Remedy (REMEDY) Q1 2026 earnings summary

Executive summary

• Q1 2026 was profitable, with revenue of €13.1M, improved EBITDA, and strong operating cash flow, driven by game sales and royalties from Alan Wake 2 and Control.

• CONTROL Resonant is the main focus for 2026, with significant marketing and localization investments targeting global markets, including Asia and Latin America.

• The studio continues to emphasize single-player narrative games, franchise expansion, and self-publishing as core strategies.

• New CEO Jean-Charles Gaudechon, with 25 years of experience, was appointed in March 2026.

Financial highlights

• Q1 2026 revenue was €13.1M, down 1.9% year-over-year, but game sales and royalties nearly doubled to €5.0M, driven by Alan Wake 2 and Control.

• EBITDA improved to €2.9M (22.3% margin), and EBIT was €1.0M (7.8% margin), despite higher depreciation and self-publishing investments.

• Operating cash flow was €8.3M, a significant improvement from -€6.6M YoY, with cash and liquid investments at €34.0M at quarter-end.

• External development expenses fell 44% YoY, while personnel expenses rose 3% in line with headcount growth.

• Net income was €0.5M; EPS was €0.04 (basic and diluted).

Outlook and guidance

• Full-year 2026 revenue and EBITDA are expected to increase from the previous year; long-term targets include doubling 2024 revenue by 2027 and achieving a 30% EBITDA margin by 2027.

• CONTROL Resonant's launch and marketing ramp-up are anticipated to impact future quarters.