TinyBuild announced that its revenue for the first half of 2026 rose by 18%, reaching a total of $20 million for the six‑month period ending June 30, 2026. The company attributed this growth to a combination of solid performance from its existing catalog and the successful launch of several new titles.
According to the unaudited financial statement for the period, an impressive 85 percent of the gaming revenue was generated from intellectual property that the studio either owned directly (first‑party) or co‑owned through partnership agreements (second‑party). Within that mix, the contribution from second‑party titles showed a noticeable increase, highlighting the effectiveness of TinyBuild’s collaborative development strategy. The legacy catalog continued to be a cornerstone of the business, accounting for 68 percent of total gaming revenue in the first half of the year.
Evergreen franchises such as *Hello Neighbor* and *Graveyard Keeper* demonstrated lasting appeal, delivering steady cash flow long after their initial releases. Their continued popularity helped to underpin the financial results while new projects ramped up. New releases also played a pivotal role in the revenue uplift. The company cited the successful market entry of *Hozy*, *All Will Fall*, and *Sand: Raiders of Sophie* as key drivers of the topline growth.
Each of these titles brought fresh audiences and added diversity to TinyBuild’s portfolio, reinforcing the company’s strategy of balancing proven evergreen hits with innovative new experiences. In addition to the aforementioned games, TinyBuild expanded its intellectual‑property roster during the reporting period through several notable launches.
The console debut of *I Am Future* added a sci‑fi‑driven narrative experience to the lineup, while downloadable content for *The King is Watching* extended the life of that title and generated additional revenue streams. Moreover, the company brought *Kill It With Fire 2* to the Nintendo Switch, tapping into the console’s large and dedicated user base.
Despite the revenue increase, gross profit slipped by 5.7 percent, falling from $10.4 million to $9.8 million. Management explained that the decline was largely the result of higher royalty payments tied to the success of the second‑party releases, which, while beneficial for top‑line growth, reduced the margin on those sales.
Adjusted EBITDA also experienced a downturn, decreasing by 23.2 percent from $4.2 million to $3.2 million. The primary cause identified was an uptick in marketing expenditures aimed at supporting the launch and promotion of the new titles mentioned earlier. The company views this spending as an investment in brand awareness and long‑term customer acquisition.
Employee headcount remained relatively stable throughout the half‑year, hovering just under the 200‑employee mark. This stability suggests that TinyBuild has been able to scale its operations without resorting to large hiring spikes or layoffs, maintaining a consistent workforce to support its development and publishing activities. Looking forward, TinyBuild highlighted a strong pipeline that includes several higher‑budget projects each exceeding $5 million in development costs. These upcoming games are expected to feature high‑potential IPs and further expand the company’s catalog.
Management expressed confidence that the firm will continue to outperform full‑year expectations based on this pipeline and its ongoing strategic initiatives. “TinyBuild is well‑positioned with a robust pipeline and a proven ability to attract, screen, and market games, both from existing and brand‑new IP,” said Alex Nichiporchik, CEO of TinyBuild.
He emphasized the company’s balanced investment approach, which aims to build a diversified portfolio of high‑potential owned IP while leveraging a multimedia franchise model to extend the lifespan of each property and maximize return on investment. Nichiporchik concluded with a forward‑looking statement: “Our medium‑term strategy is to expand our position as a leading global video‑games developer and publisher, focusing on IP ownership while creating long‑term scalable franchises across multiple media formats. 2026 so far has seen significant progress towards that ambition, and I would like to thank all of our staff for their amazing contribution and our shareholders for their support.” In a related development, venture‑capital firm Griffin Gaming Partners acquired a 3.24 percent equity stake in TinyBuild during June. The investment was justified by the firm’s confidence in TinyBuild’s stable intellectual‑property base and its ability to create sustainable, globally‑reaching franchises.
Overall, TinyBuild’s first‑half performance showcases a blend of steady catalog revenue, successful new launches, and strategic investments in both IP development and marketing. The company’s emphasis on owning and co‑owning high‑quality IP, combined with a disciplined approach to expanding its portfolio across multiple platforms, positions it well for continued growth in the competitive video‑game industry.