Remedy Entertainment Financial Statements Release 2024

Key insights

6 takeaways

01
Remedy Entertainment increased annual revenue by 49.3 percent to EUR 50.7 million in 2024, driven by the sale of over two million units of Alan Wake 2.See it on page 9
02
The company narrowed its net loss to EUR 3.6 million in 2024, a significant improvement from the EUR 22.7 million loss reported in 2023.See it on page 16
03
Operational cash flow turned positive at EUR 12.3 million, marking a recovery from the negative cash flow recorded in the previous fiscal year.See it on page 9
04
Remedy is transitioning to a self-publishing model, supported by the acquisition of the Control franchise rights and the upcoming release of FBC: Firebreak.See it on page 6
05
The company holds a balance sheet of EUR 99.3 million, bolstered by a EUR 15 million convertible loan from Tencent and an increase in intangible assets to EUR 39.8 million.See it on page 17
06
Management has set a 2027 target to double 2024 revenue while achieving a 30 percent EBITDA margin.See it on page 5

Summary

Remedy Entertainment achieved a significant financial turnaround in 2024, characterized by a 49.3 percent surge in annual revenue to EUR 50.7 million. This growth was primarily fueled by the commercial success of Alan Wake 2, which surpassed two million units sold and triggered essential royalty accruals. While the company recorded a net loss of EUR 3.6 million, this represents a substantial improvement over the EUR 22.7 million loss reported in the previous fiscal year. Operational efficiency also strengthened, as evidenced by a shift to a positive operating cash flow of EUR 12.3 million, a marked recovery from the negative cash flow experienced in 2023.

The company is currently executing a strategic transition toward a self-publishing model, exemplified by the upcoming release of FBC: Firebreak and the recent acquisition of the Control franchise publishing rights. This pivot is supported by a robust balance sheet totaling EUR 99.3 million, bolstered by a EUR 15 million convertible loan from Tencent and an increase in intangible assets to EUR 39.8 million. These capital investments reflect a long-term commitment to internal intellectual property development and reduced reliance on external publishing partners.

Looking toward 2027, the organization has established ambitious growth targets, aiming to double its 2024 revenue while achieving a 30 percent EBITDA margin. Despite these positive indicators, management maintains a cautious outlook, acknowledging the inherent development risks associated with self-publishing ventures. By balancing aggressive expansion goals with disciplined financial management, the company seeks to solidify its position as a self-sustaining developer and publisher within the global interactive entertainment industry.