Stockholm, Sweden (November 27, 2024) - Maximum Entertainment AB (Nasdaq: MAXENT B) today released its interim report for the third quarter of 2024.
Maximum Entertainment’s Q3 results benefited from a few overperforming publishing releases, counterbalanced by a quieter Owned IP release calendar. We delivered Net Sales of 17.2 MEUR compared to 25.2 MEUR in Q3 2023, which was an exceptionally strong quarter, benefiting from the release of Smalland: Survive the Wilds and Bramble: The Mountain King.
Our Adjusted EBITDA for the quarter is -0.2 MEUR, amounting to 3.0 MEUR year-to-date. Gross Margin is 24% over Q3, keeping the year-to-date at 30% which is stable compared to the same period last year. EBIT and Adjusted EBIT for the quarter include impact of an impairment to Capitalized Development of 13.2 MEUR. The share of revenue derived from Owned IP is still slightly up at 10% against Q3 2023’s 9%, despite a lack of releases in this category over the period. The number of employees at the end of the period is 181, a decrease of 24% year-on-year.
SUMMARY JULY - SEPTEMBER 2024
- Net sales for the quarter amounted to KEUR 17,216 (KEUR 25,257 in Q3 2023)
- Share of revenue derived from Owned IP amounted to 10% (9% in Q3 2023)
- Gross margin as a percentage of Net sales amounted to 24% (33% in Q3 2023)
- Adjusted EBITDA for the quarter amounted to KEUR -171 (KEUR 4,115 in Q3 2023)
- EBIT for the quarter amounted to KEUR -16,293 (KEUR -6,831 in Q3 2023)
HIGHLIGHTS DURING THE THIRD QUARTER OF 2024
Launches
- Squirrel with a Gun launches on PC
- Selfloss launches on PC and consoles
- Wild Bastards releases on all major platforms
Updates
- Announcement of partnership with Brimstone to Publish Overthrown
- Maximum Entertainment announces Gamescom lineup
- Maximum entertainment partners with Mob Entertainment to sub-publish Poppy Playtime Bundle to retail
- Maximum Football Early Access release date announced for 11/07/24
Other
- Chairman of the board Petter Hjertstedt notifies board of directors intention to resign
- EGM on September 9, 2024 elects Torgny Hellström and Jan Benjaminson to the Board and appoints special examiner to investigate inter alia the management of the Company
- Christina Seelye and Thierry Bonnefoi demand payment in total appr. 116 MSEK
- Board appoints Philippe Cohen as new CEO
HIGHLIGHTS AFTER THE QUARTER
Launches
- Squirrel with a Gun Launches on Consoles
- Maximum Football launches into Early Access on 11/07/24
Updates
- Diesel Legacy: The Brazen Age release date announced for 12/03/24 on all platforms
- Overthrown and Spirt of the North demos available at Steam Next Fest
- Maximum Football Xbox Game Preview and Game Pass release date announced for 12/10/24
- Overthrown Early Access release date announced for 12/05/24
Other
- Christina Seelye and Thierry Bonnefoi have filed request for arbitration against Maximum Entertainment
- EGM on November 6, 2024 reelects Torgny Hellström, Jan Benjaminson, and Bart Reefman, and elects Bob Blake to the Board
- Maximum Entertainment announced it is in negotiations with lenders following covenant breaches
This report, together with previously published reports, is available on the Maximum Entertainment webpage: https://maximument.com/investor-relations/
For more information about Maximum Entertainment, please visit: www.maximument.com.