11 bit studios expects its net revenue from The Thaumaturge to be below $11.6 million within six months of launch

The Thaumaturge

Financial highlights

• According to its new interim report (in Polish), 11 bit studios reached PLN 30.76 million ($7.95 million) in revenue in the first half of 2024, up 24.1% year-over-year.
• The growth was driven by sales of third-party games such as The Thaumaturge, Indika, and last year’s The Invincible. First-party games, led by Frostpunk and This War of Mine, accounted for 48% of the company’s H1 revenue.
• The US accounted for 76% of the total, followed by the UK (11%), Japan (4.4%), Poland (2.9%), the rest of the EU (2.6%), and China (0.3%).

11 bit studios’ revenue

• Operating costs increased by 49.38% year-over-year to PLN 36.1 million ($9.34 million). The main reasons were royalties paid to external devs and marketing expenses in the lead-up to the launches of Frostpunk 2 and The Alters.
• Net loss was PLN 477.8k ($123.6k), compared to a profit of PLN 4 million ($1 million) in the same period last year.

11 bit studios’ net profit

Relationship with Fool’s Theory and other data

• In February 2022, 11 bit studios acquired a 40% stake in Fool’s Theory, a studio behind The Thaumaturge and the upcoming The Witcher 1 remake. The deal was split into two tranches: first in the amount of PLN 2.62 million ($678.5k), and the second based on the commercial performance of The Thaumaturge.
• Fool’s Theory was set to receive the second tranche if 11 bit’s net revenue from the game exceeded PLN 45 million ($11.65 million) within the first six months of its March 4 launch. However, it appears that this milestone won’t be reached.
• “As of June 30, 2024, the value of the second tranche, in line with the new estimate, was set at PLN 0 based on the assumption that the revenues of 11 bit studios S.A. from the sale of The Thaumaturge will not exceed PLN 45 million,” the company noted.
• Fool’s Theory also reported a net profit of PLN 19.3 million ($4.99 million), with 11 bit studios entitled to PLN 5.25 million ($1.36 million) of that.
• Indika fully recouped its costs. In June, developer Odd Meter stated that the game sold 55k copies on Steam, and 11 bit studios mentioned in its previous report that its relatively small investment in the game “has already more than paid off.”
• The Polish company is now gearing up for the launches of Frostpunk 2 (September 20) and The Alters (“a few weeks later”), anticipating strong sales for both games.
• “We are confident that our financial results in the coming periods will be much stronger, and that the years 2024–2026 will be record-breaking for the company,” 11 bit studios CEO Przemysław Marszał said in a statement.