Alan Wake

Remedy Entertainment Q1 2023 Financial Results

Remedy Entertainment’s Q1 2023 financial results reflect a strategic investment phase characterized by a planned decline in revenue and profitability as the company scales its multi-project development pipeline.

• Remedy Entertainment reported a 45.4% revenue decline to 6.9 million EUR in Q1 2023, down from 12.7 million EUR in Q1 2022, due to the timing of project milestones.
• The company recorded an operating loss of 5.6 million EUR for the quarter, resulting in an operating profit margin of -81.0% compared to a positive 21.8% margin in the same period last year.
• Remedy is currently managing five concurrent projects, including the full production of Alan Wake II and the early-stage development of Control 2, Condor, and the Max Payne 1&2 remake.

Remedy Entertainment Business Review: January-March 2023

Remedy Entertainment’s business review for the first quarter of 2023 highlights a period of intensive investment as the company advances its multi-project development roadmap.

• Remedy Entertainment reported a 45.4% year-over-year revenue decline to EUR 6.9 million for Q1 2023, resulting in an operating loss of EUR 5.6 million compared to a EUR 2.8 million profit in the same period last year.
• The company is intentionally sacrificing short-term profitability to transition toward a self-financed model, aiming to secure long-term royalty-based revenue growth.
• Development is currently focused on five active projects, with Alan Wake 2 in the final stages of full production and others including Control 2, Codename Condor, Codename Vanguard, and the Max Payne 1&2 remake.

Remedy Annual Report 2022

Remedy Entertainment is undergoing a fundamental strategic transformation, shifting from a traditional development-fee model toward a scalable, high-margin business focused on co-publishing and owning intellectual property.

• Remedy is shifting its business model from a traditional development-fee structure to a high-margin strategy focused on co-publishing and retaining ownership of its intellectual property.
• The company is scaling its operations to support a multi-project pipeline capable of managing five major titles simultaneously, with a goal of launching one new game per year.
• Fiscal year 2022 saw a revenue decline to €43.6 million and an operating loss of €0.6 million as the company pivoted toward self-funding its development costs.

The Games We Watched: Lurkit’s Top 500 Global Stream Report

The global gaming industry experienced a period of significant contrast in 2023, characterized by record-breaking streaming engagement despite internal industry volatility such as widespread layoffs.

• The top 500 games generated nearly 15 billion hours of viewership on Twitch in 2023, despite broader industry volatility.
• Market engagement is highly concentrated, with just 11 titles accounting for 50% of the total viewership among the top 500 games.
• Grand Theft Auto V was the most-watched title of 2023, accumulating 1.3 billion hours of viewership.

Remedy Entertainment Q3 2022 Financial Results

Remedy Entertainment’s third-quarter 2022 financial results reflect a period of strategic investment and portfolio expansion, characterized by revenue growth alongside a decline in profitability.

• Remedy reported a 6.8% revenue increase to 7.9 million EUR in Q3 2022, though profitability declined with an operating loss of 3.0 million EUR and an EBITDA of -2.4 million EUR.
• Financial losses are primarily driven by increased external development costs and a growing headcount, which reached 360 employees by the end of September 2022.
• The development pipeline is headlined by Alan Wake 2 in full production for a 2023 launch, alongside the Max Payne 1&2 remake currently in the concept stage.

Remedy Entertainment Plc: Business Review January–September 2022

Remedy Entertainment’s business review for the first nine months of 2022 outlines a strategic transition toward a multi-project development model, characterized by increased investment in game production and a shift in business focus.

• Remedy Entertainment is transitioning from a development-fee model to a self-financed, high-margin business, resulting in an operating loss of EUR -2.7 million for the first nine months of 2022 compared to a EUR 1.1 million profit in 2021.
• Revenue grew by 20.2% to EUR 30.0 million during the January–September 2022 period, though profitability was offset by increased investment in internal project development.
• The company is managing five active projects, including Alan Wake 2, which remains on schedule for a 2023 release, and the Max Payne 1&2 Remake, Codename Condor, Codename Heron, and Vanguard.

Remedy Half-Year Report 2022: Presentation

The Remedy Entertainment half-year report for 2022 outlines the company’s financial performance and strategic trajectory during a period of significant investment.

• Remedy is prioritizing a multi-project development model, currently managing five active titles including Alan Wake II and the Max Payne 1&2 remake.
• Q2 2022 revenue remained flat at 9.4 million euros, while operating profit fell to -2.4 million euros, representing an operating margin of -25.6%.
• The decline in profitability is driven by a strategic decision to increase personnel, expand resources, and invest in external development costs.

Remedy Entertainment Half-Year Report: January-June 2022

Remedy Entertainment’s half-year report for the period ending June 30, 2022, outlines a strategic transition period characterized by significant investment in long-term game development projects.

• Remedy Entertainment’s revenue grew 25.8% to EUR 22.1 million in the first half of 2022, though operating profit (EBIT) declined to EUR 0.4 million from EUR 1.3 million in the prior year.
• The company reported a Q2 2022 operating loss of EUR -2.4 million, driven by heavy investment in active development projects including Alan Wake 2 and Codename Condor.
• Remedy is executing a strategic shift toward a business model based on predictable long-term development fees supplemented by scalable royalty streams.

Remedy Entertainment Business Review: January 1 – March 31, 2022

Remedy Entertainment’s business review for the first quarter of 2022 highlights a period of significant financial growth and strategic expansion.

• Remedy Entertainment reported Q1 2022 revenue of 12.66 million euros, a 55.9% increase year-over-year, driven by development fees from projects including Alan Wake 2, Codename Vanguard, and Codename Condor.
• Operating profit improved to 2.76 million euros from a 0.20 million euro loss in Q1 2021, while cash flow from operations reached a record high of 17.71 million euros.
• The company entered a partnership with Rockstar Games to develop remakes of Max Payne and Max Payne 2, while also launching CrossfireX on Xbox platforms in February 2022.

Remedy Entertainment Plc Annual Report 2021

Remedy Entertainment demonstrated robust financial health throughout 2021, characterized by a revenue of €44.7 million and an operating profit of €14.7 million.

Remedy Annual Report 2021

Remedy Entertainment achieved record financial performance in 2021, generating €44.7 million in revenue and maintaining a robust 32.9% operating profit margin.

• Remedy Entertainment achieved record 2021 revenue of €44.7 million with a 32.9% operating profit margin.
• The company is transitioning from traditional subcontracting to a multi-project model focused on co-publishing and service-based business structures.
• Strategic growth is driven by the expansion of the Control and Alan Wake franchises, including the development of Alan Wake 2 in partnership with Epic Games.

Financial Statement Bulletin January–December 2021

The 2021 Financial Statement Bulletin for Remedy Entertainment outlines a period of significant operational growth and strategic expansion within the global video game industry.