THQ

THQ Nordic Q1 FY19/20 Interim Report

THQ Nordic’s Q1 FY19/20 interim report details a period of significant financial growth and operational expansion.

THQ Nordic AB Interim Report: Q1 2019

THQ Nordic AB demonstrates significant financial momentum and operational expansion during the first quarter of 2019, characterized by a 36 percent increase in net sales to SEK 1,142 million and a substantial 193 percent rise in operational EBIT to SEK 204 million.

• THQ Nordic AB reported strong Q1 2019 financial growth, with net sales rising 36% to SEK 1,142 million and operational EBIT increasing 193% to SEK 204 million.
• Digital distribution has become the company's primary revenue driver, accounting for 71% of total sales during the quarter.
• The company is managing an aggressive development pipeline of 81 active games supported by a workforce of approximately 2,500 internal and external personnel.

THQ Nordic AB Acquires Piranha Bytes: Investor Presentation

THQ Nordic AB finalized the acquisition of Piranha Bytes in May 2019 to secure a veteran development studio specializing in atmospheric open-world role-playing games.

• THQ Nordic AB acquired Piranha Bytes in May 2019 to gain full ownership of the Gothic, Risen, and ELEX intellectual property portfolios.
• The acquired assets generated approximately 18 million EUR in net revenue during the three years leading up to the acquisition.
• By bringing the studio in-house, THQ Nordic eliminates future royalty payments and captures the full value of the studio's existing cash-generating assets.

THQ Nordic Q5 FY18/19 Report

The THQ Nordic Q5 FY18/19 report outlines a period of significant financial expansion and strategic growth for the company, covering the fiscal quarter ending March 31, 2019.

• THQ Nordic achieved a 158% year-over-year increase in net sales to SEK 1,631 million and a 217% increase in operational EBIT to SEK 396 million for the quarter ending March 31, 2019.
• The company raised SEK 2.1 billion through a directed share issue to fund future mergers and acquisitions, maintaining a strong liquidity position for inorganic growth.
• Digital distribution accounted for 61% of total net sales, while owned intellectual property represented 84% of all game sales during the period.

Extended Financial Year Report: 1 Jan 2018 – 31 Mar 2019

THQ Nordic experienced a period of aggressive expansion and financial growth between January 2018 and March 2019, culminating in a significant performance surge during the first quarter of 2019.

• THQ Nordic’s net sales grew by 158% to SEK 1,630.5 million for the quarter ending March 31, 2019, compared to the same period in the previous year.
• Operational EBIT increased by 217% to SEK 395.9 million, driven by strong revenue performance and improved operational efficiency.
• The release of 'Metro Exodus' was the primary revenue driver, generating SEK 794 million in net sales, with additional contributions from 'Satisfactory' and partner publishing.

THQ Nordic AB (publ) Acquires 18POINT2: Investor Presentation

THQ Nordic AB expanded its global footprint in February 2019 through the acquisition of 18POINT2, a prominent Australian publishing and distribution firm.

• THQ Nordic acquired Australian publisher 18POINT2 in February 2019 for a total consideration of 2.4 million EUR, split equally between cash and shares, plus a potential earn-out of 0.4 million EUR.
• 18POINT2 reported 15.6 million EUR in operating income and 2.3 million EUR in EBIT for 2018, establishing itself as the eighth-largest physical software distributor in Australia as of mid-2018.
• The acquisition provides THQ Nordic with a direct operational base and retail distribution network in Australia and New Zealand, a region experiencing a 35% compound annual growth rate in console installations.

THQ Nordic AB Acquires Warhorse Studios: Investor Presentation

THQ Nordic AB finalized the acquisition of Warhorse Studios on February 13, 2019, to integrate the developer’s award-winning intellectual property and creative talent into its global portfolio.

• THQ Nordic AB acquired Warhorse Studios on February 13, 2019, for a total purchase price of EUR 42.8 million, consisting of EUR 40.4 million in cash and EUR 2.4 million in shares.
• Warhorse Studios reported strong 2018 financial performance with EUR 42.0 million in net revenue and an adjusted EBIT of EUR 27.8 million, reflecting a 61 percent EBIT margin.
• The acquisition was driven by the commercial success of Kingdom Come: Deliverance, which sold over 2 million units across PC, PlayStation 4, and Xbox One within its first year.

THQ Nordic Q4 2018 Interim Report

The THQ Nordic Q4 2018 Interim Report details a period of significant financial expansion and strategic growth for the gaming group.

• THQ Nordic experienced massive financial growth in 2018, with Q4 net sales reaching SEK 1,381 million (a 441% year-over-year increase) and full-year sales hitting SEK 4,124 million (a 713% increase).
• The company reported a Q4 EBITDA of SEK 326 million, reflecting an EBITDA margin of 24%.
• The group adopted 'Operational EBIT' as a new primary KPI to better reflect underlying performance by excluding acquisition-related amortization costs.

THQ Nordic AB Interim Report: 1 January - 31 December 2018

THQ Nordic AB achieved transformative growth during the 2018 fiscal year, fundamentally reshaping its market position through aggressive acquisitions and a diversified operational strategy.

• THQ Nordic AB achieved 713% year-over-year growth in net sales, reaching SEK 4,123.6 million for the 2018 fiscal year.
• Operational EBIT increased by 139% to SEK 484.0 million, resulting in a total net profit of SEK 293.8 million.
• The company executed a major expansion strategy through the acquisitions of Koch Media, Coffee Stain, and Bugbear.

THQ Nordic AB Acquires Bugbear Entertainment: Investor Presentation

THQ Nordic AB expanded its global development footprint in November 2018 by acquiring a 90% stake in Helsinki-based Bugbear Entertainment, with an option to purchase the remaining 10% in the future.

• THQ Nordic acquired a 90% stake in Helsinki-based Bugbear Entertainment in November 2018, with an option to purchase the remaining 10%.
• The acquisition grants THQ Nordic full ownership of Bugbear’s intellectual property, specifically the Wreckfest and Stuntfest franchises.
• Wreckfest, which sold over 400,000 units on Steam following its June 2018 release, serves as the primary driver for the acquisition due to its strong commercial performance.

THQ Nordic AB Acquires Coffee Stain: Investor Presentation

THQ Nordic AB acquired the Coffee Stain Group in November 2018 to bolster its portfolio of intellectual property and expand its publishing capabilities.

• THQ Nordic AB acquired Coffee Stain Group in November 2018 for an upfront payment of SEK 392 million, with potential earn-outs of up to SEK 535 million tied to performance targets through 2023.
• Coffee Stain operates as an independent unit under its own brand, maintaining its existing creative autonomy and management team led by CEO Anton Westbergh.
• The acquisition adds nine intellectual properties to THQ Nordic’s portfolio, most notably the 'Goat Simulator' franchise, which has achieved over 14 million units in sales.

THQ Nordic Q3 2018 Interim Report

The THQ Nordic Q3 2018 interim report details a period of aggressive expansion and significant financial growth for the company.

• THQ Nordic achieved net sales of SEK 1,273 million in Q3 2018, representing a 1,403% increase year-over-year.
• EBITDA grew 521% to SEK 215 million, while EBIT rose 278% to SEK 91 million compared to the same period in 2017.
• The company holds a development pipeline of 55 total projects, comprising 20 announced titles and 35 unannounced projects.