Remedy Entertainment Reports Profitable Q1 2026 as Control Resonant Launch Approaches
- Sagar Mankar
- 9 minutes ago
- 3 min read
Remedy Entertainment has published its financial results for the first quarter of 2026, reporting a profitable period as the studio gears up for the launch of Control Resonant later this year.
Here is a quick breakdown of the Q1 2026 financials:
Revenue: €13.1 million (down 1.9%)
Operating profit: €1 million (down 23% year-over-year)
Operating profit margin: 7.8%
Control lifetime sales: Over 6 million copies
The final stretch of last year was difficult for Remedy. FBC: Firebreak, the multiplayer co-op spin-off set in the Control universe, failed to meet expectations and contributed to a €16.4 million loss. That fallout also led to former CEO Tero Virtala stepping down. Development on Firebreak wrapped up in March, and the studio has since shifted its full focus toward its next major release.
Despite the dip in overall figures, there were genuine bright spots. Game sales and royalties increased during the quarter, driven by a few key developments. Control, which launched back in 2019, continued to grow its numbers. According to the report, the original game sold better than it did in the same period last year, helped by promotional efforts and the growing visibility of the upcoming sequel. The game has now crossed 6 million lifetime copies sold, up from five million reported just a few months ago.
Alan Wake 2 also contributed positively. As per the financial report, both Alan Wake 2 and Alan Wake Remastered became available on Amazon's Luna streaming service, generating platform-deal royalties on top of regular back-catalogue sales. That deal gave Remedy an extra revenue stream at a time when it needed one.
As for FBC: Firebreak, the studio confirmed it will stay live. Remedy noted that "upkeeping the infrastructure will not incur significant costs," so players who still want to jump in can do so. It will just not receive any new content going forward.
Development fees declined slightly in Q1 but still made up more than half of total revenue. Those fees came primarily from work on Control Resonant and the Max Payne 1 and 2 remakes, both of which are now in "full production."
The quarter also marked the first full period under new CEO Jean-Charles Gaudechon, who officially took over the role on March 1, 2026, after previously serving as a VP at Electronic Arts. He addressed the results with a steady and forward-looking tone.
"Remedy has a pivotal year ahead, and we are off to a good start," said Gaudechon. "Our first quarter was profitable, our games on the market performed to our expectations and we're making steady progress with our development projects. Delivering a high-quality Control Resonant with a successful launch is our top priority and we are on track for our 2026 launch."
He also spoke about what makes Remedy stand out in a crowded market. "In a volatile and crowded market, Remedy's signature approach to storytelling and gameplay, our proprietary Northlight engine, the Remedy Connected Universe and a unique voice in the industry make Remedy's games stand out in a way that's impossible to replicate."
On the cultural side of things, Gaudechon made it clear he intends to protect what the studio has built over the years. "Remedy's DNA is a product of an ambitious creative culture that has been carefully built over three decades. Protecting and reinforcing that culture and letting it compound is ultimately how we create value and is a key priority for me as the CEO."
Control Resonant is set to launch in 2026 on PC, PS5, and Xbox Series X/S. The studio also confirmed it is the most localised Remedy game to date, supporting 8 audio languages including Chinese and Brazilian Portuguese. Meanwhile, a third unannounced project is currently in the proof-of-concept stage.