Interim report January – June 2023
Revenues amounted to MSEK 737.3 (MSEK 458.8), an increase by 61 % compared to the same period last year.
Operating profit amounted to MSEK 292.9 (MSEK 213.6), an increase by 37 %.
Profit after financial items amounted to MSEK 310.9 (MSEK 213.0), and profit after tax amounted to MSEK 239.4 (MSEK 170.1).
Cash flow from operating activities amounted to MSEK 421.6 (MSEK 261.8), and cash flow from investing activities amounted to MSEK -172.5 (MSEK -230.2).
By the end of the period cash amounted to MSEK 844.2 (MSEK 594.9).
Earnings per share before dilution amounted to SEK 2.27 (SEK 1.61) and after dilution SEK 2.24 (SEK 1.61).
Revenues in the quarter are mainly attributable to Age of Wonders 4, Cities: Skylines, Crusader Kings III, Hearts of Iron IV and Stellaris.
IMPORTANT EVENTS IN THE SECOND QUARTER
Age of Wonders 4, developed by Triumph Studios, was released for PC, Playstation 5 and Xbox Series X|S.
Mechabellum developed by Game River was released in Early Access and published by Paradox Arc.
New downloadable content for the following games was released during the quarter; Domination for Europa Universalis IV, Galactic Paragons for Stellaris, Tours & Tournaments for Crusader Kings III, Voice of the People for Victoria 3, Hotels & Retreats for Cities: Skylines and Dragon Dawn for Age of Wonders 4.
New ports of downloadable content were released during the quarter; Royal Court to Crusader Kings III Console Edition.
Paradox Interactive sold its shares in Hardsuit Labs to Keywords Studios, which affects profit after financial items by MSEK 15.4.
FIRST SIX MONTHS 2023
Revenues amounted to MSEK 1,220.1 (MSEK 934.9), an increase by 31 % compared to the same period last year.
Operating profit amounted to MSEK 448.6 (MSEK 422.0), an increase by 6 %.
Profit after financial items amounted to MSEK 468.0 (MSEK 420.7), and profit after tax amounted to MSEK 363.1 (MSEK 338.7).
Earnings per share before dilution amounted to SEK 3.44 (SEK 3.21) and after dilution SEK 3.41 (SEK 3.20).
COMMENT BY THE CEO
It is with joy and a forward-leaning optimism that we can now present the second quarter of 2023 for Paradox Interactive. I have previously emphasised the work put in to focus more clearly on our core business and we are now really starting to see that this is paying off.
In the quarter, we delivered on all parts of our growth strategy. We have continued to strengthen our core titles with great downloadable content, replenished the portfolio with Age of Wonders 4 and continued to experiment with new smaller titles to find games with the potential to reach a large audience through our player base. That gives a good result for the quarter with a strong top line as well as a good bottom line, which was further boosted by currency tailwinds.
Fredrik Wester, CEO of Paradox Interactive
PRESENTATION OF REPORT
27 July 12:00 PM CEST Fredrik Wester, CEO, and Alexander Bricca, CFO, will host a livestream on Paradox’s YouTube channel to present the quarter’s results, and answer questions related to the report and the company’s financial performance, https://www.youtube.com/paradoxinteractive.
Questions may be submitted in advance via our forum or by e-mailing them to email@example.com. It will be possible to e-mail questions to **firstname.lastname@example.org** during the presentation.
If you miss the presentation, it will be posted on Paradox’s YouTube channel at a later time.
This disclosure contains information that Paradox Interactive AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 27-07-2023 08:00 CET.