PRESS RELEASE: NACON: 2021-22 ANNUAL SALES IN LINE WITH EXPECTATIONS
31 May 2022 - 1:50AM
PRESS RELEASE: NACON: 2021-22 ANNUAL SALES IN LINE WITH
EXPECTATIONS
Nacon
Press
release
Lesquin, 30 May 2022, 18:00hrs
2021-22 ANNUAL SALES IN
LINE WITH EXPECTATIONS
- 155.9 M€ SALES
- 19.0 M€ CURRENT OPERATING
INCOME
STRONG GROWTH MOMENTUM EXPECTED IN
2022-23:
- SALES OVER 250 M€
- CURRENT OPERATING MARGIN EXCEEDING
50 M€
NACON (ISIN FR0013482791) today releases its
audited consolidated results for FY 2021/22 (from April 1, 2021 to
March 31, 2022) as approved by its Board of directors on 30 May
2022.
Consolidated in M€ IFRS |
2021-2022 |
2020-2021 |
Change |
Sales |
155.9 |
177.8 |
-12.3% |
Gross
MarginIn
% of
salesEBITDAIn
% of sales |
77.849.9%44.628.6% |
93.552.6%60.333.9% |
-16.7%-26.0% |
Current Operating IncomeIn % of
salesNon recurrent items |
19.012.2%(5.7) |
32.518.3%(5.1) |
-41.6% |
Operating IncomeIn % of
sales |
13.38.6% |
27.515.4% |
-51.4% |
Financial Result |
0.1 |
(1.5) |
|
Earnings before tax In % of
sales |
13.48.6% |
26.014.6% |
-48.4% |
Income tax |
(3.4) |
(7.7) |
|
Net result for the
periodIn
% of sales |
10.0
6.4% |
18.210.3% |
-45.3% |
2021-22, a transition
year
For FY 2021-22, Nacon recorded 155.9 M€ sales.
The Games business segment, due to the decision to postpone the
release of several games to FY 2022-23, came in at 54.4 M€
(-21.1%). The Accessories business segment held up well against a
backdrop of console shortages, ending the year at 96.6 M€ (-6.3%).
Other activities accounted for 4.9 M€.
The gross margin was 77.8 M€, or 49.9% of sales
(52.6% in previous year). This change is due to a different product
mix to last year, with a higher proportion of Accessories (62% of
total sales compared to 58% in previous year). The increase in
sales prices made it possible to offset the rise in shipping and
raw material costs and thus to maintain the margin rate of the
accessories activity.
Thanks to stable overheads, current operating
profit for the year came to 19.0 M€ and represented 12.2% of
sales.
Net profit came to 10.0 M€ or 6.4% of sales.
A balance sheet
reflecting
the significant investments made by
Nacon to accelerate its
growth
At the end of March 2022, shareholders' equity
amounted to 228.4 M€, up 17.9 M€ compared to the end of March 2021.
Cash and cash equivalents amounted to 82.1 M€ compared to 96.7M€ in
the previous year.
During the period, Nacon took out new bank loans
for 52.5 M€ (5 year maturity – interest rate below 1%). Net debt
remains at a low level of 10.4 M€.
The increase in inventories undertaken to secure
supplies, had an unfavourable impact on working capital
requirements which increased by 8.7 M€.
Operating cash flow for the year was 32.4 M€.
Intangible CAPEX for the period amounted to 57.4 M€.
Over the last two years, Nacon will have
invested more than 100 M€ in game developments and acquired 9
studios. To date, 46 games are in development, compared to 33 games
at 31 March 2021. The first returns on investment are expected in
the current financial year with the release of numerous games.
In accordance with its policy of reinvesting its
cash flows in the development of its activities, the Board of
Directors decided at its meeting on 30 May 2022 not to propose a
dividend distribution for the 2021-22 financial year at the next
General Meeting.
2022-23: Strong acceleration in business
and earnings growth
After a year of transition marked by an
unprecedented global economic context, Nacon will benefit in FY
2022-23 from the significant investments made in recent years.
Due to the strong publishing activity expected
throughout the year (Vampire: The Masquerade®- Swansong, The Lord
of the Rings Gollum, Steelrising, Session Skate Sim, etc.), sales
will be up sharply with a significant increase in the first
quarter.
Nacon has decided to postpone Test Drive
Unlimited Solar Crown to the next fiscal year in order to perfect
the quality while aiming for a release only on PC, PlayStation®5
and Xbox® Series X|S formats. This delay does not affect the annual
targets and should ensure continued growth in FY 2023-24.
The Accessories business is still affected by
the worldwide component shortage but will see the release of
several new products in Q3 2022-23.
In this context, Nacon expects to achieve sales
in excess of €250 million in FY 2022-23 with a current operating
margin in excess of 50 M€.
Following the acquisitions of Midgar Studio and
Daedalic Entertainment, Nacon will continue to pursue its external
growth strategy in order to strengthen its ability to develop new
quality games internally.
Upcoming
events :
Annual General Meeting: Friday 22 July
2022
Q1 2022-23
sales: Monday
25 July 2022, Press release after close of the
Euronext Paris stock exchange
2021-22
ANNUAL SALES 156.08 M€ HEADCOUNT
Over 700 employees INTERNATIONAL 20 subsidiaries
and a distribution network across 100 countries
https://corporate.nacongaming.com/ |
NACON is a company of the BIGBEN
Group founded in 2019 to optimize its know-how through strong
synergies in the video game market. By bringing together its 14
development studios, the publishing of AA video games, the design
and distribution of premium gaming devices, NACON focuses 30 years
of expertise at the service of players. This new unified business
unit strengthens NACON's position in the market, enables it to
innovate by creating new unique competitive advantages.
Company listed on Euronext Paris, compartment B
ISIN : FR0013482791 ; Reuters : NACON.PA ; Bloomberg : NACON:FP
PRESS CONTACT Cap Value – Gilles Broquelet
gbroquelet@capvalue.fr - +33 1 80 81 50 01 |
GLOSSARY
Back catalogue = Games released in previous
financial yearsGross margin = Sales – Cost of goods sold; other
operating revenues are posted between Gross Margin and
EBITDA.EBITDA = Current operating income before depreciation and
amortisation of tangible and intangible assetsCOI rate = Current
Operating Income as a percentage of sales = COM (Current Operating
Margin) CAPEX = intangible capital expenditure excluding
entitlements posted as fixed assets pursuant to IFRS 16
- CP_Nacon_RA 2021_22 Diffusion ENG docx
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