Starbreeze Ab Class A · OMXSTO:STAR_A
Starbreeze Ab Class A — Q4 2022 Earnings Presentation
23 slides from Starbreeze Ab Class A's earnings presentation, February 2023
Slide 1: Presentation 1 October–31 December 2022
PRESENTATION 1 OCTOBER–31 DECEMBER 2022
Slide 2: Today's presenters
Today’s presenters Tobias Sjögren, CEO Mats Juhl, CFO Background: Former CEO of White Wolf Entertainment, previous Background: CFO of Mips AB (publ.), CFO of Tengbomgruppen AB, positions at Paradox Interactive, Stardoll and international video CFO of Sweden Arena Management KB (Friends Arena), Finan
Slide 3: Stepping into the year of PAYDAY
• HIGHLIGHTS • STARBREEZE & STRATEGY • THE BUSINESS • FINANCIALS Stepping into… …the year of PAYDAY 3
Slide 4: Summary Q4
HIGHLIGHTS Summary Q4 • Net Revenue, 33.6 MSEK (31.1), an increase of 8 percent • EBITDA, 19.4 MSEK (15.6), an increase of 24 percent Highest MAU during Q4 2022: 694,641 • PAYDAY 3, Development according to plan • PAYDAY 2, MAU 695k peak in Q4 Highest DAU during Q4 2022: 120,494 • 3rd party publishi
Slide 5: Summary FY2022
HIGHLIGHTS Summary FY2022 • Full-year revenue 127.6 MSEK (125.7), and increase of 2 percent • EBITDA, 66.4 MSEK (6.3) • Adjusted EBITDA, 66.4 (74.9) for one-off related to license agreement regarding PAYDAY Crime War • Work on new own IP is ongoing • Next game release after PD3 is targeted for 2025,
Slide 6: 8
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Slide 7: Starbreeze & Strategy
DICH OLA 4i\\ i a P | ; wr hl ~ & STRATEGY ©
Slide 8: Long-term game developer, with a big community
STARBREEZE & STRATEGY Long-term game developer, with a big community FOUNDATION FUTURE GROWTH PAYDAY is one of the strongest Maximize the PAYDAY offer brands in the games industry • Complement with other type of video • Starbreeze a leading developer in games and platforms long-term value for its ga
Slide 9: Create value beyond the gaming experience
STARBREEZE & STRATEGY Create value beyond the gaming experience The four pillars for success Developing Games as a games, IP and Service beyond A co-creating The place community to be 11
Slide 10: The Business
THE BUSINESS “ th ull th | ull
Slide 11: The PAYDAY franchise
THE BUSINESS The PAYDAY franchise Co-op for PC and console PAYDAY franchise in gross sales >300m USD Installed base >38,000,000 DLCS and updates >240 Steam community members >8,600,000 13
Slide 12: PAYDAY 2 – KPI development
THE BUSINESS PAYDAY 2 – KPI development PAYDAY–Peak CCU per month PAYDAY 2–Base game vs DLC split PD2 Steam launch to date1 CCU per month % 80 000 100 4 46 55 53 78 71 67 73 76 77 70 000 96 80 60 000 50 000 60 40 000 54 40 45 47 30 000 20 000 33 20 29 27 22 24 23 10 000 0 0 2013 2014 2015 2016 2017
Slide 13: A big community creates opportunities
THE BUSINESS A big community creates opportunities A key factor in PAYDAY’s success is the involvement of players in the product, which includes maintaining a close dialogue between developers and fans Breakdown of Starbreeze’s revenues from Steam by region in 2022 “ Since 2018, the company has esta
Slide 14: Strong foundation for a successful launch of PAYDAY 3
THE BUSINESS Strong foundation for a successful launch of PAYDAY 3 A strong franchise built over a decade Launch of PAYDAY 3 Large installed base Strong reviews Well established Multiple platforms Games as a service community Simultaneous launch on A game designed around >38,000,000 90/100 PC and co
Slide 15: Said and done – 2022
THE BUSINESS Said and done – 2022 ü Secure PD3 ü Continued ü Develop and ü Expand game development and monetization of PD2 implement production capabilities quality – DLC Starbreeze Nebula ü Expanding IP portfolio 13 DLCs • +27 employees • Starbreeze UK • 3rd party publishing 17
Slide 16: A solid foundation to deliver and grow
THE BUSINESS A solid foundation to deliver and grow Roadmap 2022 2023–2024 2025 and beyond Core focus creates ... into a broadened IP ... to become a GaaS capacity for growth ... portfolio ... leader – building games, IP and beyond. ü Secure PD3 development and quality • Launch of PD3 and focus on t
Slide 17: Financials
FINANCIALS / ~
Slide 18: Revenue development – growth in PAYDAY
FINANCIALS Revenue development – growth in PAYDAY 94% 96% 98% 90% 97% 99% 94% 96% • Revenue for Q4 totaled SEK 32.6m 27.9m 32.0m 34.7m 31.1m 23.5m 31.8m 33.6m 41.7m (34.4) • Net sales for Q4 2022 SEKm totaled to SEK 33.6m 60,0 (31.1m). For FY of 2022 Net 50,0 sales totaled to SEK 127.6m 40,0 3,7 (12
Slide 19: Operating expenses
FINANCIALS Operating expenses Cost base development SEKm NOTE Q4-22 Q4-21 2022 2021 A Direct costs for Q4 22 amounted to SEK 15.4m (15.1m) and consist of costs Direct costs A 15,413 15,092 60,527 56,302 related to game production and game development. The full year amount of SEK 60.5 m consists of d
Slide 20: EBITDA development
FINANCIALS EBITDA development SEKm 25 24 • EBITDA in Q4 2022 amounted to SEK 23 19.4m (15.6m). FY EBITDA amounted 20 to SEK 66.4m compared to SEK 20 19 18 6.3m in 2021 (74.9m adjusted). 17* 16 16 • Higher personnel cost, non-activated 15 personnel costs and increase in 12 royalty payments compared t
Slide 21: Balance sheet
FINANCIALS Balance sheet Assets Liabilities As per December 31, 2022 As per December 31, 2021 • Intangible assets amounted to • Non-current liabilities SEK 555m and consist amounted to SEK 386.5m, SEKm SEKm primarily of IP rights SEK including 179m, capitalized costs for – Convertible debt of SEK Cu
Slide 22: Cashflow development
FINANCIALS Cashflow development 1.1 Operating activities SEKm YTD 2022 after changes in 58 working capital, SEK 57.8m 157 2.2 Investing activities, 129 SEK -143.9m (game 66 108 development) 3.3 Financing activities, 83 69 SEK 65.5m (financing for game development 86m -144 and financial lease -19m) Y
Slide 23: Thank you!
- THANK YOU!