Don’t Nod: deterioration of accounts in 2023 – 04/17/2024 at 6:28 p.m.

(AOF) – Don’t Nod suffered a net loss of 14.83 million euros compared to a net profit of 2.55 million euros in 2022. The video game publisher notably recorded a depreciation in its accounts of 10.5 million euros, without impact on cash flow, of Harmony: the Fall of Reverie and Gerda. Economic Ebitda including tax credits (French and Canadian) reached 1.68 million euros compared to 3.5 million euros in 2022. Economic operating income increased by 6.8% to 32 .1 million euros.

The video game publisher underlines that its profitability was “impacted by an increase in costs in a launch cycle and a highly competitive and saturated market”.

As of December 31, 2023, shareholders’ equity amounts to 118.6 million euros and available cash reaches a solid level of 54.3 million euros.

After a cycle of investments, the group now wishes to “consolidate its development around three axes to sustainably strengthen value creation”.

Don’t Nod intends to capitalize on the studio’s strengths around 3 successful genres: Action-RPG, Narrative Adventure and Action Adventure.

It also intends to secure and maximize revenues from intellectual properties with a more balanced model between publishing benefiting from strategic distribution partnerships and co-production,

Don’t Nod finally plans to adapt its organization by implementing performance optimization levers to capitalize on internal talent: stabilization of the workforce, increasing integration of new technologies and optimization of purchases.


Learn more about the Video Games sector

The launch by Amazon of its “cloud gaming” offer in France highlights the diversity of approaches in this market segment.

If this niche currently represents only 1% to 4% of the total video games market, its activity should be multiplied by 3 or 4 in the three years to come. Focusing on this sector, Amazon has deployed its associated service in France, after targeting the United States, Canada, Germany and the United Kingdom. In order to make its Prime offer, at the heart of its economic model, more attractive, Amazon will make this service, called “Luna”, accessible to subscribers. However, the lack of depth of the catalog could penalize the development of this offer. This was the case for Google, which withdrew from this niche last year, after three years of operation.

Source link -86