The creators of Cyberpunk 2077 and The Witcher CD Projekt released their most recent first quarter earnings report and total profits have dropped substantially.
CD Projekt made a profit of $ 32.487 million, sharply lower than the $ 91.979 million the company received between January and March 2020. Total revenue, however, rose to 197.632 million in the first quarter of 2021, driven in part by an increase in the value of goods sold.
CD Projekt also recalled that its first quarter 2020 results were the strongest in the company’s history, thanks in part to the stay-at-home quarantine, which has caused people to gamble more often. What’s more, sales of The Witcher games grew 500% in the first quarter of 2020 thanks to the hugely successful series from Netflix, while The Witcher 3 was just released on Nintendo Switch, all of which contributed to strong results for CD Projekt.
These factors have since “receded,” said CD Projekt.
In the first quarter of 2021, CD Projekt said most of its revenue came from Cyberpunk 2077 and The Witcher 3 and its add-ons. Gwent and Thronebreaker also drove sales in Q1 2021, as did The Witcher 2: Assassins of Kings and the original Witcher game.
According to Reuters, CD Projekt CFO Piotr Nielubowicz said during a conference call that around 60% of total sales in the first quarter came from Cyberpunk 2077.
The studio also revealed why Cyberpunk 2077 is still not available on the PlayStation Store. A company spokesman said there were no changes compared to last week’s update.
“The general situation has not changed until we return to the Sony store. One of the leading marketplaces is not available to us and we generate most of our sales through PC / digital channels, ”said Nielubowicz.
Despite being delisted, Cyberpunk 2077 managed to sell 13.7 million copies across all platforms in its first 21 days.
Finally, CD Projekt management confirmed the call that it will start developing several “high-budget” games simultaneously, starting in 2022. In addition, the company is looking for opportunities for future mergers and acquisitions, although the company did not provide any details on what it is looking for in this direction.
CD Projekt executives have said they will not abandon Cyberpunk 2077 and will instead continue to support the game with patches and updates that will help improve the experience so that the game can continue to sell for a long time.
Apparently due to issues with Cyberpunk 2077, CD Projekt has adjusted its multiplayer plans and it is now unclear if this standalone game will ever be released.
More recently, it was revealed that CD Projekt has paid out millions of bonuses to its executives related to the commercial performance of the game. The developers also received bonuses thanks to strong sales of Cyberpunk 2077.