, which, again, is a driver for future above-the-box sales. On both points I just made, let's not forget the low prior year baseline due to the Toniebox 2 launch. On the next slide, I'll take a look at our segment performance. You can see here that many of the dynamics you're already familiar with have continued in the first half of 2026, namely DACH remains the segment with the highest profitability and margin improvement goes hand-in-hand with dynamic growth. So our EBITDA margin improved by nearly 8 percentage points to 24.4% in half year 1, 2026, driven by the revenue growth and operating leverage, including marketing and SG&A efficiencies. North America achieved a stable margin performance year-on-year. That is remarkable given that our box heavy sales mix negatively impacted the gross margin here in addition to the timing of tariffs, which, of course, applies 100% to North America, meaning none in the prior period and relatively high tariffs in the products sold in this half year 1, as I explained previously. Efficiency gains across fulfillment, marketing and SG&A also offset the unfavorable gross margin impact here, allowing us to grow fast and profitably. And then there's Rest of World segment. Keep in mind that this already grew profitably in the full year of 2025, so seeing further margin improvements after 6 months of 2026 is a very encouraging sign for us in what is still an early high-growth phase. So great performance across the operating segments for half year 1. And remember, this is our low volume, low revenue half of the year. Moving on to headquarter costs. They are worth mentioning because we had positive one-off effects last year that do not reoccur in 2026. Instead, we had negative one-off cost effects in this reporting period. They are in part stemming from the timing of contracts that will not reoccur going forward. They don't structurally affect our performance in the segments, which is exactly why they are accounted for at group level to provide a transparent assessment of segment performance for our steering. For the full year, our headquarter cost is on a similar trajectory as last year and in line with our expectations. Now that we're on the right track structurally also becomes visible when we look at our adjusted EBITDA margin bridge. The increased COGS primarily result from the before mentioned product mix shift to Tonieboxes with lower gross margins and the timing of tariffs, as I just explained. At the same time, we achieved licensing efficiencies, also partly driven by the product mix shift towards Tonieboxes. Fulfillment costs were positively impacted by a favorable channel mix as our ongoing point-of-sale expansion comes with lower fulfillment costs than other channels. Then the before mentioned operating leverage. Here, we show efficiencies in marketing and SG&A expenses. As you know, we came into 2026 with a number of macroeconomic challenges. Ongoing uncertainty around U.S. tariffs, challenges in component sourcing, in particular, memory chips and foreign exchange volatility being among them. However, we have established ways to work with those, starting with tariffs. While the situation has stabilized compared to where we were a year ago, we've also continued to lean on the sourcing flexibility we've built up over the past several years, including the diversification of production, which has led us manage our exposure without disrupting supply chains. It's the same playbook we described on previous calls, and it continues to work as intended. Second, memory chip supply. We've maintained flexibility in both the underlying technology and our production footprint, which has allowed us to secure supply not just for the remainder of this year, but also with visibility well into the next year. Third, FX, we've mitigated the impact through what we call natural hedges, matching revenue and cost exposure in the same currencies where possible, mainly in U.S. dollar. And lastly, we refinanced our syndicated loan, which was due to mature in September 2026. Our new facility features a nominal amount of EUR 150 million and extended maturity to 2029 and significantly improved terms. Whilst this is in excess of what we actually need today, it does provide us with access to seasonal financing for the years to come without having to administer new vehicles every year. And with that, I'm handing back to Tobias for our outlook.

Thank you, Hansjorg. Thank you for walking us through these numbers. They clearly underscore that tonies has had a strong first half of the year. We delivered a performance that puts us right on track of our guidance. Before I get there, allow me a few words on the shape of our business. More than 2/3 of our full year revenue and a disproportionately larger share of our profitability is generated in Q3 and Q4. The year is, therefore, not decided in the first half of the year. It is decided during the holiday season. What we can do in the first half is prepare for it. We can build the installed base, secure the range, get the product into retail, and we have done that. We have done it well. But preparing for the quarter that decides the year is not the same as having delivered it. And that is why it would be premature to draw any conclusions on where we land for the full year. That said, we confirm our guidance for the full year. tonies expects another year of profitable growth. In constant currencies, we target to grow at least 20% at group level, achieving more than EUR 760 million in revenue. In North America, we plan to continue our strong momentum with annual constant currency growth of more than 30% year-over-year. At the same time, we expect our adjusted EBITDA margin to come in between 9% and 11%. Our confidence is based not only on the success we already had, but also on what's to come until the end of the year with Toniebox Lite in the market, a strong content pipeline and our ongoing preparations for the ever important peak season. So I'm looking forward to what's to come in '26 and beyond. But first, I am looking forward to any questions you might have today. With that, over to you, Moritz.

Thank you, Tobias. [Operator Instructions] And the first questions I see are already in. The first one is on TB Lite. Why will the TB not be launched in DACH or France. Given your high penetration in the DACH region, don't you think this is a great way to increase multi-device ownership?

Yes. Happy to take this one. Thank you. Of course, this is something that we have thought about very carefully. We are indeed launching TB Lite in North America. So that's the U.S. and Canada, in the U.K., in Australia and in New Zealand. And I mean, the idea really is to give every household there, old and new, this listening experience in a smaller, lighter format and at a more accessible price point, as I also just said in the presentation. This will give us a really good environment to validate the consumer response before we potentially roll out this wonderful Toniebox Lite to other markets, the existing or potential new markets. On the multi-device point specifically, I think there's also some other important aspect that you need to look at. We already have a relatively high penetration of Toniebox 1 and 2 within the same household in the DACH region. So families who want or need a second or third box are largely already finding their way to that today within our existing setup in this market. So that gives us the confidence that we are not leaving obvious multi-device demand on the table in those markets where we are initially not launching Toniebox Lite. Great question.

The next one is on free cash flow. Free cash flow was significantly lower compared to the end of June 2025. What specifically explains that? And is it fully reversed by year end?

Hansjorg, do you want to take that? I think you mentioned that also in your presentation, but maybe, say it again.

Absolutely. Just building what I presented earlier, the free cash flow was driven by this typical seasonal working capital buildup that we, in fact, occur every year. And what strengthened this or made this more pronounced this year is the fact that it is supporting tentpole launches that are occurring earlier this year than in the comparative last year, for example. So what did we have last year? Toniebox 2, but relatively speaking, towards the end of the year. This year, we already had significant launches like Bluey, Hasbro, Pokémon followed quickly by TB Lite. So look at this as a timing effect where we need to prepare with inventory buildup early in the year. There are smaller impacts coming from strategic choices where we wanted to ensure component security and supply, right? That also means earlier intervention. But for the full year, we expect cash flow to be positive in line with what we communicated earlier today.

The next one is on memory chips. Guidance assumes a flat memory chip cost environment and stable FX rates. Given memory chip pricing has been volatile, how much margin risks exist for the rest of the year and going into 2027?

Yes, I actually did expect a question like that. And certainly, the memory chip situation has been a curveball for many in the consumer electronics industry in general. But I mean, hopefully, you see I am sitting here relatively relaxed answering this question, telling you that we have secured absolutely sufficient volume for this year's sales and production and even beyond. And we are confirming the volumes as we speak for 2027. And that gives us certainty for both volume and price. And let's be also clear, when I'm saying this, this has been and is covered in our guidance for 2026.

Next one on Q2. Q2 alone grew 49% versus 41% in H1. Is that quarterly acceleration mostly TB2 driven or a genuine trend you expect to continue into Q3, Q4?

Let me make sure I understand the question. So I think we have already mentioned that the segments generally benefited from a low comparison base, especially in Tonieboxes sales during the first 6 months of last year. The reason for that is we had obviously spoken to all retailers across the world about the introduction of Toniebox 2 under embargo. And they knew that it would come and be presented in Q3. So what they did not do knowing this is ordering old Tonieboxes, Toniebox 1 in -- specifically in the second quarter of 2025. So while this period was heavily driven by Toniebox sales growth, let's make sure to look at that comparison, but also let's make sure that we not forget the strong 43% constant currency figurine growth that we've seen in this quarter. I think this is -- I'm understanding the question, but I think we should not get hinge too much on it because it's a temporary effect. What we are showing all of you is a very strong underlying metric with our Toniebox sales. And this is also what I mentioned in the presentation when I talked about the flywheel, the ever-accelerating flywheel, the more boxes we have out there, the more continued business from figurines we can expect in the next 4 to 5 years with our subscription-like cohorts. And let's also say again, 43% figurine growth this quarter is a very strong number.

The next one is on this football club called Bayern Munich. The Bayern Munich Pocket tonies seems to sell very well. Is sports licensing a new recurring content category? And are there any differences in margin economics?

Okay. You may know more than I do, but we just started the sales. So yes, the initial demand is -- I think we sold out our presale amount, but we will see how it will perform over the next couple of months and quarters. But I am -- let's be clear, I am absolutely confident that it will sell very well. But let me quickly talk about the really important message behind all this. Sports licensing represents a significant future content driver. And all of you who followed, obviously, the FIFA World Cup this summer or who follow other sports event know this is literally bringing the entire family together over a long period of time on -- and everybody is very emotionally attached to sports. And with this, obviously, there's a clear trackable interest among our target audience as well. And tonies as an ecosystem, the platform serves as an ideal platform for fostering fandom and also providing education maybe for more complex sports or an introduction into certain sports for children, right? And obviously, what we do offer is a very unique off-screen insight into teams, into stars, players, whatsoever. So this is an exciting vertical for us that we are looking to do a lot, lot more, and we will be seeing pretty fascinating partnerships over the next years to come, I'm pretty sure.

I want to add, if I may expand on the margin economics, that was part of the question. And of course, we have a variety of margin implications across the portfolio, but that's the whole point. It's a portfolio. Much more important is that this helps us to satisfy more listening needs of our little listeners. That helps us with portfolio expansion, helps us with engagement. And the small variations in margins are well covered with our higher expectation of margins for above the box and lower expectation of margins for the box.

The next one is slightly longer on guidance. Based on revenue of at least EUR 760 million for the full year and adjusted EBITDA margin of roughly 13% to 16% an adjusted EBITDA margin of roughly 13% to 16% is required for H2 to achieve the full year guidance range of 9% to 11%. What are the main assumptions behind the lower and the upper end of your EBITDA guidance range? This is the first part. The second part is, is there a risk that box sales in H2 will dominate the sales mix to a degree that the margin guidance comes under threat given the new TB Lite launch?

Yes, that's a meaty one. Let me try to unpack this. First of all, the assumptions in the questions are right. And I'm thankful for the person who asked the question because that obviously tells me you do perfectly understand our business model. And that's also what I tried to say on the slide when I reconfirmed our guidance. You all know we do say it again, more than 2/3 of revenue in the second half and about 50% in the fourth quarter. So what we are preparing for in H1 is really what we are earning in H2 when the sales -- the real sales period starts. So that said, I want to repeat it. We are very confident in our guidance. And we have said it many times and also the margin goals that we've put in there are the goals that we are very confident in sticking to. The launch of Toniebox Lite, of course, is included in there. And we knew that when we came out with the budget for 2026 and then we came out with the guidance and everything, we obviously knew that we will have Toniebox Lite being launched and presented in the third quarter of this year, right? So the range, I think this is what you're specifically asking for is just reflective of the fact that we have had a very strong H1, and we are confident in our H2 with a strong pipeline and Q3 and Q4 revenues. So there is lots of profitability drivers, and we'll then see how they all play out, but we are very confident that we'll land in this range.

If I may add also here because there's an ask or mention of risk, is there a risk that box sales would dominate the sales mix. Here, I would just add, of course, we appreciate to drive installed base. That's what we want. At the same time, installed base doesn't double overnight. So it doesn't really come at a risk that suddenly or surprisingly, for example, dominating our sales. We're talking in margins here.

Next one on segments. All segments showed nice operating leverage in H1. However, corporate headquarter costs were up 4x year-over-year to EUR 20.1 million. Can you elaborate a bit what the drivers here were and how we should expect corporate HQ costs to develop in H2 and beyond?

Yes. I think, Hansjorg, you spoke about that, so I give it back to you, so you can maybe repeat what that is.

Yes. In fact, I saw the question pop up in the live stream before we actually got to the slide. So I think I covered it, but let me repeat. So again, we had last year one-off benefits that didn't reoccur this year. We have this year one-off expense that are timing driven, weren't there last year nor going forward. Most of it related to fixed-term contracts and fixed projects that are independent of the structural performance of our segments. That's why we keep these in the corporate HQ bucket for exactly that purpose, so we can clean and transparently steer our segments. But to the question, what do we expect for the year? We expect a similar dynamic as last year. We're on the same trajectory. And again, we're covered for our headquarter costs in our guidance. I hope that explains.

The next one is also a longer one. I will split it in 3 parts. Interest expense increased significantly in H2 due to changes in the fair value measurement of the warrants. Were these provisions built for the warrants as they are in the money now? This is the first question on provision.

Hansjorg, do you want to quickly take this one?

Happy to do that. So I think as already talked to in prior calls, yes, we have the so-called warrants on our balance sheet, and they revalue every half year. It's, in fact, an externally validated valuation. We don't do this ourselves that we have to perform. And as share price increases, our liability, our warrant liability increases. As we had share price increases over the last half year, our warrant liability increased. That has a negative P&L effect. This is what we see at the end of half year 1. To the question, is there any risk behind it for the year? My clear answer is no. Why? No? Because our intention is to settle these warrants with already existing treasury shares. And again, there are simulations on how we will do this exactly. So this will have a very limited effect on our corporate structure and our financing structure. In fact, it will simplify it from a P&L perspective, again, as this liability, warrant liability will then go to 0 when they are in the money or they expire. This will reverse the P&L effect, and this will mean for the year, it will be a positive net income driver for the year. But after that, we will have no more volatility from this. So no liquidity risk related to this. And in fact, no, there's P&L volatility due to the revaluations. But for the year, we're expecting a net positive impact.

So you already covered the follow-up questions on liquidity and net income. Let's move on to one question on the TB Lite again. Would you argue that the customer demographic for the TB Lite is fundamentally different from TB 2, meaning going beyond the family that is merely seeking a product that is more accessible from a financial perspective? And if so, how? What makes you confident that cannibalization of these sales can be prevented?

Happy to take this one. So TB Lite, as I said, sits at a different price point and serves a different use case at Toniebox 2. It's important to understand, right? It's not only the price. It's a use case and the price. So the use case is, as I said, second box in the household, something that is more compact, lighter on the go, a gifting occasion than rather like-for-like replacement that you would probably normally see when you look at the family primary box. Our research that we have done in a large extent gives us real conviction that a meaningful share of demand is coming from households and price segments that we weren't able to fully serve with Toniebox 2 alone. So there is a natural overlap by design -- and as you see that with any line extension, I believe. But we do expect a net effect on the ecosystem, and that is something that is clearly positive for us. I want to make this very clear. There's a clear net positive effect with the introduction of Toniebox Lite.

And one follow-up on TB Lite. With TB Lite price below TB2 to remove the price barrier, doesn't that pressure blended gross margin and average sales price further into H2 and 2027?

Hansjorg, do you want to take that one?

Great question again. And again, I approach this more from how does the business model work, right? Every portfolio expansion initiative that helps us drive installed base in this case, with our second box in the ecosystem is something that we highly welcome. Of course, we do not want to lose margin on the box, and we do not, right? So even on the box, we don't have a negative margin. But yes, it's a lower margin than on the Tonies or the figurines, that is the business model, meaning we factored that in. We've planned for that as we continue to build out installed base. Toniebox 2 and TB Lite have structurally a lower margin profile than the attach. But it's not that because of the introduction of TB Lite, this would deteriorate our overall average portfolio. No. It is as planned, part of our portfolio expansion strategy and beautifully contributing to our very profitable cohort sales in the future.

Due to timing, one last question. Sorry, we couldn't answer all questions. If they are still important, please feel free to follow up. If you don't follow up, we assume it's not that important. Last one is on EBITDA in North America. Why did the EBITDA margin in North America decrease in H1 despite higher volumes?

In good tradition, I'm happy to take the last one. And I have to say that's not quite correct. I appreciate the question. But if you remember what Hansjorg had shown, the EBITDA margin in North America did not materially change year-on-year. You remember that slide in the segment reporting that Hansjorg showed. And so the question is probably more like why did you not see improved year-on-year margins in North America. And there is a clear explanation to this. One, as Hansjorg also mentioned, the tariff impacts. We were not seeing any of those tariff impacts in H1 of 2025. So the products we sold in H1 2025 in North America, the country with the tariffs were products that we had produced and shipped and sold to the North American consumers and retailers without tariffs. And then there's a second element that we probably talked about a lot today, which you by now also know is the product mix, right? So we have had a product mix shift to boxes in H1 2026. And this might temporarily, I'm using this word by design, temporarily have an impact on EBITDA margin, but this is a good thing for us as a business. This is, as I like to say, a sign of very healthy growth for the periods to come. Love this question. It's a good question to end on. Thank you, Moritz.

So this concludes our Q&A session. As already mentioned, in case of open questions, please do feel free to follow up. Before Tobias finishes with the key takeaways, let me quickly highlight the next events to come. On September 1, we will be at the Berenberg Stockholm Seminar, yes, in Stockholm. This is followed by the Corporate Conference organized by Commerzbank & Oddo in Frankfurt on September 2. We finished off the September conferences with the Berenberg and Goldman Sachs German Corporate Conference in Munich on September 21. And in November, we will organize the US-Roadshow together with Cantor in New York and Oddo in Boston and Chicago. So feel free to reach out to any of these brokers to schedule a meeting. So Tobias, please take over again for the key takeaways and final remarks.

Thank you, Moritz. And again, in good tradition, let me close today's call with the 5 key takeaways I want you to take home here. First, we shared a bold midterm ambition at our first Capital Markets Day in June. We had said we would do more than EUR 1.4 billion in revenues by 2030 and an adjusted EBITDA margin of 16% to 18% midterm. These ambitions are rooted in our clear priorities that are all progressing as planned. Second, Toniebox Lite is out there. It will drive acquisition and retention, and it changes the shape of our market. Two devices on the shelf marked the beginning of our true multi-device ecosystem. Third, our IP pipeline is probably the strongest we ever had going into the second half. The impact of Bluey, Pokémon and our Hasbro games will be felt going forward. And is, for the first time, serialized sports content with Bayern Munich and so much more to come above the box. Fourth, we are growing strong and profitably. DACH grew 26% with a household penetration of approximately 60%. If our most established market can do that, every other market has even more runway and our half year results prove it. And fifth, quite simply, tonies delivers. The team is ready for a very strong finish to 2026. We are confirming our guidance in building our ecosystem and building up our international footprint and further building our financial model, we are building even more what I always like to say, we are building a global icon. Thank you for your attention and your interest in our company. Looking forward to catching up with you soon. Have a great rest of your day.