Cd Projekt Sa Unsp/Adr

Good day and welcome to the CDE Project Group Financial Results for Q3 2021 conference call. Today's conference is being recorded. At this time, I would like to turn the conference over to Adam Kuczynski. Please go ahead.

Good evening. Welcome to the teleconference on CDE Project Group's financial results for the third quarter of 2021. I will run this call together with Piotr Milubowicz, member of the board and CFO. After the presentation, we will run the Q&A session. The webcast of the presentation along with audio feed are also being streamed on our corporate website cdproject.com and on our IR YouTube channel. Let's begin with slide 2, where you will find a chart presenting the allocation of our development team to ongoing projects. As you can see, a gradual shift to new projects is taking place, especially as more and more developers join the team working on the expansion to Cyberpunk. Since its launch, Cyberpunk 2077 has already been significantly improved, which is for example reflected by the increasingly positive sentiment surrounding it on Steam. That said, we are still working hard to better gamers' experience on every platform and to deliver next-gen quality in the next-gen version. Moving on to slide 3, I would like to confirm that both the internal Cyberpunk team and the cyber team working on the next-gen version of The Witcher 3 Wild Hunt are on track to meet the announced target release date for their project. will share more details on both releases next year. Moving on to Gwent. Please have a look at slide 4. As Gwent turns 5 years old, we've decided to make some adjustments to the game's operations. We'd like to remain as flexible as possible, which means Gwent will receive new updates and content drops regularly, while at the same time, part of the team can support other projects at the studio. When it comes to future plans for the game, we are going to share more details during Gwent Masters Season 3 Finals on the 5th of December, so stay tuned. Now, let's move on to slide 5. As we already know, The Witcher Monster Slayer, a location-based AR mobile game, developed by STOCO, launched in July, receiving high user scores on both Android and iOS. Having ensured its high quality, our major goal right now is to improve retention and monetization mechanisms in the game. Along with the newest update to Monster Slayer on November 24th, we introduced a more effective LiveOps system that we believe will encourage more players to have fun within the game. Moving on to slide 6. Just a quick reminder of the two acquisitions that took place in the recent months. In July, we acquired DigitalScapes, a Canadian studio based in Vancouver that we had already been working with for a few years. It has become to the Projekt Red's fourth development team after Warsaw, Krakow and Wrocław. In addition, In October, we joined forces with a Boston-based studio built by industry veterans, the Molassos Flat. Both acquisitions enable us to actively further tap into international talent pools, creating entirely new opportunities for growth. The Projekt RED Vancouver will support the studio with its skills and expertise while working on current and new projects. As for the Molassos flat, it will closely work with CD Projekt Red, developing its own unannounced project based on one of our IPs. Our plan is to dynamically grow both studios in the coming years. Now let's sum up the financials for the third quarter of 2021. Piotr, the floor is yours.

Thank you, Adam. In this part of the presentation, I will guide you through our results for the third quarter of this year. Let's start with the consolidated profit and loss account.