Remedy Entertainment (NASDAQ:REMEDY)
Remedy Entertainment focuses on producing cinematic quality, single-player AAA games. It has developed a proprietary game engine technology known as Northlight, which allows the company to produce AAA games with cinematic quality. This is the reason that the company has entered into several long-term development partnerships with the likes of Tencent, Sony, and Microsoft. We also discuss Remedy’s latest project, which we will discuss in detail below.
Remedy’s focus is on original, cinematic-quality, story-driven games
Remedy Entertainment focuses on story-driven games with compelling characters. Its focus is on making games that make players think and feel. The company has created games with diverse genres and storylines and has produced games that are cinematic in quality. Its focus on storytelling has made it a popular developer among both mainstream and niche video game fans. While it has some flaws, its focus on unique, cinematic-quality story-driven games has helped the company grow into one of the largest independent developers.
The studio uses its own proprietary game engine called Northlight to create its games. The team has been using the engine in the past, including in Quantum Break and Control. The team says the sequel to Alan Wake will be “visually stunning.”
In 2018, Remedy released its first game, Agents of Storm, an iOS exclusive that portrays the fight between the STORM agency and the Chimera Corporation. In addition to Agents of Storm, Remedy is working on the story mode of CrossFire 2, the sequel to the popular online multiplayer game by Smilegate. The studio is also working on a multiplayer game similar to Left 4 Dead, which is undergoing proof-of-concept testing.
Remedy has no debt and an impressive cash position. The company is executing its strategy with excellent efficiency and has a multi-product pipeline. Its IP portfolio is growing fast, and it is in a growth phase. As a result, Remedy is well-positioned to continue delivering great quality games. Therefore, it is a solid company to invest in.
While its focus is on original, cinematic-quality story-driven games, Remedy also focuses on technology and the future of gaming. Control was a game that won a Critics Choice award at Golden Joysticks. The game has also been nominated in eight categories at the Game Awards. Remedy’s success in the past few years has led to its expansion into multi-project development and publishing. Furthermore, Remedy announced a sequel to Control, which is expected later this year.
The developer’s unique house style
One of the most distinguishing aspects of Remedy’s style is its use of monumental concrete buildings. While other games have flirted with the idea of concrete architecture, such as Deus Ex, Dishonored, and Far Cry 4, Remedy is the first major game studio to use such environments. The game’s concrete setting adds to its overall eerie atmosphere.
Its recent success
Remedy Entertainment is at an inflection point. The company has set a clear growth strategy and is executing it. There is a low-risk profile, and the company has an impressive IP portfolio. Investors should be wary of its cyclical nature, however. As an example, its recent revenue growth rate has been 33%. The company has no history of poor corporate governance or debt. It has multiple products in its pipeline and excellent operational efficiency.
Remedy Entertainment is known for its unique story-driven games, which often feature elements of mystery and eerie sci-fi. In recent years, the company has released a number of successful new IPs, including Control, a third-person action game set in the same universe as Alan Wake. Several of the company’s new IPs have been a hit, including Control, which sold more copies in its first month than any other game in its history. This is a sign of the shift away from physical sales.
Remedy also has a partnership with Tencent, which funds the development of some of its internal games. Remedy also receives development fees from its publishing partners and internal games. These relationships help Remedy maintain profitability and smooth business margins. A recent acquisition by Sony could be in store for the studio. If Remedy’s internal games continue to do well, investors should be excited. After all, Remedy is a small player-focused studio with huge potential.
Its new project
In addition to Alan Wake Remastered, Remedy is working on another AAA game. The studio has approached several publishers with its proposal for the sequel. Ultimately, Epic Games won the bidding war, but recently, Remedy revealed that the game will be a spin-off of Control. While it’s too early to tell if it will be a sequel, it certainly makes sense for the studio to work on a new project while working with Epic.
After the success of Control, Remedy Entertainment has been hard at work on new projects. The studio revealed in its most recent financial statements that it is working on four projects and has a fifth in the works. The studio is continuing to build on the success of Control, and already released a handful of games during the year. The studio has also been preparing to start pre-production on two other projects. Hopefully, we’ll learn more about the upcoming games in the near future.
While Remedy’s current projects are all about expanding its franchises, the company has also been working on smaller-scale games. For example, the company is working on the single-player campaign of CrossfireX and Crossfire HD, as well as a free-to-play co-op game called Vanguard. While Remedy has had plenty of success over the past few decades, their games have also earned them cult status. The studio’s upcoming games will feature elements from the cult hit Alan Wake and could be great success stories.
While Remedy Entertainment has been around for years, it has consistently released quality narrative-driven games. They also introduced hyper-stylized action with the hit Max Payne and the physics-bending sleeper hit Control. In addition to this, they’re working on a larger budget title, Control, and collaborating with Smilegate on a campaign called CrossfireX. With the help of Epic Games, Remedy will soon be able to make more AAA titles.
In addition to these two new titles, Remedy has also announced a collaboration with Tencent on Codename Vanguard, a free-to-play co-op shooter. The game is in the proof-of-concept phase, but Remedy says it’s making progress. It’s also working on Codename Condor, a multiplayer spin-off of Control, which takes place in the Oldest House.