Financial11 bit studios
Annual Report 11 Bit Studios S.A. for 2018
1 Mar 201984 pages~309 min full read
11 bit studios achieved record financial performance in 2018, with revenue increasing 328.8% to 82.11 million PLN and net profit rising nearly tenfold to 37.55 million PLN.
The company’s growth was primarily driven by the commercial success of the proprietary title Frostpunk and the publishing hit Moonlighter, with 82.5% of total sales originating from the United States.
To support a new release cycle of one proprietary title every 12–18 months, the company is transitioning to a multi-team model and plans to double its workforce to 200 employees.
The studio invested 18.1 million PLN in a new Warsaw headquarters and allocated significant capital toward the development of 'Project 8' and its proprietary game engine.
The company maintains a strong liquidity position with 109.3 million PLN in total assets and was promoted to the mWIG40 index on the Warsaw Stock Exchange following its 2018 performance.
Following the sale of its subsidiary Games Republic Limited, the company shifted its strategic focus toward internal development and high-potential publishing projects.
Founders Grzegorz Miechowski, Przemysław Marszał, and Michał Drozdowski maintain stable corporate governance, collectively holding approximately 16% of the company's share capital.
The 2018 fiscal year marked a transformative period of record-breaking financial and operational growth for 11 bit studios S.A. Driven by the commercial success of the proprietary title *Frostpunk* and the publishing hit *Moonlighter*, the company reported a 328.8% increase in revenue to 82.11 million PLN and a nearly tenfold rise in net profit to 37.55 million PLN. This performance was underpinned by the global digital distribution market, with the United States accounting for 82.5% of total sales. Following the sale of its subsidiary Games Republic Limited, the company transitioned to a standalone entity, focusing its capital on internal development and high-potential publishing projects.
Strategically, the firm is shifting toward a multi-team model to support a release cycle of one proprietary title every 12–18 months. To facilitate this, the company plans to double its workforce to 200 employees and invested 18.1 million PLN in a new Warsaw headquarters. Significant capital was also allocated to "Project 8" and the enhancement of its proprietary game engine. While the company maintains a strong liquidity position with 109.3 million PLN in total assets, it manages risks associated with high USD currency exposure and the competitive landscape for specialized talent and intellectual property rights.
Corporate governance remained stable under the leadership of founders Grzegorz Miechowski, Przemysław Marszał, and Michał Drozdowski, who collectively hold approximately 16% of the share capital. The company adopted new IFRS 9 and 15 standards to modernize revenue recognition and financial instrument classification. Beyond financial metrics, the studio reinforced its commitment to social responsibility, donating over 648,000 PLN to the War Child foundation. This combination of fiscal discipline, strategic infrastructure investment, and successful product launches led to the company’s promotion to the mWIG40 index on the Warsaw Stock Exchange.
