Revenue generated from own-IP (1st and 2nd party games) decreased to 65% of gaming revenues in 2023, down from 77% in 2022, due to changes in the portfolio mix. Conversely, revenues from the back-catalogue increased to 92% of total revenues in 2023 (up from 80% in 2022), driven by successful new releases like "I am Future" (Early Access) and "Punch Club 2".
02
The company maintains a strong social media presence with over 1.7 million followers across platforms by the end of 2023, placing it competitively with other gaming companies like Devolver Digital (1.1m) and Paradox Interactive (0.9m). They also boast c.5 billion YouTube views and over 10,000 verified influencers.
03
The top 5 games generated 46.8% of total revenues in 2023 (up from 44.8% in 2022), and the top 10 games generated 65.44% (down from 66.3% in 2022), indicating broad diversification across audiences, genres, and technologies.
04
The company incurred $3.5 million in legal settlement fees in 2023 and continues to face costs related to the Ukraine/Russia conflict, which are now included in operating expenses, with potential for future charges.
05
The company mitigates risks associated with early-stage developer engagement by providing milestone-based funding, acquiring IP as part of agreements, and adjusting budgets using data-driven approaches. They also intensify audience validation through playtests and demos to align with consumer trends.
Insights
01
Revenue generated from own-IP (1st and 2nd party games) decreased to 65% of gaming revenues in 2023, down from 77% in 2022, due to changes in the portfolio mix. Conversely, revenues from the back-catalogue increased to 92% of total revenues in 2023 (up from 80% in 2022), driven by successful new releases like "I am Future" (Early Access) and "Punch Club 2".
02
The company maintains a strong social media presence with over 1.7 million followers across platforms by the end of 2023, placing it competitively with other gaming companies like Devolver Digital (1.1m) and Paradox Interactive (0.9m). They also boast c.5 billion YouTube views and over 10,000 verified influencers.
03
The top 5 games generated 46.8% of total revenues in 2023 (up from 44.8% in 2022), and the top 10 games generated 65.44% (down from 66.3% in 2022), indicating broad diversification across audiences, genres, and technologies.
04
The company incurred $3.5 million in legal settlement fees in 2023 and continues to face costs related to the Ukraine/Russia conflict, which are now included in operating expenses, with potential for future charges.
05
The company mitigates risks associated with early-stage developer engagement by providing milestone-based funding, acquiring IP as part of agreements, and adjusting budgets using data-driven approaches. They also intensify audience validation through playtests and demos to align with consumer trends.