The Kahoot! Group grew invoiced revenue in Q2 2020 to $9.6m, a 317% increase from reported invoiced revenue in Q2 2019. The quarter over quarter invoiced revenue growth was 49% in Q2 2020 (vs. Q1 2020). The Kahoot! Group had in Q2 2020 the third consecutive quarter with positive cash flow from operations. The Kahoot! Group reached more than 270K paid subscriptions in Q2 2020.

Please find enclosed the Q2 2020 presentation and report.

Highlights Q2 2020

• The user growth on the Kahoot! platform continued with more than 20 million active accounts in the last twelve months (44% YoY growth). Number of hosted games last twelve months was 210m (7% YoY growth) with 1.25bn participants (12% YoY growth).
• Kahoot! launched several new features and editions for all three main segments (at Work, at School and Home & Study), contributing to the growth of both free and paid users in the quarter.
• Strong growth in paid subscriptions for the Kahoot! Group, reaching more than 270K in Q2 2020, an increase of 68K paid subscriptions from Q1 2020. The year on year growth in paid subscriptions was 170% per Q2 2020 vs. Q2 2019. Per Q2 2020 the Kahoot! Group had approx. 100K subscriptions in the Work category, 125K subscriptions in the School category and 45K subscriptions in the Home & Study category (including DragonBox curriculum).
• Invoiced revenue for the Kahoot! Group for Q2 2020 was $9.6 million, compared to $2.3m in Q2 2019 as reported, representing 317% year on year growth. The quarter over quarter invoiced revenue growth was 49% in Q2 2020 (vs. Q1 2020).
• Invoiced revenue for the first half year 2020 for the Kahoot! Group was $16.1 million, compared to $4.3 million as reported for the corresponding period 2019, representing 273% year on year growth.
• The Kahoot! Group customer base MRR (Monthly Recurring Revenue) as of June 30, 2020 reached $2.1m corresponding to ARR (Annual Recurring Revenue) of $25m.
• Recognized revenue for the Kahoot! Group was $5.8m in Q2 2020 compared to $1.4m in Q2 2019, representing 315% year on year growth.
• Recognized revenue for the first half year 2020 for the Kahoot! Group was $10.3m compared to $2.6 million as reported for the corresponding period 2019, representing 300% year on year growth.
• EBITDA for Q2 2020 was -$1.25m compared to -$2.0m for Q2 2019. Q2 2020 includes $1.3m in social security cost for exercised share options in the quarter.
• For the first half year 2020 EBITDA was -$2.2m (including $1.3m in social security cost for exercised share options) compared to -$4.2 million as reported for the corresponding period 2019.
• The Kahoot! Group had positive cash flow from operations of $3.8m in Q2 2020, compared to -$1.5m in Q2 2019. For the first half year 2020, cash flow from operations was $4.8m compared to -$3.3m for the corresponding period 2019.
• Cash and cash equivalents per the end of Q2 2020 were $73.4m whereof approx. $7.4m is payable in Q3 for employee withholding taxes, social security cost and transaction cost related to the new share issue and share option exercise in the quarter. The net cash position following these payments are $66m including the net proceeds from new share issues of $25m. The company has no interest-bearing debt.

About Kahoot!

Kahoot! is on a mission to make learning awesome! We want to empower every child, student and employee to unlock their full learning potential. Our game‐based learning platform makes it easy to create, share and play learning games driving compelling engagement. In addition, our family of apps takes math learning to a new level and empowers children to learn to read through play. Launched in 2013, Kahoot!’s vision is to build the leading learning platform in the world. Over the past 12 months, over 200 million games were played on the Kahoot! platform with more than one billion participating players in 200 countries. The company is headquartered in Norway with offices in the US, the UK, France, and Finland. Let’s play!