Thunderful's Q1 revenue mostly flat year-on-year

A slight decline in the Swedish company's distribution segment is balanced out by growth on the games side

Image credit: SteamWorld Build

News by Marie Dealessandri Deputy Editor

Published on May 16, 2023

Thunderful has published its financial report for the three months ended March 31, 2023, which were on a par with last year.

The numbers

Net revenue: SEK 555.4 million ($53.7 million, up 1.7% year-on-year)

including SEK 448 million ($43.2 million) from the Distribution segment
and SEK 107 million ($10.3 million) from the Games segment

Gross profit: SEK 245.7 million ($23.7 million, up 8.3% year-on-year)

The highlights

During Q1 2023, Thunderful saw 28% organic sales growth in its games segment, acting CEO Anders Maiqvist said.

While growth across the board was driven by Thunderful's games segment, the distribution side of the business also saw 28% profit growth year-on-year. However, its revenue was down 3% year-on-year to SEK 448 million ($43.2 million), while revenue in the games segment was up 30% to SEK 107 million ($10.3 million).

Looking ahead, Maiqvist said the company will be "increasing the pace" with its new releases, which include Planet of Lana, SteamWorld Build and Viewfinder.

"The IP Building revenue stream saw a marginal increase in net revenue from new releases during the first quarter," Maiqvist commented. "Catalogue sales of games, however, are far higher than in the comparison quarter, as we released 22 new games in 2022. Over the next three quarters, a further 13 game releases are planned."

It's worth noting that this report closed before the release of Lego Bricktales and Super Meat Boy Forever on mobile. Games released during the quarter included Vendir: Plague of Lies and Jurassic World: Aftermath Collection.

Earlier this month, Thunderful promoted Claire Boissiere to vice president. She will remain studio director at Jumpship as well as the Somerville developer was acquired by Thunderful in November 2022.