Nitro Games

Nitro Games transitioned its corporate strategy during the first half of 2026, prioritizing long-term profitability and operational efficiency over aggressive top-line revenue growth. This strategic pivot resulted in a revenue contraction to EUR 2.5 million, down from EUR 4.1 million in the previous year. Despite this decline, the company achieved a net profit of EUR 1.1 million, marking a significant turnaround from the EUR 401,000 loss recorded during the same period in 2025. This financial improvement was bolstered by a substantial increase in operating cash flow to EUR 2.2 million and the capitalization of EUR 519,000 in development costs, even as the average workforce was streamlined to 40 employees.

The company’s bottom-line performance was heavily influenced by a one-off, non-cash gain resulting from the forgiveness of a EUR 1.6 million government-subsidized loan from Business Finland. While this event provided a significant boost to the balance sheet, the firm maintains a stable cash position of EUR 1.9 million. Financial reporting for this period reflects the early adoption of IFRS 18, which updated presentation standards without altering underlying cash flows or profit metrics. However, the data reveals a growing concentration of revenue, with two primary customers now accounting for more than 66% of total income.

Looking forward, the company remains focused on its core PC and console segments, which are currently demonstrating resilience by outperforming broader global gaming market trends. Growth initiatives are supported by a recently secured EUR 2.1 million service agreement and a new licensing partnership for the Warhammer franchise. These developments underscore a commitment to sustainable development and high-value project acquisition as the company navigates its current fiscal trajectory.

Nitro Games achieved a record‑breaking 2024, with revenues climbing 29 % to €11.4 million and EBITDA surging 241 % to €2.4 million, largely driven by the launch of its own IPs such as Autogun Heroes and NERF Superblast, alongside high‑profile collaborations with Warframe and Netflix. The company’s balance sheet strengthened through the amortisation of €1.8 million in capitalised costs, repayment of €1.4 million in debt, and a €0.3 million raise from Business Finland, while expanding its portfolio across PC, web, mobile and console platforms to meet cross‑platform demand.

Strategically, Nitro has implemented its NG Platform to cut development time and cost by maximising code reuse and employing a data‑driven MVP process that validates core gameplay before full production. This approach reduces risk, shortens time‑to‑market and creates reusable assets that can be leveraged internally or sold to partners, ensuring protection of investments even if a single title underperforms.

Governance is anchored by an experienced executive team—Matti, CTO Samppa Rönkä, COO Jussi Immonen and CSO Antti Villanen—supported by robust audit arrangements (MOORE Idman Oy) and clear remuneration, related‑party, and insider policies. Share ownership remains highly dispersed, with the top ten shareholders holding just 51 % and management owning 12.7 %. Personnel rose modestly to 50 employees, with salaries and bonuses driving a 12.2 % increase in personnel costs.

Financially, the company turned a €3.28 million loss in 2023 into a €475 k profit in 2024, largely due to a €2.1 million revenue increase from service‑based contracts (90 % of sales). Operating profit rose to €654 k after significant cost reductions, while cash fell from €3.83 million to €2.02 million due to higher financing outflows and asset investment. No dividend is planned, with the full profit retained in earnings.

The report confirms strong liquidity and low default risk, with no material credit‑loss provisions or impairment identified. Nitro’s financial assets total €3.25 bn, primarily cash and receivables, against liabilities of €3.91 bn, resulting in net debt of €1.60 bn (gearing 67 %). The auditor’s opinion affirms that the statements present a true and fair view in accordance with IFRS and EU statutory requirements.