CD Projekt Red saw little financial impact from Cyberpunk 2077 refunds

Satsuki Then - Apr 23, 2021, 5:44am CDT
CD Projekt Red saw little financial impact from Cyberpunk 2077 refunds

One of the biggest disappointments in gaming in recent memory was the launch of CD Projekt Red’s highly anticipated game Cyberpunk 2077. The game was heavily anticipated but launched with major issues with gameplay and performance, particularly on older game consoles. Many players are so unhappy with the quality of the game that they began asking for refunds, and the developers delivered.

It got so bad for Cyberpunk 2077 that Sony delisted the game from the PlayStation Store and began offering refunds directly. Microsoft followed suit, and refunds flowed to gamers unsatisfied with the title. Recently CD Projekt Red revealed its consolidated financial statement for fiscal 2020, which ended on December 31. The economic impact of returns and other expected adjustments for licensing of Cyberpunk 2077 added up to $51.2 million. That is a massive amount of money and apparently includes digital and retail refunds for the game during 2020.

The amount also covers expectations for continued refunds and lost sales projected through 2021. The $51.2 million includes $10.65 million in refunds made through digital and physical retailers during 2020. The number also includes $2.23 million in direct refunds made via the developer’s “Help me Refund” campaign. The developer projects an additional $38.34 million in refunds and lost sales during 2021.

Those losses include losses that would be incurred from the game not being available on the PlayStation Store, which the developer does say is close to ending. While losing over $51 million is certainly a chunk of change, CD Projekt Red hardly felt the sting with around $563 million in total sales revenue and a net profit of over $301 million. The $51.2 million loss represents about nine percent of the company’s 2020 revenue.


Must Read Bits & Bytes