A new report shows 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 that the game has not yet brought its publisher (Square Enix) any revenue. This was suspected in August last year, when the developer said Square Enix was not yet paying it any royalties.
But even in the months since that initial statement, no royalties made it to People Can Fly in 2021.
“Since the game was completed and released to the market (which happened on April 1, 2021), the company is entitled to royalties to be paid as specific proceeds (as defined in the agreement) from the sale causing the publisher to predetermined level of costs incurred in the development, promotion and distribution of the game. The amount of the royalties depends on the amount of the specific revenue from the game sales,” the developer wrote in his report.
“The Group has not received any royalties from the publisher for the period up to December 31, 2021, which means that at the reporting date, the net proceeds from the sale of Outriders were insufficient to recoup the costs and expenses incurred by the publisher for the development , distribution and promotion of the title.
“This was confirmed by the fourth quarter 2021 royalty statement received by the Group from the publisher.”
In May last year, Square Enix said Outriders was “ready to become the company’s next big franchise” after 3.5 million unique players flocked to the experience in its first month (something attributed in part to the game’s arrival). on the first day of Xbox Games Transit).
Unfortunately for People Can Fly, it seems that the initial spark has now been extinguished. But despite this, Outriders is one of the few IPs Square Enix has not decided to part with.
Out of the blue on Monday, the publisher announced it had struck a deal with Embracer Group to sell its Western studios and more than 50 intellectual properties for just $300 million.