Financial11 bit studios
Half-Year Report of 11 Bit Studios S.A. for H1 2019
27 Aug 201948 pages~138 min full read
11 bit studios reported H1 2019 revenue of PLN 30.7 million and a net profit of PLN 6.4 million, marking a decline from the record-breaking H1 2018 period.
See it on page 39The company maintains a strong financial position with PLN 126.6 million in total assets and approximately PLN 84 million in cash and liquid assets, enabling self-funded operations.
See it on page 47Core portfolio performance remains steady, with Frostpunk reaching 1.4 million copies sold and Moonlighter surpassing 1 million players.
See it on page 36The studio is scaling internal development with a headcount of 121 employees and a PLN 20 million budget allocated to the new title 'Project 8', aiming to support three concurrent development teams.
See it on page 47The publishing division is increasing its per-project investment cap from PLN 2 million to PLN 5 million to support a target release cadence of one third-party title per quarter.
See it on page 47Despite the year-on-year profit decline, the company's market capitalization increased by over 60% during the period, signaling strong investor confidence in its long-term growth strategy.
See it on page 38Growth in H2 2019 is expected to be driven by the release of Children of Morta and the launch of Frostpunk on consoles.
See it on page 2During the first half of 2019, 11 bit studios S.A. focused on transitioning from an indie developer to a larger-scale producer of proprietary and third-party titles. Financial performance for the period saw revenue reach PLN 30.7 million and net profit total PLN 6.4 million. While these figures represent a significant year-on-year decline from the record highs of H1 2018—driven by the initial launches of Frostpunk and Moonlighter—the company maintained a robust balance sheet. Total assets grew to PLN 126.6 million, supported by a strong cash and liquid asset position of approximately PLN 84 million, which allows for the self-funding of all current operations and future investments.
The company’s stability is anchored by the continued monetization of its core portfolio, including Frostpunk, which reached 1.4 million copies sold, and Moonlighter, which surpassed 1 million players. These steady revenue streams are being reinvested into an ambitious expansion strategy. Internal development efforts have nearly doubled in investment to PLN 9.9 million as the studio progresses on "Project 8," a new title with a PLN 20 million budget. To support this growth, the company is expanding its headcount to 121 employees with the goal of maintaining three concurrent internal development teams to ensure an annual release cycle for proprietary games.
Simultaneously, the publishing division is scaling its operations by increasing per-project investment caps from PLN 2 million to PLN 5 million, aiming for a release cadence of one third-party title per quarter. Looking toward the second half of 2019, growth is expected to be driven by the launch of Children of Morta and the console releases of Frostpunk. Despite the high base effect of the previous year and non-cash provisions for employee incentive schemes, the company’s market capitalization rose by over 60%, reflecting investor confidence in its long-term strategy of scaling production and publishing capabilities.
