Consolidated Quarterly Report for First Quarter 2024

PCF Group demonstrated a significant operational recovery during the first quarter of 2024, characterized by a substantial increase in consolidated revenue to PLN 56.9 million, up from PLN 34.9 million in the same period of 2023. This growth was primarily driven by a surge in the self-publishing segment, which rose from PLN 2.1 million to PLN 20.9 million, alongside steady development fees from major external partnerships such as Project Gemini with Square Enix and Project Maverick with Microsoft. While the Group reported a consolidated net loss of PLN 0.9 million, this represents a marked improvement over the PLN 4.3 million loss in the prior year, and the parent company specifically achieved a net profit of PLN 5.7 million.

The Group’s strategic focus remains on a diversified five-year development pipeline. Key milestones include the advancement of Project Victoria into the vertical slice phase and the continued development of Project Bifrost. However, the period was also marked by portfolio optimization, most notably the cancellation of Project Dagger, which resulted in a PLN 68.3 million non-cash write-off. Additionally, following the underperformance of Bulletstorm VR, the Group terminated its agreement with Incuvo S.A. to assume full commercial control over the title.

Financially, the Group maintains a stable position with total assets valued at PLN 505.1 million and a strong liquidity cushion of PLN 118.4 million in cash. Although operating costs rose to PLN 82.4 million to support expanded development and self-publishing structures, positive operational cash flow of PLN 15.9 million helped offset heavy investments in intangible assets. Management has confirmed the Group’s status as a going concern but does not anticipate dividend payments until at least the 2025 fiscal year, prioritizing capital reinvestment into its international production hubs and internal IP development.