Related Documents
Financial
First-Quarter 2023/24 Sales: Confirmation of 2023/24 Guidance
NACON reported consolidated sales of €38.5 million for the first quarter of the 2023/24 financial year, representing a 9.3% decrease compared to the same period in the previous year. This performance reflects a transitional phase for the company, characterized by a stable gaming software segment and a significant decline in hardware accessories. While the gaming business remained relatively flat at €27.4 million, new game releases saw a 4.5% increase in revenue. This growth was driven by the strong performance of titles such as Ravenswatch, Tour de France, and TT Isle of Man Ride on Edge 3, which offset the underperformance of The Lord of the Rings: Gollum. The accessories division experienced a 25.5% drop in sales, falling to €10.4 million. This decline is attributed to market cycles, though management anticipates a recovery starting in the third quarter as the installed base of current-generation consoles grows and new premium peripherals are launched. Back catalogue sales also saw a slight contraction of 6.8%, totaling €11.8 million, which the company attributes to a high comparison base from the previous year’s exceptional growth. Despite the initial quarterly dip, the outlook for the remainder of the 2023/24 fiscal year remains positive. The company confirmed its annual guidance, projecting strong growth in both sales and operating income. This optimism is supported by an aggressive release schedule featuring approximately 20 new titles, including high-profile games like RoboCop: Rogue City and Gangs of Sherwood. The strategy focuses on leveraging a diverse portfolio of 16 development studios and a global distribution network to capitalize on upcoming software launches and a revitalized accessories market.
NaconJul 2023
Financial
First Half 2022/23 Sales
NACON reported consolidated sales of 77.5 million euros for the first half of the 2022-2023 fiscal year, representing a 6.2% increase compared to the previous year. This growth was driven primarily by a robust performance in the video game publishing segment, which saw a 72.3% increase in revenue to 47.0 million euros. Within this segment, new catalogue titles surged by 130%, supported by releases such as Steelrising and Session Skate Sim, while the back catalogue grew by 33%. These gains helped offset a significant downturn in the accessories division, where sales fell 34.7% to 28.6 million euros due to a high base effect in the United States and a general decline in the global gaming headset market. The financial outlook for the remainder of the fiscal year is characterized by a downward revision of annual targets. While the company previously anticipated sales exceeding 250 million euros and operating income over 50 million euros, it now acknowledges these goals are unattainable. This shift is attributed to lower-than-expected catalogue sales, the postponement of major titles like The Lord of the Rings: Gollum to 2023, and ongoing supply chain tensions regarding new console hardware. Despite these challenges, NACON expects year-over-year growth in both sales and operating income compared to the prior fiscal year. Looking ahead to the second half of the year and into the 2023-2024 period, the strategy focuses on a dense release schedule including WRC Generations, Blood Bowl 3, and Transport Fever 2 Console Edition. The company maintains a positive medium-term outlook, anticipating that the expansion of its back catalogue and a diversified publishing lineup will accelerate growth and improve operating profitability. The data covers the six-month period ending September 30, 2022, reflecting the performance of NACON’s 16 development studios and its global distribution network across 100 countries.
NaconOct 2022
Financial
Q3 2022/23 Sales
NACON reported consolidated sales of 118.7 million euros for the first nine months of the 2022-23 financial year, representing a 4.5% decrease compared to the previous year. This performance was characterized by a significant divergence between the company’s two primary business segments: video game publishing and hardware accessories. While the third quarter specifically saw a 19.6% decline in overall sales to 41.1 million euros, the underlying data reveals a robust expansion in software offset by a sharp contraction in the accessories market. The video games division experienced substantial growth, with nine-month sales rising 59.0% to 66.1 million euros. This surge was driven by both new releases and a strong back catalogue, which grew by 39.7%. Key contributors included titles such as WRC Generations, Steelrising, and Session Skate Sim. Conversely, the accessories segment fell by 37.8% over the nine-month period, totaling 49.0 million euros. This decline is attributed to the global shortage of new-generation consoles and cautious inventory management by distributors, which suppressed demand for peripherals. Geographically and operationally, the results cover NACON’s global distribution network across 100 countries from April 1 to December 31, 2022. Despite the hardware headwinds and the delayed release of several major titles, the company expects full-year sales and operating income to be slightly higher than the previous year. Looking ahead to the 2023-24 financial year, growth is expected to accelerate through a pipeline of approximately twenty new games, including high-profile releases like The Lord of the Rings Gollum and RoboCop: Rogue City, alongside a projected rebound in the accessories market as console supply stabilizes.
NaconJan 2023
Financial
Q1 2021/22 Sales
Nacon achieved sales of 33.7 million euros during the first quarter of the 2021/22 fiscal year, representing an 11.3% decline compared to the same period in the previous year. This decrease is attributed primarily to an exceptionally high comparison basis from the first quarter of 2020/21, when global lockdowns significantly inflated consumer demand for digital entertainment and gaming hardware. Despite the year-over-year dip, the results demonstrate a structural growth trend when compared to pre-pandemic levels, particularly within the digital back catalogue. The video games segment generated 12.2 million euros, a 16% decrease from the prior year. However, back catalogue sales remained resilient at 9.2 million euros, nearly four times higher than the 2.4 million euros recorded during the same period in 2019/20. New releases such as Roguebook and Pro Cycling Management 2021 contributed to this performance. In the accessories division, sales fell 8.8% to 20.6 million euros. While the initial launch of RIG helmets in the United States created a difficult year-over-year comparison, other accessory lines grew by 19%, driven by strong demand for PlayStation 4 and Xbox Pro Compact controllers. Management maintains a positive outlook for the remainder of the fiscal year, anticipating growth in the second half driven by a robust release schedule including titles such as WRC 10 and Vampire: The Masquerade – Swansong. Financial targets for 2021/22 remain unchanged, with projected sales between 180 and 200 million euros and a current operating margin of 20%. Looking further ahead to 2022/23, the company expects to reach sales between 230 and 260 million euros, supported by major upcoming releases such as The Lord of the Rings: Gollum and Test Drive Unlimited Solar Crown.
NaconJul 2021