The publisher tinyBuild it is literally at collapse, after the collapse of its shares due to the publication of its latest financial results, really bad. Revenues are in free fall, with CFO Tony Assenza (nomen omen) leaving the company and taking responsibility for the situation. The result is that the publisher will no longer publish games by third partsto focus on his own, will try to focus on bigger projects and will try the live service route.
The key to the meltdown
Hello Neighbor continues to sell well
On June 29, 2023 tinyBulid notified shareholders that it made less revenues than expected, basically for two reasons: decrease in investments of distribution platforms in non-triple A games; the bad results of Red Cerberus and Versus Evil, two companies acquired in November 2021.
The result is a substantial reduction in projected revenue for the current fiscal year, with the position estimate cash in December 2023 it fell to 10-20 million dollars, against 26.5 million dollars in the previous estimate.
The company is currently reevaluating an undisclosed number of games, both unreleased and released, to arrive at one reorganization of development studios, with probable layoffs in sight.
Following the announcements, shares plummeted, falling 78.8%, to £7.3 a share. It’s about the lowest price of tinyBuild’s shares since going public in 2021. Overall, the company’s shares have lost 92.86% in value since entering the stock market.
The only hopes for the company are that upcoming games, especially Critter Cove, Slime 3K and Kill it with Fire 2, do well and that the most successful back catalog titles, such as Hello Neighbor, Potion Craft: Alchemist Simulator and Not for Broadcast keep selling.