Updated Mar 17, 2026 by Nacon
Financial · April 27, 2020
Published by Nacon
Nacon reported annual sales of 129.4 million euros for the 2019/20 fiscal year, representing a 14.4% increase over the previous year. This growth was primarily driven by the software segment, where game sales rose 40.6% to 70.7 million euros. A significant shift toward digital distribution occurred during the period, with digital sales accounting for 69% of total game revenue compared to 41% in the prior year. This transition was accelerated in the fourth quarter by global lockdown measures, which saw digital game sales multiply 2.7 times over the same period in the previous year. The accessories segment experienced a 4.8% decline, totaling 52.6 million euros. This decrease was attributed to a high comparison base from major controller releases in the prior year and the closure of physical retail locations due to the health crisis. Despite a 15.5% decline in total fourth-quarter business, the company raised its current operating margin target to exceed 16%. Management noted that the higher margins associated with digital game sales effectively offset the revenue slowdown in physical accessories. Nacon maintains a strong liquidity position with 100 million euros in available cash following a successful initial public offering in March 2020. The company’s geographic footprint includes 16 subsidiaries and distribution across 100 countries. Looking forward, the organization remains confident in its 2022/23 strategic plan, targeting sales between 180 and 200 million euros. Operational stability is supported by normalized procurement from suppliers and a transition to teleworking for development teams, with no major delays anticipated for upcoming titles such as WRC9 and the expansion of the newly acquired RIG headset brand into the United States and Australia.
Press release Lesquin, 27 April 2020, 18:00 2019/20 ANNUAL SALES UP 14.4% TO 129.4 M€ IN LINE WITH TARGETS CURRENT OPERATING MARGIN (2) RATE TARGET RAISED IN EXCESS OF 16% 100 M€ CASH AVAILABLE THANKS TO THE SUCCESSFUL IPO 2019 /20 2018 /19 Change IFRS – M€ Sales 1<sup>st</sup> Half<sup>(3)(4)</sup> 63. 7 48. 6 +31 .3 % 3<sup>rd</sup> Quarter<sup>(1)</sup> 40. 5 34. 7 +16 .4 % 4<sup>th</sup> Quarter<sup>(1)</sup> 25.2 29.8 -15 .5% Of which Games 15.7 10.4 +51.4% Of which Accessories 8.5 17.7 -52.2% Of which Others<sup>(4)</sup> 1.0 1.7 -41 .6% 2019/2020 (12 months) 129.4 113.1 +14.4% Of which Games 70.7 50.3 +40.6% Of which Accessories 52.6 55.2 -4.8% Of which Others<sup>(4)</sup> 6.1 7.6 -20 .1%
7 50.3 +40.6% Of which Accessories 52.6 55.2 -4.8% Of which Others<sup>(4)</sup> 6.1 7.6 -20 .1% (1) Non audited data (2) Current Operating Margin = Current Operating Income rate = Current Operating Income as a percentage of sales. 3) Sales flows for the Gaming business prepared on the basis of Bigben Interactive's accounting records. These flows integrate development studio acquisitions as from their actual acquisition date. (4) The “Other” sales come from the Mobile and Audio turnover remaining with the Nacon subsidiaries which were not carved off during the partial asset contribution from Bigben Interactive to Nacon. These are included in the "Mobile" and "Audio" categories of Bigben's sales. Business slowdown in the 4th quarter In the 4th quarter of the 2019/20 fiscal year (from January 1 to March 31, 2020), business declined by 15.5% adversely impacted by a product base effect on Accessories and to a lesser extent to the exceptional consequences from the Covid-19 health crisis with the closing of points of sale. GAMES
n the 4th quarter of the 2019/20 fiscal year (from January 1 to March 31, 2020), business declined by 15.5% adversely impacted by a product base effect on Accessories and to a lesser extent to the exceptional consequences from the Covid-19 health crisis with the closing of points of sale. GAMES Turnover was up sharply at €15.7 million (compared with €10.4 million for the 4th quarter 2018/19) thanks to the boom in digital sales, benefiting in particular from the "lockdown" effect, which “boosted” games sales. The latter were multiplied 2.7 fold over the period and represented 11.0 M€ in sales over the quarter compared to 4.1 M€ sales in the same quarter of the previous financial year. This growth in digital sales relies on a strong back catalogue growing over the years. Regarding physical retail sales, the launches of AO Tennis 2, Rugby 20, Overpass and TT Isle of Man 2 were in line with expectations. ACCESSORIES Accessories fell sharply (8.5 M€ vs. 17.7 M€ a year earlier) due to a product base effect (release in Q4 2018/19 of the two controllers REVOLUTION Unlimited Pro Controller and Asymmetric Wireless for PS4™). In addition, the mandatory closing of numerous stores linked to the Covid-19 health crisis also impacted sales of Accessories in the second half of March.
A 2019/20 year of growth driven by the momentum of new games and digital sales With 129.4 M€ sales and despite the drop in Q4 2019/20, Nacon reached the sales guidance set on its Initial Public Offering (between 127 and 133 M€). GAMES Games generated 70.7 M€ sales, representing a 40.6% growth. This development was driven by the success of numerous new games, including Warhammer®: Chaosbane and WRC8, which achieved a Metacritic score of 79%. Digital sales continued to grow strongly, reaching 48.9 M€ compared to 20.3 M€ for the previous year. They thus represented 69% of Games sales, compared to 41% a year earlier. This growth is in line with market evolution and reached a peak at the end of March linked to the effects of population lockdown. ACCESSORIES Accessories posted sales of 52.6 M€, down 4.8% due to the absence of any major new accessory releases during the financial year, with the exception of the REVOLUTION Pro Controller 3 for PS4<sup>TM</sup> . 2019/20 Current Operating Income target raised The health crisis impacted Accessory sales at the end of the financial year but improved digital sales of games, the slight decline in global sales being offset by a margin improvement due to the growth in digital sales. Therefore Nacon should exceed its target of a current operating margin<sup>(2)</sup> of 16% for the full 2019/20 financial year. (2) Current Operating Margin = Current Operating Income rate = Current Operating Income as a percentage of sales. Outlook: a 1st quarter 2020/21 approached with confidence
fore Nacon should exceed its target of a current operating margin<sup>(2)</sup> of 16% for the full 2019/20 financial year. (2) Current Operating Margin = Current Operating Income rate = Current Operating Income as a percentage of sales. Outlook: a 1st quarter 2020/21 approached with confidence The Covid-19 crisis has a double impact: negative in the short term on the Accessories but positive on the digital sales of games, the cumulative effect being slightly negative in terms of turnover but positive in terms of operating profit given the higher digital margins. From an operations point of view, support services and development teams have been largely asked to telework. It has only been resorted to short-time working for employees whose work has been suspended or deemed unsuitable for teleworking. Procurement of accessories from Group suppliers has returned to normal. Nacon can rely on the momentum of its digital sales and has invested in the optimisation of its e-commerce sites dedicated to its main product ranges. No major delay is anticipated in the release schedule of new games. The launch of TT Isle of Man 2 on SWITCH<sup>TM</sup> , Tour de France, Pro Cycling Manager and Hunting Simulator 2 in the first quarter and WRC9 in the second quarter should boost sales for the 1<sup>st</sup> half of FY 2020/21 (from April 1 to September 30). Further to the agreement reached with "Poly" (Plantronics Inc.) in the last quarter of 2019/20 relating to the purchase of its gaming headsets and the RIG<sup>TM</sup> premium brand, Nacon will deploy RIG<sup>TM</sup> headsets in the USA and in Australia.
1 (from April 1 to September 30). Further to the agreement reached with "Poly" (Plantronics Inc.) in the last quarter of 2019/20 relating to the purchase of its gaming headsets and the RIG<sup>TM</sup> premium brand, Nacon will deploy RIG<sup>TM</sup> headsets in the USA and in Australia. Nacon does not anticipate any cash-flow difficulties in the coming months, as it has significant cash resources related to its recent Initial Public Offering which enabled it to raise 109 M€ in March 2020. Finally, Nacon is maintaining the targets linked to its "NACON 2023" plan, with sales of between €180 and €200 million and a Current Operating Margin<sup>(2)</sup> in excess of 20% for the 2022/23 financial year. The company will disclose its targets for FY 2020/2021 while releasing its FY 2019/2020 year-end results on May 25, 2020. (2) Current Operating Margin = Current Operating Income rate = Current Operating Income as a percentage of sales.
Nacon achieved a significant 24.5% increase in sales during the first quarter of the 2020/21 fiscal year, reaching €38.0 million compared to €30.5 million in the previous year. This growth was primarily driven by a surge in the accessories segment and the acceleration of digital game sales, effectively offsetting a decline in new game revenue caused by a high comparison basis from the prior year. The reporting period covers April 1 to June 30, 2020, a timeframe characterized by global lockdown measures that influenced consumer behavior toward digital entertainment. The accessories division emerged as a primary growth engine, with sales rising 134.9% to €22.5 million. This performance was bolstered by the acquisition of the RIG premium headset brand and the establishment of a United States subsidiary, allowing the company to capitalize on a thriving market for controllers and audio equipment. Conversely, game sales fell 27.4% to €14.5 million due to fewer major releases; however, back-catalogue sales surged by 340% to €10.8 million. Digital distribution became the dominant channel for software, accounting for 80.7% of total game turnover during the quarter. Looking forward, the company maintains its financial targets for the full 2020/21 fiscal year, projecting sales between €140 million and €150 million with an 18% current operating income rate. Growth is expected to continue through the release of titles such as WRC 9 and Tennis World Tour 2, alongside a new partnership with Microsoft for next-generation console controllers. Long-term strategic goals for the 2022/23 fiscal year remain fixed at sales between €180 million and €200 million, supported by a global distribution network spanning 100 countries and a workforce of approximately 510 employees.
Nacon reported significant financial growth for the third quarter of the 2020/21 fiscal year, with sales reaching 48.7 million euros, a 20.3% increase over the previous year. This performance contributed to a cumulative nine-month revenue of 135.3 million euros, representing nearly 30% growth compared to the same period in 2019/20. The results highlight a strategic shift toward high-margin digital sales and premium hardware, despite a temporary decline in new game releases during the quarter. The accessories segment served as the primary growth engine, surging 58.7% to 32.5 million euros. This expansion was driven by the success of RIG headsets and licensed controllers. While overall game sales fell by nearly 20% due to a limited release schedule focused on niche titles like Monster Truck and Handball 21, the back catalogue performed exceptionally well. Revenue from older titles grew by 216%, and digital sales increased to account for 74.4% of total quarterly game revenue. Looking ahead, Nacon confirmed its annual targets, projecting full-year sales at the top end of the 160-170 million euro range with an 18% current operating margin. Growth is expected to continue through the release of new titles for next-generation consoles and the acquisition of Big Ant, an Australian studio specializing in sports simulations. To fund further studio acquisitions and game development, the company announced it will not pay dividends for the current fiscal year. Long-term projections for the 2022/23 financial year remain ambitious, with sales targets between 180 and 200 million euros.
Nacon achieved record financial results for the 2020/21 fiscal year, generating 177.9 million euros in sales. This performance represents a 37.5% increase over the previous year and exceeds the company’s upwardly revised targets. Growth was particularly robust in the fourth quarter, which saw a 68.7% surge in revenue driven by the resilience of the gaming accessories market and the steady performance of the software publishing division. The accessories segment emerged as the primary growth engine, nearly doubling its revenue to 103.2 million euros. This success was attributed to the integration of premium RIG headsets, strong demand for licensed controllers on the established PlayStation 4 base, and the launch of new peripherals for the Xbox Series X|S. Despite global component shortages, proactive supply chain management allowed for consistent delivery to retail channels. In the gaming division, while overall sales remained stable at 69.1 million euros, back-catalogue revenue tripled to 31.0 million euros. Digital sales continued their upward trajectory, accounting for 75% of total game revenue in the final quarter. Strategically, the period was defined by aggressive expansion following a 2020 IPO. The company acquired three development studios—Neopica, Passtech Games, and BigAnt Studios—and established a direct presence in the United States. With a confirmed current operating income rate of 18%, the company anticipates further momentum as it integrates these new studios and releases a pipeline of titles scheduled through 2024. Consequently, management intends to revise its long-term 2023 strategic plan upwards to reflect this accelerated growth and increased operating margins.
Nacon’s audited consolidated financial results for the fiscal year ending March 31, 2020, reveal a period of significant growth and successful structural transition following its initial public offering. The company reported annual sales of 129.4 million euros, representing a 14.4% increase over the previous year. This growth was primarily driven by a surge in digital game sales, which accounted for 69% of total gaming revenue. Profitability metrics showed even stronger momentum, with current operating profit rising 80.3% to 22.6 million euros and net profit increasing 41.8% to 15.3 million euros. The financial data reflects Nacon’s evolution from a division of Bigben Interactive into a standalone entity. Following its March 2020 IPO, which raised 103 million euros, the company significantly strengthened its balance sheet, ending the period with 110.9 million euros in cash and a negative net debt of 42.8 million euros. This capital injection is intended to fund the "NACON 2023" plan, which focuses on studio acquisitions and the development of AA games—defined as titles with budgets between 1 and 20 million euros—to establish the company as a global leader in that segment. Looking forward, the outlook remains positive as the company anticipates sales between 140 and 150 million euros for the 2020/21 fiscal year. Management noted that while the Covid-19 pandemic disrupted some operations, it simultaneously boosted digital software sales. Strategic priorities include expanding the Games as a Service (GaaS) model, leveraging 5G for cloud gaming, and growing the premium accessories business through brands like RIG. Long-term targets for the 2022/23 financial year include reaching sales of up to 200 million euros with an operating margin exceeding 20%. To support these growth initiatives, the Board of Directors elected to reinvest all cash flows rather than issuing a dividend.