FinancialNacon
Universal Registration Document: Including the 2021/22 Annual Financial Report
1 Jun 2022311 pages~751 min full read
Nacon’s 2021/22 revenue declined 12.3% to €155.9 million, with net income falling to €9.97 million due to the postponement of four major titles and hardware supply chain constraints.
The company is aggressively pursuing vertical integration, having acquired 16 in-house studios—including Big Ant Studios and Daedalic Entertainment—to secure its position as a premium 'AA' publisher.
Accessories remain the company's primary revenue driver, accounting for 62% of total sales, while digital channels now represent 73% of video game revenue.
To fund its expansion, Nacon shifted from a net cash position to a net debt of €10.4 million, supported by €52.5 million in new bank loans.
Intangible assets grew to €137.4 million as the company scaled its workforce to 852 employees to support a development pipeline of nearly 50 games.
The 'Nacon 2023' strategy targets a revenue increase to over €250 million for the 2022/23 fiscal year, relying on its diversified portfolio of racing, RPG, and simulation titles.
Nacon’s 2021/22 Universal Registration Document details the company’s strategic evolution into a leading "AA" video game publisher and premium accessory manufacturer. Covering the fiscal year ending March 31, 2022, the report outlines a period of aggressive vertical integration and portfolio diversification. The primary thesis centers on securing the global gaming value chain by acquiring 16 in-house development studios and leveraging synergies between high-performance hardware and specialized software niches, such as racing, RPGs, and simulations.
Financial performance for the period reflected significant investment despite macroeconomic headwinds. Consolidated revenue fell 12.3% to €155.9 million, and net income decreased to €9.97 million, primarily due to the strategic postponement of four major titles and global console shortages affecting accessory sales. However, the company significantly strengthened its long-term asset base, with intangible assets rising to €137.4 million and the successful acquisition of five studios, including Big Ant Studios and Daedalic Entertainment. To fund this expansion, Nacon transitioned from a net cash position to a net debt of €10.4 million, supported by €52.5 million in new bank loans while remaining compliant with all financial covenants.
The scope of operations is global, with a strong emphasis on the European and North American markets. Digital sales now dominate the software segment, accounting for 73% of video game revenue, while the accessories division remains the largest overall revenue driver at 62%. Personnel growth was substantial, with the headcount rising to 852 employees. Looking forward, the "Nacon 2023" strategy targets revenues exceeding €250 million for the 2022/23 fiscal year, driven by a robust release pipeline of nearly 50 games in development and continued leadership in the premium controller and headset markets.
