Remedy confirmed this Alan Wake 2 it recouped “most” of its development and marketing costs about a year after launch. The Finnish studio shared the news in its fiscal report for the third quarter ending September 2024 (Q3).
The company reported a revenue increase of 128.6% to 17.9 million euros ($19.4 million) during the third quarter. Operating profit rose to 2.4 million euros ($2.6 million) in the same period, up from the 5.5 million euro loss Remedy reported in the same period last year.
Remedy CEO Tero Virtala noted that development costs have increased year over year, largely due to Check 2 AND Remakes of Max Payne 1 and 2. He said Remedy is making “steady progress” as it works to expand its games portfolio with the launch of Control's multiplayer spin-off FBC: Firebreak and move on to self-publishing with the support from Annapurna Pictures.
“Our games in development progressed as expected during the quarter. In August we entered into a strategic partnership agreement with Annapurna Pictures, ensuring we can develop Check 2 in a great game. It also allows us to move into self-publishing and expand our game franchises into other mediums such as television and film,” Virtala said.
“At the end of the quarter, Alan Wake 2 had recouped most of its development and marketing expenses. After the end of the quarter, the second expansion of the Alan Wake 2, The house on the lakewas released on October 22 alongside the physical Deluxe edition of the game. FBC: Firebreakpreviously codenamed Condor, continues into full production focusing on core loop iteration and implementing increased UI (user interface) for greater player clarity based on playtest feedback.
Check 2 is in the “production readiness phase” and remains on track to enter full production in 2025. Virtala noted that many of the sequel's critical features have already been implemented to mitigate risks, and that workflows and pipelines are being tested in advance. Remakes of Max Payne 1 and 2 it remains in full production and is making “steady progress.”
Discussing the partnership between Remedy and Annapurna in more detail, Virtala said the deal secures 50% of Control 2's production budget. It will also allow Annapurna to develop films and television shows based on Alan Wake and Control.
As for Remedy recent loan agreement with TencentVirtala said this move will strengthen the studio's position in the value creation opportunity and give it greater control over how its projects are marketed. Looking ahead, Virtala said expanding the interconnected Control and Alan Wake franchises will be “key” to the studio's future.