CD Projekt (CDR) Q4 2025 earnings summary

Executive summary

• Sold GOG segment at end of 2025, resulting in a one-time after-tax gain and sharpening focus on game development and franchise expansion.

• Achieved major sales milestones: Witcher trilogy over 85 million copies, Cyberpunk 2077 over 35 million copies, and Phantom Liberty expansion over 10 million.

• Expanded player reach through new platform launches and inclusion in subscription services like PlayStation Plus and Xbox Game Pass.

• Franchise flywheel activities (merchandise, concerts, board games) generated significant additional revenue for both Witcher and Cyberpunk brands.

• Development teams expanded to over 900 developers, with most new hires on The Witcher 4.

Financial highlights

• 2025 sales revenue reached PLN 867 million, up 9% year-over-year, driven by Cyberpunk and Witcher franchises.

• Operating profit (EBIT) exceeded PLN 470 million, a nearly 30% increase year-over-year.

• Net profit from continuing operations was PLN 521 million, with total net profit (including GOG sale) at PLN 595 million, up 34% from 2024.

• Gross profit on sales rose 16% to PLN 788.02 million, and gross margin increased to 91%.

• Financial reserves (cash, deposits, bonds) stood at PLN 1,325 million at year-end, despite record development investments.

Outlook and guidance

• Expects development expenditures to increase in 2026 as projects advance, especially The Witcher 4.

• Ambitious management incentive program targets PLN 2 billion cumulative net profit (2023-2026); 74% achieved after three years.

• Focus shifting to new game development, with IP foundations set for future projects.

• Ongoing investment in research, development, and product maintenance to support pipeline.

• Plans to continue strengthening development teams and attract top talent.