ATARI Announces Results of the first half of 2018-2019

Turnover of 10.8 million euros (+27% at current exchange rate, +31% at constant exchange rate)

Strong increase of current operating income (+87%) to +2.2 million euros, representing an operating margin of 20% of consolidated turnover

Net cash position of +â,¬8.1 million

Confirmation of annual objectives for the year ended March 31, 2019

The audit review of the consolidated financial statements is being finalized. The Auditors' report will be issued after verification of the notes to the financial statements and of the information set forth in the half-year financial report.

The Atari Group announces its consolidated results for the first half ending September 30, 2018, of its 2018-2019 financial year. These consolidated results were approved by the Board of Directors on December 18, 2018. For the full report, please click here.

"We continue to deliver profitable growth by exploiting our catalog of more than 200 globally known Atari games", said Frederic Chesnais, CEO of Atari. "Our strategy is centered around the development of our four divisions: Atari Games, Atari Casino, Atari VCS and Atari Partners. Each of them operates in a sector that is experiencing strong growth, which is a key asset for the Group and long term value creation."

Highlights of the first half ended September 30, 2018:

• Continued performance of RollerCoaster Tycoon on mobile platforms and consoles
• Strong contribution from licensing activities, including the Atari Flashback hardware product, and extension of the AtGames distribution agreement
• Sale of Alone in the Dark and Act of War to THQ Nordic=
• $3 million pre-orders for the Atari VCS through an Indiegogo campaign

Operational projects for the second half of 2018-2019:

• Atari Games: Release of mobile games, in particular Citytopia, Days of Doom, Food Truck Frenzy and Ninja Golf; settlement agreement with a US company ($1.1 million net contribution for Atari), 3 other ongoing infringement proceedings could be completed in 2019-2020
• Atari Casino: Ongoing development of direct operations with an anticipated contribution starting in fiscal year 2019-2020
• Atari VCS: Continuation of work for shipment during the 2019-2020 financial year with a contribution to the results for the years 2019-2020 and thereafter
• Atari Partners: High selectivity of projects. Continuation of the blockchain platform project

Other highlights:

• April 2018: Capital increase of 7.5 million euros
• September 2018: Settlement of the dispute with Mr. Raynal over the Alone in the dark franchise
• November 2018: Admission to the Nasdaq International Program

In light of the first half results, the Group reiterates its annual objective of increased profitability with the key priority of increasing the value of its portfolio of intellectual properties.

The full press release is available here: http://bit.ly/2EAirHn

There are always inherent uncertainty in achieving objectives, the operating budget and the financing plan, and the non-realization of assumptions may have an impact on the valuation of the Group's assets and liabilities.

Last updated: Apr 7, 2020 at 01:12 pm CDT