A new report has revealed that, despite a strong start, Outriders failed to make a profit in 2021.
The report comes from developer People Can Fly (via Tweak Tower). Here, the company revealed the game is yet to make its publisher (Square Enix) any revenue. This was something that was suspected in August last year, when the developer said Square Enix was yet to pay it a royalty fee.
But, even in the several months following that initial statement, no royalty fee ended up coming People Can Fly's way in 2021.
"Since the game was completed and placed on the market (which happened on April 1st 2021), the Company has been entitled to royalties payable if specific proceeds (as defined in the agreement) from its sales ensure that the publisher recovers a predetermined level of costs incurred in connection with the development, promotion and distribution of the game. The level of royalties depends on the amount of specific proceeds from the game's sales," wrote the developer in its report.
"The Group received no royalties from the publisher for the period to December 31st 2021, which means that as at the reporting date net proceeds from the sale of Outriders were insufficient to recover the costs and expenses incurred by the publisher to develop, distribute and promote the title.
"This was confirmed by the royalty statement for the fourth quarter of 2021, received by the Group from the publisher."
In May of last year, Square Enix said Outriders was "poised to be the company's next big franchise" after 3.5 million unique players flocked to the experience in its first month (something that was in part attributed to the game's day one arrival on Xbox Games Pass).
However, sadly for People Can Fly, it seems that initial spark has now dimmed. But, despite this, Outriders is one of the few IPs that Square Enix has not decided to part ways with.
Out of the blue on Monday, the publisher announced it had entered into a deal with Embracer Group to sell off its western studios and over 50 intellectual properties for just $300m.
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2022-05-06 11:59:20Z
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