About THQ Nordic
THQ Nordic’s game portfolio consists of both owned franchises (IP) and published titles.
The Company focuses on owning its own franchises and developing and publishing these,
and as of 31 October 2016 had around 75 owned franchises in the portfolio. The Company
also publishes game titles for various strategic partners and as at the same date had around
60 published titles in its portfolio. In 2015 owned franchises generated 76% of sales and
82% of gross profit, while published titles generated 22% of sales and 18% of gross profit.
The Company’s marketing strategy focuses on building relationships with leading
digital distribution channels such as Steam, with more than 125 million users in 2015
and a market share of 75% within digital PC games, marketing via social media such
as Facebook and YouTube, and close interaction with and understanding of the fans, for
example by participating in gaming conventions and actively fostering forums.
The Company has global physical distribution capacity via retailers such as Walmart,
Gamestop and Amazon, and extensive digital distribution capacity through established
relationships and agreements with around 40 digital distribution channels such as Steam,
PlayStation Store and Xbox Live.
THQ Nordic’s financial performance in recent years has been strong. Net sales growth
in the first nine months of 2016 was 52% compared with the same period in 2015, and
average annual growth in 2014 and 2015 was 44%. The underlying EBIT margin was 31%
in the first nine months of 2016 and 37% for full-year 2015.