11 Bit Studios (11B) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 reached PLN 17.5 million, up 14.21% year-over-year, driven by last year's releases and business development activities, with 67% from proprietary titles and 33% from publishing.

• EBITDA was PLN 2.21 million, but higher depreciation and FX losses led to an operating loss of PLN 2.37 million and a net loss of PLN 6.37 million.

• Operating costs increased significantly due to higher royalties, license payments, depreciation, and marketing expenses.

• Cash and cash equivalents increased to PLN 69.5 million, up 6.18% from year-end 2024.

• High foreign exchange costs impacted results, with over 80% of revenue in USD and a 6% decline in the dollar's value.

Financial highlights

• Revenue: PLN 17.5 million (Q1 2025), up 14% year-over-year.

• EBITDA: PLN 2.21 million; Operating loss: PLN 2.37 million; Net loss: PLN 6.37 million.

• Operating costs rose 30% year-over-year to PLN 221 million, mainly from royalties, licenses, and increased depreciation.

• Depreciation and amortisation rose sharply to PLN 4.58 million due to new releases.

• Cash conversion remains strong, with cash and equivalents at PLN 69.5 million.

Outlook and guidance

• The Alters is set for release on 13 June 2025 across PC, Xbox X/S, and PS5, with strong marketing and Game Pass inclusion.

• Confident that 2025 results will surpass 2024, supported by upcoming releases and strong wishlists for new titles.

• Moonlighter 2 and Death Howl, both third-party titles, are scheduled for release in 2025.

• Continued monetisation of existing portfolio and new DLCs for Frostpunk 2 expected to support results.

• Long-term strategy focuses on new proprietary IP, platform games, and publishing expansion.