6 February 2025
tinyBuild, Inc
("tinyBuild" or the "Company")
Pre-Close Trading Update
tinyBuild (AIM:TBLD), a premium video games publisher and developer with global operations, is pleased to provide a trading update for the twelve months ended 31 December 2024 ("FY 2024").
Highlights
· Revenue and Adjusted EBITDA broadly in line with expectations for FY 2024
· Cash and cash equivalents of low single digit millions at the end of December 2024, in line with expectations, with cash seasonally improving at the end of January 2025
· The pipeline for 2025 is strong and the Company continues to manage cash carefully on a lower cost base ahead of new high-potential releases
Current Trading
The industry backdrop remains difficult with few signs of near-term improvement. tinyBuild is carefully managing its catalogue while investing in high-potential new IP (e.g. Kingmakers, SAND, Streets of Rogue 2) set for release in 2025.
As at 31 December 2024, the Company had cash levels of low single digit millions. Cash and cash equivalents are anticipated to reach a trough point in the summer of 2025 and improve post the launch of certain high-potential new games. The cash position will be carefully managed as the Company invests in upcoming game releases in a disciplined manner. The Company has no borrowings and it continues to assess its IP portfolio for strategic opportunities.
Pipeline
Upcoming launches are showing strong performance in terms of wishlists, one of the most important indicators for future sales. In particular, Kingmakers, SAND and FEROCIOUS are now in the top 20, 50 and 140 Most Wishlisted Games on Steam.
The exact release dates will be set taking into account competitive launches and, as is standard, risk remains around new launches and the ability to convert wishlists into revenue. As a mitigating factor, the Company remains fully focused on cost control and regularly reviews investment in new games to align with audience validation.
Employee Benefit Trust
As at today's date, the Employee Benefit Trust holds a total of 3,937,587 ordinary shares with no new purchases in H2 2024. The EBT was set up in 2022 for the benefit of current and future employees and will continue to act independently of the Company to satisfy future share awards and option exercises of vested options granted.
Outlook
The pipeline for 2025 is strong and includes a number of larger-budget (above $1m), high-potential games alongside continuous investment in the catalogue such as updates, DLCs and platform launches.
The implication of the conflict in Ukraine along with the evolving macroeconomic situation impose caution and vigilance in the medium and long term. In particular, tinyBuild continues to carefully assess the position of its staff, its exposure in terms of revenues and carefully manage cash resources ahead of the release of high-potential new IP in 2025.
All considered, the Board remains confident the Company is on track to deliver results in line with expectations.
Alex Nichiporchik, Chief Executive Officer of tinyBuild, commented:
"Over the past two years we rightsized the business to cope with increasingly difficult market conditions and refocused on the 1000-hour game model, while managing cash carefully. We are looking at a strong pipeline of upcoming high-potential games scheduled for launch in 2025 and we remain excited about the future."
Enquiries:
| tinyBuild, Inc Alex Nichiporchik - Chief Executive Officer and co-founder Giasone (Jaz) Salati - Chief Financial Officer
| investorrelations@tinybuild.com
|
| Berenberg (Nominated Adviser and Broker) Mark Whitmore, Ciaran Walsh, Milo Bonser
| +44 (0)20 3207 7800
|
| SEC Newgate (Financial PR) Robin Tozer, Harry Handyside, Molly Gretton
| tinybuild@secnewgate.co.uk +44 (0)7540 106366 |
About tinyBuild:
Founded in 2013, tinyBuild (AIM: TBLD) is a global video games publisher and developer, with a catalogue of more than 70 premium titles across different genres. tinyBuild's strategy is to focus on its own intellectual property (IP) to build multi-game and multimedia franchises, in partnership with developers.
tinyBuild is headquartered in the USA with operations stretching across the Americas and Europe. The Group's broad geographical footprint enables the Company to source high-potential IP, access cost-effective development resources, and build a loyal customer base through its innovative grassroots marketing.
tinyBuild was admitted to AIM, a market by the London Stock Exchange, in March 2021.
For further information, visit: www.tinybuildinvestors.com.
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