Remedy has launched its monetary report for its third quarter (July to September 2025), reporting a “rise in sport gross sales and royalties” and a “decline in income and profitability.”
The numbers
- Income: €12.2 million (down 32%)
- Working loss: €16.4 million (in comparison with working lack of €2.4 million for a similar quarter final yr)
The highlights
Remedy’s third quarter was overshadowed by the underperformance of its co-op title, FBC: Firebreak.
The sport obtained its first main replace in direction of the tip of Q3, which resulted in “gross sales enhancing solely marginally.”
Consequently, Remedy up to date its general outlook for 2025 and recognised a non-cash impairment of €14.9 million consisting of its capitalised growth prices and bought publishing and distribution rights.
Remedy has “moved growth assets to different in-development titles” from Firebreak, whereas persevering with work on Firebreak to “improve participant worth, that are justified by [its] long-term gross sales expectations.”
Following the write down of Firebreak and alter in outlook, Tero Virtala stepped down as CEO after 9 years at Remedy.
Remedy co-founder and chief product officer Markus Mäki was appointed interim CEO, having stepped down as chairman of the board and board of administrators. Henri Österland was elected as the brand new chairman.
Talking about Firebreak, Mäki did be aware that its first multiplayer launch “was technically profitable in a cross-platform surroundings” and its “publishing workforce has constructed capabilities which assist the releases of future self-published titles.”
He continued: “We aren’t happy with our latest monetary efficiency, however we stay assured in our capacity to create nice video video games that resonate with gamers and that are commercially profitable, main us again to profitability.”
Taking a look at general income for Q3, Remedy famous a 32% lower to €12.2 million (in comparison with €17.9 million throughout the identical interval final yr).
This was because of income from Annapurna associated to growth for Management 2. Remedy famous that this was earlier than coming into an settlement final August, which can see Annapurna finance 50% of the sport.
Remedy noticed robust will increase in sport gross sales and royalties throughout its third quarter, which was primarily pushed by income from subscription service agreements for Firebreak, alongside royalties from Alan Wake 2 and video games gross sales of Management.
Alan Wake 2 noticed a development in royalty income, and the sport was launched to the Chinese language market “with encouraging preliminary results”.
It famous that different titles within the Alan Wake franchise have “continued to promote steadily” throughout this era.
Since shopping for again the rights for Management in 2024, Remedy highlighted that it has since “targeted on discovering new markets for the sport” – notably exterior Western international locations.
“We imagine this systemic work in constructing the model may also increase our addressable marketplace for the entire franchise sooner or later,” mentioned Mäki.
Trying forward, Remedy reiterated that its in-development initiatives – together with Management 2 and the Max Payne remakes – are “progressing in line with plan.”
Each initiatives are in full manufacturing, whereas a 3rd unannounced title is at the moment in a proof of idea stage.
“The vast majority of our effort goes into working with our established franchises – Management and Alan Wake – which we proceed to put money into and increase into different media as a part of our long-term technique,” Mäki defined.
“Whereas rigorously balancing our product danger, we additionally have to retain the power to create new experiences for our audiences, as we’ve for the previous 30 years.”