AGM Trading Update and Notice of Results

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.

t inyBuild 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 ).

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 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	[e-mail]
Berenberg (Nominated Adviser and Sole Broker) Ben Wright, Mark Whitmore, Ciaran Walsh, Milo Bonser	[phone]
SEC Newgate (Financial PR) Robin Tozer, Bob Huxford, George Esmond	[e-mail] [phone]

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 .

 

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