PRESS RELEASE: NACON: Q1 2021/22 Sales

                                                Press release

Lesquin, 26 July 2021 18 :00hrs

Q1 2021/22 Sales : 33.7 M€ (-11.3%)

• High comparison basis
• Back catalogue résilience

Confirmation of FY 2021/22 and FY 2022/23 targets

IFRS – M€ Sales Non audited data	2021/2022	2020/2021	Change
1st Quarter Games Accessories Others(1)	33.7 12.2 20.6 0.9	38.0 14.5 22.5 0.9	- 11.3% - 16.0% - 8.8% + 0.5%

⁽¹⁾ Mobile and Audio sales.

In Q1 2021/22 (from 1 April to 30 June 2021), Nacon achieved sales of 33.7 M€, down 11.3% compared to Q1 2020/2021. Despite an unfavourable comparison basis, the back catalogue showed a positive momentum.

GAMES

The video games business posted sales of 12.2 M€, down 16.0% compared with Q1 2020/21, when back catalogue sales were boosted 340% by lockdown. However the good performance of the back catalogue demonstrated its resilience with sales of 9.2 M€ against 10.8 M€ in Q1 2020/21 during the first lockdown, to be compared with 2.4 M€ in Q1 2019/20. The Roguebook (81% positive reviews on Steam) and Pro Cycling Management / Tour de France 2021 games released in the quarter were also well received.

ACCESSORIES

The Accessories business recorded sales of 20.6 M€, down 8.8%, as the introduction of RIG helmets in the USA generated very high sales during the lockdown in the first quarter of 2020/21. Sales of other accessory ranges rose by 19%, thanks in particular to the very good performance of both PlayStation®4 controllers and Pro Compact controllers for Xbox®.

Outlook: confirmation of 2021/22 and 2022/23 targets

In Q2 2021/22, Nacon will release the RIMS Racing and WRC®10 games as well as the Revolution X Pro controller for Xbox®.

Sales are expected to grow in the second half of FY 2021/22. It should be supported by more game releases including Blood Bowl 3®, Rugby22®, Train Life, Hotel Life, Rogue Lords and Vampire: The Masquerade®- Swansong, a cult role-playing game with 30 million players worldwide. The Accessories business is expected to benefit from a year on year higher order book.

Nacon confirms its 2021/22 targets with sales between 180 M€ and 200 M€ and a Current Operating Income (COI)* rate of 20%.

Given the launch in FY 2022/23 of 4 major games (Test Drive Unlimited Solar Crown, Steelrising™, The Lord of the Rings™: Gollum™ and Session™), Nacon is confident that it will achieve its targets for its next financial year 2022/23, i.e. sales between 230 M€ and 260 M€ and a Current Operating Income (COI)* rate in excess of 20%.

* COI rate = Current Operating Income to sales = Current Operating Margin

Upcoming events:
Annual General Meeting: Friday 30 July 2021  

Q2 2021/22 sales: 25 October 2021, Press release after close of the Paris stock exchange

ABOUT NACON

2020-21 ANNUAL SALES 177.8 M€     HEADCOUNT Over 600 employees     INTERNATIONAL 16 subsidiaries and a distribution network across 100 countries https://corporate.nacongaming.com/

NACON is a company of the BIGBEN Group founded in 2019 to optimize its know-how through strong synergies in the video game market. By bringing together its 11 development studios, the publishing of AA video games, the design and distribution of premium gaming devices, NACON focuses 30 years of expertise at the service of players. This new unified business unit strengthens NACON's position in the market, enables it to innovate by creating new unique competitive advantages.      Company listed on Euronext Paris, compartment B ISIN : FR0013482791 ; Reuters : NACON.PA ; Bloomberg : NACON:FP   PRESS CONTACT Cap Value – Gilles Broquelet gbroquelet@capvalue.fr - +33 1 80 81 50 01

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