Poland's Ten Square Games hit by exodus of pandemic players (updated)

Ten Square Games

28/03/2023 16:57

(Adds quote, reason behind results, details)
       GDANSK, March 28 (Reuters) - Polish mobile games
producer Ten Square Games  TENP.WA  reported on Tuesday a 63%
drop in net profit for last year due to a post-pandemic exodus
of players. 
    Net profit came in an 52.3 million zlotys ($12.1 million) on
a 15% drop in revenue to 538.6 million zlotys.
    "2022 was another unprecedented period, (...) we experienced
a natural outflow of users gained during pandemic ... an attempt
to further grow the number of players turned out to be
impossible," Chief Executive Officer Maciej Zuzalek said in a
letter to shareholders.
    He said customer retention and recruitment were hindered by
higher prices and closing access to the company's games to
players from Russia and Belarus, following Russia's invasion on
Ukraine in February 2022.
    The net result was also affected by a 14.5 million zloty
writedown booked for the development cost of two games.
    In 2022, in-game user payments totalled 542 million zlotys,
down from nearly 650 million zlotys the year before.
    The company's flagship games "Fishing Clash" and "Hunting
Clash" made a total of 478 million zlotys from in-game payments
in 2022, versus more than 597 million zlotys the year before.
    ($1 = 4.3175 zlotys)

 (Reporting by Mateusz Rabiega
Editing by David Goodman and Mark Potter)
 ((Mateusz.Rabiega@thomsonreuters.com; +48 58 769 67 57;))