NACON reported 118.7 million euros in consolidated sales for the first nine months of the 2022-23 financial year, a 4.5% year-over-year decrease.
The video games division grew 59.0% to 66.1 million euros, bolstered by a 39.7% increase in back catalogue sales and titles such as WRC Generations, Steelrising, and Session Skate Sim.
The accessories segment contracted by 37.8% to 49.0 million euros, driven by global new-generation console shortages and distributor inventory caution.
Third-quarter sales specifically fell 19.6% to 41.1 million euros, reflecting the sharp decline in hardware performance despite software gains.
Management projects full-year sales and operating income to slightly exceed the previous year's performance.
Growth for the 2023-24 financial year is expected to be driven by a pipeline of approximately twenty new titles, including The Lord of the Rings: Gollum and RoboCop: Rogue City, alongside a projected recovery in the accessories market.
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.
