REG - tinyBuild, Inc. - AGM Trading Update and Notice of Results

tinyBuildAnnouncement

12/07/2022 07:00

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RNS Number : 0893S  tinyBuild, Inc.  12 July 2022

12 July 2022

tinyBuild, Inc

("tinyBuild" or the "Company")

AGM Trading Update and Notice of Results

tinyBuild, a premium video games publisher and developer with global
operations, is pleased to provide an update on trading ahead of its AGM later
today. The Company expects to publish its interim results for the six months
ended 30 June 2022 ("H1 2022") on Tuesday 27 September 2022.

 

 

Highlights

 

●    First-half performance slightly ahead of expectations for H1 2022

●    Strong catalogue performance, including Deadside, Potion Craft and
Not For Broadcast

●    Record number of new titles announced in the first half of
2022

●    The Company expects to deliver full-year 2022 results at least in
line with expectations

 

 

Current trading

In contrast with some industry commentary that video games sales are suffering
from a crowded release schedule and difficult comparables due to the lifting
of Covid restrictions, the Board is pleased to confirm that tinyBuild sales
are expected to be at least in line with expectations for the financial year
2022.

 

tinyBuild continues to benefit from platform competition and is also well
positioned for subscription services growth. Development advances received
from distribution partners were in line with expectations and continue to
provide the Company with greater visibility on future revenue growth, while
helping de-risk the development process for new games.

 

As in 2021, the release schedule for the current year is weighted towards the
second half of the year. The Board is pleased to report catalogue titles are
performing strongly, alongside new game launches, and the Company's first half
performance is slightly ahead of expectations for H1 2022.

 

 

Portfolio and pipeline

In the first half of 2022, tinyBuild released Startup Panic (Steam), a
reality-inspired management game, Expedition Zero (early access on Steam), a
survival horror, and Not for Broadcast (v1.0 on Steam), a dystopian, darkly
comedic TV propaganda simulator, that added another 100k downloads since the
beginning of the year.

 

The Company continues to extract value from its back catalogue titles with new
monetisable events planned in the second half for Potion Craft, an alchemist
simulator, Cartel Tycoon, a survival business sim inspired by the eighties
narco trade, Black Skylands, a skypunk Open World action-adventure, Kill it
with Fire, an arachnophobic first-person action shooter, Deadside, a hardcore
survival shooter, and Despot's Game, a rogue-like game with turbocharged
battles.

 

tinyBuild has recently announced a record number of new titles for future
release, including Hello Neighbor 2, the highly anticipated sequel currently
available on pre-order. Other titles include SpiderHeck, Tinykin, The Fridge
is Red, Rawmen, Asterigos, Nitro Kid, and I am Future.

 

People

tinyBuild has worked to support all its staff (employees and independent
contractors) and their families in areas affected by the war in Ukraine and it
continues to carefully monitor the situation. All staff have moved out of the
riskiest areas with plans to welcome anybody fleeing the conflict to the
Company's studios across Europe.

 

As part of its effort to secure talent at a competitive cost, the Company
continued to hire staff in strategic geographies and is planning to open a new
permanent studio in Europe. The number of staff has increased from 166 a year
ago to over 400, primarily due to the acquisition of Red Cerberus (November
2021) that added over 200 staff in Brazil.

 

tinyBuild aims to offer staff the best working conditions in the industry. The
Company is currently trialling unlimited paid leave across its publishing team
and two internal studios with a view to expanding this across the majority of
the business. In June 2022, tinyBuild has also given one extra week of holiday
to all direct employees as a gesture of appreciation for everybody's hard
work.

 

As a result of these policies, tinyBuild enjoys one of the lowest levels of
staff turnover: low single-digit compared to an estimated 15.5.% at an
industry level (Wired
(https://www.wired.com/story/big-union-make-videogame-workers-lives-sane/) ).

 

 

Outlook

While tinyBuild continues to carefully review the impact of the conflict in
Ukraine and the fluid macroeconomic situation, early indicators of consumer
traction across the Company's pipeline, including KPIs for Hello Neighbor 2,
are very encouraging.

 

The Board remains confident the Company is on track to deliver full-year
results at least in line with expectations, plus accretive acquisitions.

 

 

Alex Nichiporchik, Chief Executive Officer of tinyBuild, commented:

"We are really excited about tinyBuild's progress in terms of organic growth,
with new titles in our pipeline showing strong KPIs ahead of launch and back
catalogue games such as Potion Craft reaching the largest number of Steam
wishlists in our portfolio."

 

"The changing economic situation imposes caution, but it also offers
interesting opportunities that we are working hard to capitalise on as we
continue to evaluate new games at different stages of development and a number
of M&A targets to help accelerate growth. 2022 started well, and we look
at the future confidently."

 

 

 

For further information, please contact:

 tinyBuild, Inc                                               investorrelations@tinybuild.com

 Alex Nichiporchik - Chief Executive Officer and co-founder

 Luke Burtis - Chief Operating Officer and co-founder

 Antonio Jose Assenza - Chief Financial Officer

 Giasone (Jaz) Salati - Head of M&A and IR

 Berenberg (Nominated Adviser and Sole Broker)                +44 (0) 20 3207 7800

 Ben Wright, Mark Whitmore, Ciaran Walsh, Milo Bonser
 SEC Newgate (Financial PR)                                   tinybuild@secnewgate.co.uk

 Robin Tozer, Bob Huxford, George Esmond                      +44 (0)7540 106366

About tinyBuild:

Founded in 2013, tinyBuild (AIM: TBLD) is a global video games publisher and
developer, with a catalogue of more than 70 premium titles across different
genres. tinyBuild's strategy is to focus on its own intellectual property (IP)
to build multi-game and multimedia franchises, in partnership with developers.

tinyBuild is headquartered in the USA with operations stretching across the
Americas and Europe. The Group's broad geographical footprint enables the
Company to source high-potential IP, access cost-effective development
resources, and build a loyal customer base through its innovative grassroots
marketing.

tinyBuild was admitted to AIM, a market by the London Stock Exchange, in March
2021.

For further information, visit: www.tinybuildinvestors.com
(http://www.tinybuildinvestors.com/) .

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