CD Projekt S.A. · GPW:CDR
CD Projekt — FY2020 Earnings Presentation
33 slides from CD Projekt's earnings presentation, Apr 22, 2021
Slide 1: CD PROJEKT Group FY 2020 Earnings
CD PROJEKT Group FY 2020 Earnings 22 April 2021 Adam Adam Kiciński // President, Joint CEO Piotr Nielubowicz // Member of the Board, CFO Michał Nowakowski // Member of the Board, SVP Business Development
Slide 2: 2
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Slide 3: Global Release 10.12.2020
GLOBAL RELEASE 10.12 2020 N E X T- G E N C O N S O L E C O M PAT I B L E 3
Slide 4: Team of 530 developers, 5200+ people engaged
TEAM OF 530 DEVELOPERS FROM CD PROJEKT RED 5200+ PEOPLE ENGAGED IN THE PROJECT IN TOTAL 4
Slide 5: 18 Languages
18 LANGUAGES INCLUDING 11 VOICE OVERS INVOLVING 2000 ACTORS 5
Slide 6: 3.1+ Billion ad impressions
3.1+ BILLION AD IMPRESSIONS IN THE GLOBAL DIGITAL CAMPAIGN* OVER 55 LOCALISED MARKETING CAMPAIGNS *total number of ad impressions in the global marketing campaign between November and December 2020 6
Slide 7: 1.2 Billion PLN total budget
1.2 BILLION PLN TOTAL BUDGET 7
Slide 8: 13.7+ Million copies sold in 2020
13.7+ MILLION COPIES SOLD IN 2020 *sell-through in 2020 (units sold; source: company estimates based on information collected from distributors) 8
Slide 9: Cyberpunk 2077 — Units Sold by Distribution Type
CYBERPUNK 2077 — UNITS SOLD BY DISTRIBUTION TYPE* 73% 27% Physical Digital *sell-through in 2020 by distribution type (units sold; source: company estimates based on information collected from distributors) 9
Slide 10: Cyberpunk 2077 — Units Sold by Platform
CYBERPUNK 2077 — UNITS SOLD BY PLATFORM* 28% 56% 17% PC/Stadia PlayStation 4 Xbox One *sell-through in 2020 by platform type (units sold; source: company estimates based on information collected from distributors) 10
Slide 11: Cyberpunk 2077 — Units Sold by Region
CYBERPUNK 2077 — UNITS SOLD BY REGION* 38% 34% 20% 1% ** 4% 3% *sell-through in 2020 by region type (units sold; source: company estimates based on information collected from distributors) 11 **other
Slide 12: 12
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Slide 13: CD PROJEKT Group Strategy Update - RED 2.0 Transformation
CD PROJEKT GROUP STRATEGY UPDATE - RED 2.0 TRANSFORMATION Online experience enriching our IPs Expand Online Gaming community built around GOG GALAXY Franchise value creation through core gaming extensions Build out (e.g. mobile), and partnerships (e.g. TV series, merchandise) The Witcher Cyberpunk P
Slide 14: Our Commitment to Make Cyberpunk 2077 a Long-Term Success
OUR COMMITMENT TO MAKE CYBERPUNK 2077 A LONG-TERM SUCCESS FREE DLCS* | NEW-GEN EDITION COMING IN H2 MULTIPLE PATCHES AND UPDATES *small additional content 14
Slide 15: Witcher
WITCHER
Slide 16: 50+ Million Copies Sold
50+ MILLION COPIES SOLD, INCLUDING 30+ MILLION OF THE WITCHER 3: WILD HUNT 16
Slide 17: The Witcher Series — Annual Revenues
THE WITCHER SERIES — ANNUAL REVENUES The Witcher (PC) The Witcher 2 (PC, X360) The Witcher 3 + expansions (PC, X1, PS4, NS) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 17
Slide 18: The Witcher IP Plans for 2021
THE WITCHER IP PLANS FOR 2021 THE WITCHER: MONSTER SLAYER NEXT-GEN EDITION COMING IN SUMMER 2021 OF THE WITCHER 3: WILD HUNT 18
Slide 19: Financial Results
“FINANCIAL — _ RESULTS —_—
Slide 20: CD PROJEKT Group — Profit and Loss Account
CD PROJEKT GROUP — PROFIT AND LOSS ACCOUNT CD PROJEKT GROUP RED GOG 2019 2020 2020 2020 eliminations 2020 vs 2019 Sales revenues 521 272 2 138 875 1 895 913 343 748 -100 786 310% Revenues from sales of products 304 475 1 839 932 1 786 145 12 937 40 850 504% Revenues from sales of services 38 304 224
Slide 21: GOG.com — Fueled by Cyberpunk 2077 Release
Cyberpunk 2077 Cyberpunk 2077 Cyberpunk 2077 GOG.COM — FUELED BY CYBERPUNK 2077 RELEASE 200 000 180 000 CYBERPUNK 2077 160 000 140 000 120 000 100 000 80 000 60 000 40 000 20 000 0 2018 2019 2020 Q1 Q2 Q3 Q4 21
Slide 22: CD PROJEKT Group — Profit and Loss Account
CD PROJEKT GROUP — PROFIT AND LOSS ACCOUNT CD PROJEKT GROUP RED GOG 2019 2020 2020 2020 eliminations 2020 vs 2019 Sales revenues 521 272 2 138 875 1 895 913 343 748 -100 786 310% Revenues from sales of products 304 475 1 839 932 1 786 145 12 937 40 850 504% Revenues from sales of services 38 304 224
Slide 23: CD PROJEKT Group — Profit vs. Costs and Expenses
CD PROJEKT GROUP — PROFIT VS. COSTS AND EXPENSES 2 200 000 Costs & expenses Net profit 1 650 000 1 100 000 550 000 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 23
Slide 24: Cyberpunk 2077 – Direct Expenditures on Development
CYBERPUNK 2077 – DIRECT EXPENDITURES ON DEVELOPMENT BY RELEASE: 567M PLN – DEPRECIATION PLAN 250 000 200 000 150 000 100 000 40% 50 000 12% 12% 12% 12% 12% 2020 2021 2022 2023 2024 2025 all figures in PLN thousands 24
Slide 25: CD PROJEKT Group – Assets
CD PROJEKT GROUP – ASSETS ASSETS 31.12.2019 31.12.2020 change change% Fixed assets 679 389 764 178 84 789 12% Expenditures on development projects 385 848 406 798 20 950 5% Other financial assets* 0 51 588 51 588 – Other fixed assets 293 541 305 792 12 251 4% Working assets 724 719 2 130 300 1 405 5
Slide 26: CD PROJEKT Group — Expenditures on Development Projects
CD PROJEKT GROUP — EXPENDITURES ON DEVELOPMENT PROJECTS 700 000 525 000 -280 448 589 139 -589 139 259 498 48 270 350 000 377 911 175 000 337 578 28 887 Expenditures on Developed Reassigned from Reassigned Depreciation Expenditures on development in 2020 developments in into finished development proj
Slide 27: CD PROJEKT Group – Assets
CD PROJEKT GROUP – ASSETS ASSETS 31.12.2019 31.12.2020 change change% Fixed assets 679 389 764 178 84 789 12% Expenditures on development projects 385 848 406 798 20 950 5% Other financial assets* 0 51 588 51 588 – Other fixed assets 293 541 305 792 12 251 4% Working assets 724 719 2 130 300 1 405 5
Slide 28: CD PROJEKT Group – Equity and Liabilities
CD PROJEKT GROUP – EQUITY AND LIABILITIES EQUITY AND LIABILITIES 31.12.2019 31.12.2020 change change% Equity 1 105 651 2 187 356 1 081 705 98% Long-term liabilities 25 239 166 153 140 914 558% - Long-term provisions (sales) 513 145 613 145 100 – Short-term liabilities 273 218 540 969 267 751 98% Lia
Slide 29: CD PROJEKT Group — Cash Flow
CD PROJEKT GROUP — CASH FLOW 2 000 000 -113 606 254 105 1 500 000 -574 071 1 000 000 1 154 327 -203 076 -37 157 500 000 -214 259 126 124 874 688 482 301 Cash and Expenditures Net inflows from Net profit Depreciation Change in Increase of Expenditures Other flows Cash, deposits deposits as of on buy-
Slide 30: Board Recommendation Concerning Dividend Payout
BOARD RECOMMENDATION CONCERNING DIVIDEND PAYOUT 503 694 000 PLN — TOTAL DIVIDEND 5 PLN — DPS 30
Slide 31: Q&A
Q&A 31
Slide 32: Thank You
THANK YOU [email protected] [email protected] 32
Slide 33: Legal Disclaimer
LEGAL DISCLAIMER This presentation was created by CD PROJEKT S.A. (“CD PROJEKT”). Data contained in this presentation is valid as of the day of its preparation. Consequently, this presentation will not be subject to changes, updates or modifications to account for events which might occur after this