In 2022, Artifex Mundi recorded revenues of PLN 38.5 million, compared to PLN 39.1 million in 2021, achieving a gross profit on sales of PLN 29.4 million. The main reason for the company’s lower recurring result in the previous year was sales recomposition, which was brought about by the changes in Artifex Mundi’s business model.
“Lower proceeds from the sales of premium games are compensated, on a revenue level, by a dynamic growth of the free-to-play segment. Higher sales costs, most of which are investments in player acquisition, and the increase of fixed costs, resulting, among others, from higher non-cash costs of the incentive plan, led to the lower earning capacity of Artifex Mundi’s operations in 2022,” informed President Przemysław Błaszczyk in the Stockholder Letter.
The past year was marked by the success of the Unsolved application, which constitutes a new monetization channel for the company’s HOPA games portfolio. “Thanks to the reorganization and augmentation of the project team, we were able to quicken the pace of testing and implementing application development ideas, whose number throughout the year increased the lifetime value (LTV) of a statistical player by several dozen percent. In 2022, we consciously focused on picking low-hanging fruit in Unsolved by engaging most of our team’s assets in the implementation of ideas, which, in our opinion, had the relatively shortest payback times in order to stabilize a positive cash flow of the project. We invested not only in the product itself but also in our skills regarding player acquisition by building a team whose efficiency and flexibility let us tap into Unsolved’s commercial potential more effectively every month. 2022 did not exhaust all of our ideas for the growth of this product. In 2023, we wish to pursue our strategy of fighting for dozens of small, low-cost successes by expanding content, developing gameplay balance, as well as introducing a range of small changes to the game and placing greater emphasis on devising changes that have a potentially higher impact on LTV, with a new metagame in the forefront,” announced Przemysław Błaszczyk.
Last year, Artifex Mundi earned an operating profit of PLN 9.9 million, compared to an operating profit of PLN 15.1 million the year before. In 2022, the net result was equal to PLN 12.0 million, compared to PLN 12.7 million the year before.
