It’s been a rough year for Playlogic Entertainment. Today, the independent game publishing house announced their financial results for the year ending on December 31, 2009. The company reported a $2.1 million gain in net revenue, rising from $9.0 million to $11.1 million year-over-year. They also reported an increase in net loss from the same period in 2008, more-than-doubling from $9.5 million to $20.3 million.
This year Playlogic launched their own internally-developed title in the form of Fairytale Fights for PlayStation 3, Xbox 360, and PC. While the title brought an increase in revenue, the cost of research, development, and marketing the title was not insignificant and depressed overall profits. The internal studio, Playlogic Game Factory, is already working on new titles.
With increased losses in mind, the company also reached an agreement to restructure their equity. Playlogic had $21 million in debt on their balance sheet and was looking to improve their net worth. As such, the debt was creatively restructured, “resulting in a positive effect on equity of $21 million without any dilution for existing shareholders.”
Playlogic Game Factory remains a first-party contractor for Sony Computer Entertainment Europe, having previously worked on the EyePet title. The studio is committed to creating new titles for the PlayStation Move motion controller.
