Because the least we can say is that Don't Nod still has a way to go before finding a certain stability. The French studio has just published its results for the year 2023, the worst since its IPO in 2017. In addition to a declining turnover, Don't Nod ends the year with a net loss of 14.8 million euros, compared to a profit net of 2.5 million euros in 2022. These are certainly not the kind of results that were expected at the end of a year during which Don't Nod should have reaped the fruits of its developments with the releases of Harmony: Fall of Reverie And Ebbing. If the second was a success, the first seems to have gone completely unnoticed and is part of a depreciation of 10.5 million euros which accounts for a lot in this poor economic record.
Sales of Don't Nod games achieved a turnover of 2.8 million euros in 2023, compared to 0.9 million euros a year earlier, mainly thanks to Ebbing and the back catalogue. Despite this, the studio's total turnover fell by 1.8 million euros. On a more positive note, Don't Nod can boast available cash of 54.3 million euros and a decreasing financial debt (3.1 million euros compared to 4.3 million euros a year earlier ). We recall that the studio benefited at the beginning of 2023 from a fundraising of 45.9 million euros thanks to the rise in power of Tencent which, with 42% of the shares and 34% of the voting rights, has become the most big shareholder of the studio.
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With more than 340 talents in its workforce, Don't Nod will continue its strategy aimed at operating numerous production lines in parallel. The studio has seven projects in progress, five developed internally and two developed externally (including Koira from Studio Tolima). The studio's 2024 financial year will be able to count on Banishers: Ghosts of New Eden, a co-production with Focus released two months ago, and Lost Records: Bloom & Rage, the first game developed by his Montreal studio which also promises to be the spiritual successor to Life is Strange. “ Discussions are underway with industry leaders to secure the economic benefits of the game “, we can read. As previously announced, Don't Nod will concentrate all its strengths on the three genres it already occupies (action-RPG, action-adventure and narrative adventure).
“ This investment strategy was essential to reach critical size. It must now materialize through a performance cycle. It is indeed essential to capitalize on our strengths to gain efficiency and strengthen our operational excellence in a constantly evolving industry, in order to generate significant value creation. The industry outlook remains promising and I am convinced that Don't Nod is well positioned to benefit from this dynamic thanks to the know-how of our teams, the strength of our intellectual properties and our ability to form profitable partnerships. », comments CEO Oskar Guilbert.