REG - Devolver Digital - Trading Update

Devolver DigitalAnnouncement

31/01/2022 07:00

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RNS Number : 0583A  Devolver Digital, Inc.  31 January 2022

31(st) January 2022

Devolver Digital, Inc.

 

("Devolver Digital" or the "Company")

 

Trading Update

 

Devolver Digital, an award-winning digital publisher and developer of indie
video games, announces an update for the financial year ended 31st December
2021 ("FY2021")(1).

 

Devolver Digital completed its IPO in November 2021 to support investment in
its organic growth strategy, talent and pipeline of games.

 

The Company expects FY2021 revenue to be slightly ahead of market
expectations, with year-on-year revenue growth from continuing operations of
more than 40% to at least c.$99.5m. It also expects normalised adjusted EBITDA
to be slightly ahead of market expectations with growth of more than 55% to at
least c.$25.0m(2).

 

The Company launched eight new titles in FY2021, including Death's Door,
Inscryption, Loop Hero and Olija, across a variety of platforms and
geographies.

 

Devolver Digital's diversity of revenue is reflected in the Company's
normalised back catalogue revenue of c.70% in FY2021 (2020: 61%).

 

The Company's pipeline for 2022 is healthy and diverse in terms of titles,
developers, platforms and geography. This includes existing IP such as Shadow
Warrior 3, and several new titles that have not yet been announced. The
Company's confidence in the outlook for 2022 has been reinforced by the
success of the first release of the year, Serious Sam: Siberian Mayhem, which
is profitable from pre-orders alone.

 

Devolver Digital will provide further details in its 2021 full year results
announcement, which is expected to be released in early April 2022.

 

Harry Miller, Executive Chairman of Devolver Digital, said:

 

"2021 was an exciting year for Devolver Digital.  Twelve years ago, five
founders launched a new video game label to keep the fun alive in gaming.
Today we have 200 people spread across 22 countries, two publishing brands and
five development studios.  Our evolution is a testament to more than a decade
of multi-title developer relationships, and strong distribution
partnerships.

 

I was proud to see Devolver Digital recognised as Publisher of the
Year(3) and so many of the games we work with nominated for awards.  In 2022
we will continue working hand-in-glove with developers we know and trust, to
launch interesting and unusual games."

 

Douglas Morin, Chief Executive Officer of Devolver Digital, said:

 

"Devolver Digital has a unique culture. This is why we are able to bring
wonderful games to the forefront. This also explains the diversification of
our revenues - by title, developer, platform and geography. We have a strong
back catalogue and pipeline of titles and look forward to sharing more
exciting news in 2022."

 

 

-ENDS-

 

About Devolver Digital

 

Devolver is an award-winning video games publisher in the indie games space
with a balanced portfolio of third-party and own-IP. Devolver has an emphasis
on premium games and has published more than 90 titles, with more than 30
titles in the pipeline scheduled for release over the next two years and
beyond. Devolver has in-house studios developing first-party IP titles and a
complementary publishing brand. Devolver is registered in Wilmington,
Delaware, USA.

 

Enquiries

 

 Devolver Digital, Inc.                                         ir@devolverdigital.com (mailto:ir@devolverdigital.com)

 Harry Miller, Executive Chairman

 Douglas Morin, Chief Executive Officer

 Daniel Widdicombe, Chief Financial Officer

 Zeus Capital (Nominated Adviser and ECM)                       +44 (0)20 3829 5000

 Richard Darlington, Daniel Harris (Corporate Finance)

 Benjamin Robertson (Equity Capital Markets)

 FTI Consulting (Communications Adviser)                        devolver@fticonsulting.com (mailto:devolver@fticonsulting.com)

 Jamie Ricketts / Dwight Burden / Valerija Cymbal / Usama Ali   +44 (0)20 3727 1000

 

Notes

1. Financial numbers contained within this Trading Update are based on
preliminary unaudited 2021 results.

2. Revenues from continuing operations excludes the out-performance from the
Fall Guys franchise. The publishing rights for Fall Guys were disposed of in
April 2021. Normalized adjusted EBITDA excludes the out-performance from Fall
Guys, and any one-time costs related to Fall Guys and the November 2021 IPO.

3. Devolver Digital was named Best Publisher of the Year in the Shacknews
Awards 2021.

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