Paradox Interactive Reports 34% Increase in Annual Revenue

Paradox Interactive, a prominent games publisher, has released its annual earnings report, highlighting a 34% rise in revenue. Key highlights for the fiscal year and fourth quarter ending December 31 include: - Q4 revenue: SEK 995.6 million ($95 million), representing a 72% year-over-year increase - Q4 profit: SEK 131 million ($12.5 million), down 46% year-over-year - Annual revenue: SEK 2.6 billion ($248 million), up 34% year-over-year - Annual profit: SEK 688 million ($65.6 million), down 3% year-over-year The company boasts over six million monthly active users across its titles and currently operates ten games across its studio portfolio. CEO Fredrik Wester stated, "2023 has been a milestone year for us, with record revenue and a strong financial position. However, we cannot be complacent, as our EBIT is below expectations due to a significant write-down, and our recent game releases have not met our quality standards." Wester noted that the company's live games and expansions performed well, with titles such as Cities: Skyline 2, Crusader Kings 3, Hearts of Iron 4, and Stellaris contributing to the revenue growth in Q4. However, the poor performance of Lamplighters League led to a $24 million (SEK 250 million) write-down, resulting in layoffs at the developer. Additionally, Paradox Interactive will be parting ways with game developer Harebrained Schemes.