Paradox Interactive writes down MSEK 171 of capitalized development cost for The Lamplighters League
Paradox Interactive has today decided to write down capitalized development costs for the game The Lamplighters League, in addition to the regular degressive amortization done during the game’s first three months. Overall, this will result in that all of the game’s capitalized development costs of MSEK 320 will be recognized as costs in the fourth quarter of 2023. The game’s impact on profit before tax for the fourth quarter is estimated to MSEK -248. The write-down stems from a revised sales forecast, which was established after the game’s release.
“The Lamplighters League is a fun game with many strengths. Even though we see cautiously positive player numbers in subscription services, the commercial reception has been too weak, which is frankly a big disappointment. Game projects are by their nature always risky, but at the end of the day we haven’t performed at the level we should. It is painful but makes us more eager to roll up our sleeves and do better,” says Fredrik Wester, CEO of Paradox Interactive.
This disclosure contains information that Paradox Interactive AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 10-10-2023 22:10 CET.
For additional information, please contact:
Fredrik Wester, CEO Paradox Interactive
Alexander Bricca, CFO Paradox Interactive
Email: ir@paradoxinteractive.com
Phone: +4670-355 54 18
About Paradox Interactive
Paradox Interactive is one of the premier developers and publishers of strategy and management games for PC and consoles. The players are located all over the world but some of the biggest markets are North America, Western Europe and Asia. The game portfolio consists of popular franchises such as Stellaris, Europa Universalis, Hearts of Iron, Crusader Kings, Cities: Skylines, Prison Architect, the Surviving games, Age of Wonders and Victoria. Paradox Interactive also owns the World of Darkness brand catalog. In total, Paradox games have over five million players each month.
Paradox Interactive AB (publ)’s shares are listed on Nasdaq Stockholm First North Premier under ticker PDX. Certified Advisor: FNCA Sweden AB. For more information, please visit www.paradoxinteractive.com.