3 days ago
Software firm behind Call of Duty's online services records €3.6m Irish profit
The Dublin-headquartered software company responsible for online services for the popular video game Call of Duty has recorded pretax profit of €3.57 million in Ireland.
Demonware Ltd, which designs, develops and hosts the online services behind popular video game franchises, recorded a rise in revenues to €31.5 million in its latest, extended financial period.
This was a 92 per cent increase from the €16.4 million revenue the company recorded in 2022, accounts filed with the Companies Registration Office show.
The company reported figures for an 18-month period, encompassing January 2023 to June last year, following
Microsoft's
acquisition of its direct parent company, Activision Blizzard Inc, for $68.7 billion (€60 billion) in 2023.
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Cost of sales stood at €24.3 million during the period, increasing by more than 80 per cent over the €13.3 million figure the year prior. Administrative expenses also rose, more than doubling from €1.63 million to €3.65 million.
Staff costs rose from €13.26 million in 2022 to €24.3 million by June 2024, driven by share-based payments which doubled to €3 million and 'restructuring costs' of €493,000.
Average monthly employees increased slightly, from 81 to 86, predominately computer programmers.
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Call of Duty owner Activision Blizzard records €2.5m profit in Ireland
]
These rising costs were outweighed by increased revenues earned from running online services such as matchmaking, microtransactions and identity management of nearly 500 million users for its direct parent company on a costs-plus basis.
Demonware Limited holds all of the shares in Canada-based Demonware Incorporated, which returned a profit of 14 million Canadian dollars (€9 million) for its financial period ending June 30 last year.
Founded in Ireland in 2003 by entrepreneurs Dylan Collins and Sean Blanchfield, the company was acquired by Activision Blizzard in 2007 for a seven-figure sum, but it retains its headquarters in Dublin with offices in Vancouver and Shanghai.
