Remedy revenue down 25% as Control sales slow

Remedy revenue down 25% as Control sales slow

Finnish games firm Remedy has reported a 25.4 per cent dip in revenue year-on-year.

The company said that for the three months ending September 2021 it brought in €7.4 million ($8.5 million) in revenue, almost around three quarters the figure for the previous 12 months owing to lower royalties from 2019's Control and reduced development fees from its tie-up with Korea's Smilegate. The duo has been collaborating on CrossFire for some time, though it's not clear what these reduced fees mean.

Operating profit also declined to €290,000 (≈$331,900) for the period, also due to lower Control royalties; Remedy's operating profit margin also saw a huge drop from 34.7 per cent to 3.9 per cent.

While this might seem like a grim situation, it's just a dip from a rather lucrative time for Remedy. Control launched in August 2019 on the Epic Games Store; the following year, Remedy launched the Ultimate Edition of Control for Steam, which yielded high royalties. As a result, the company reported a record financial performance in 2020.

"In the quarter, our business progressed as planned and the outlook for the year remains unchanged," said CEO Tero Virtala (pictured).

"Both revenue and profitability fluctuate from quarter to quarter based on game launches, promotions and the lifecycle stage of the different projects in our game development portfolio. We expect this impact to decline over time as our multi-project model progresses and we have more sources of revenue and profits."

As of the end of 2020, Control has shifted more than two million copies. A multiplayer spin-off title codenamed Condor is also in the works, with 505 Games handling publishing duties.

Remedy recently attracted investment from Chinese tech giant Tencent, too.

PCGamesInsider Contributing Editor

Alex Calvin is a freelance journalist who writes about the business of games. He started out at UK trade paper MCV in 2013 and left as deputy editor over three years later. In June 2017, he joined Steel Media as the editor for new site In October 2019 he left this full-time position at the company but still contributes to the site on a daily basis. He has also written for, VGC, Games London, The Observer/Guardian and Esquire UK.