EBIT INCREASED BY 50%
We continue to capitalize on our asset care strategy. During the quarter, we had higher sales of owned titles and increasing digital sales. Net sales increased by 8.8% to SEK 84.7 m, EBITDA was up 36% to SEK 34.6 m and EBIT increased by 50% to SEK 24.0 m compared to the same period last year.
During the quarter we acquired and welcomed two new development studios to the THQ Nordic family; Black Forest Games and Pieces Interactive. Both are developing products that are soon to be announced and released.
In August, during Gamescom, we announced the upcoming title Biomutant. The feedback for the title – from both press and the gaming community – was beyond our expectations. We now expect Biomutant to be one of our future key titles.
During the end of the period, we raised SEK 598.0 m before transaction costs in a new share issue directed to reputable institutional investors. We continue to work intensely to evaluate interesting investment opportunities to strengthen our position and long-term growth. THQ Nordic has a unique position and strategy in the market and we will leverage this over the coming years.
We are now focusing on executing our plan for the final quarter of the year, as well as planning for the year ahead. I have great confidence that 2018 will be our most exciting year so far.
– LARS WINGEFORS, FOUNDER & CEO
THIRD QUARTER 2017
· Net sales increased by 8.8% to SEK 84.7 m (77.9).
· Owned titles represented SEK 62.6 m (43.6), or 74%, of net sales in the quarter.
· EBITDA was SEK 34.6 m (25.4), corresponding to an EBITDA margin of 41%.
· EBIT was SEK 24.0 m (16.0), corresponding to an EBIT margin of 28%.
· Cash flow from operating activities amounted to SEK 29.2 m (20.5).
· Earnings per share amounted to SEK 0.26 (0.21).
· Three owned titles and two publishing titles launched in the third quarter.
INTERIM PERIOD JANUARY-SEPTEMBER 2017
· Net sales increased by 45% to SEK 252.1 m (173.7).
· Owned titles represented SEK 183.0 m (119.1), or 73%, of net sales in the period.
· EBITDA was SEK 116.2 m (71.6), corresponding to an EBITDA margin of 46%.
· EBIT was SEK 86.2 m (44.4), corresponding to an EBIT margin of 34%.
· Cash flow from operating activities amounted to SEK 80.5 m (47.9).
· Earnings per share amounted to SEK 0.91 (0.57).
· As of 30 Sep 2017, cash and cash equivalents were SEK 666.9 m (12.2).
All comparatives within parentheses refer to the corresponding period of the previous year, unless otherwise stated.Release