Don't Nod 'disappointed' by 1H24 financials, explores new roadmap options

Don't Nod has released its financial results for the first half of the year Fiscal Year 2024-2025and admitted his two big exits, Right AND Banishers: Ghosts of the New Eden, they were commercial disappointments.

“Despite an excellent critical reception, [they] Unfortunately it did not achieve the commercial results we hoped for,” wrote CEO Oskar Guilbert. He also said that both stocks sold “well below” the company's expectations.

As a result, Don't Nod reported EUR 14.6 million in operating revenue for the six-month period ended June 30, 2024. OR is down 11 percent from EUR 16.5 million in the first half of 2023.

Similarly, there was a decrease in development revenues (to 2.0 million euros) and capitalized production (to 1.1 million euros). The latter is due to the “temporary” suspension of two production lines.

Don't nod when you see A increase, i.e. 1.2 million euros in sales driven mainly by back catalogue titles such as Vampire and the Life is Strange games. But in light of Bandits AND Right, the studio is proceeding with a partial write-down of 24 million euros of the assets of those games.

Don't Nod Changes Its Plans for the Future

Looking ahead, Don't Nod has outlined a new set of changes to its roadmap. The most immediate is a focus on Lost Records: Bloom & Rage, which will be released in two parts in February and March 2025.

A pair of unannounced internal projects (“P10” and “P14”) are expected to be released before the end of 2027. “Some developments” for “P10” have been scrapped to “strengthen sales potential, reach a broader audience, and increase partnership opportunities with industry leaders.”

Two other internal projects (“P12” and “P13”) of the Parisian team of Don't Nod are “temporarily suspended” for a write-down of 7.6 million euros. Both were in the design phase and this pause allows the developer to “maximize the chances of success of the titles with the greatest [present] potential.”

Finally, a couple of external projects that Don't Nod will release in 2025 should contribute to revenue in the coming years. The studio is evaluating “other options” to implement for its roadmap as soon as possible.

Don't Nod's full financial report for the first half of 2024-2025 can be read Here.