Do not Nod has warned there’s “materials uncertainty” over its capability to proceed working past January 31, 2027, until it secures additional exterior financing.
The warning got here alongside the French writer and developer’s first-half 2026 results and additional element on a restructuring plan first introduced on September 1.
Gross money fell from $17.9 million (€15.4 million) on the finish of 2025 to $11.4 million (€9.8 million) on the finish of June 2026, and $9.3 million (€8 million) by the top of July.
Do not Nod’s complete working income, which incorporates capitalized manufacturing prices, fell 56% year-over-year to $7.1 million (€6.1 million), down from $16.2 million (€13.9 million).
The corporate additionally mentioned neither its sci-fi journey sport Aphelion nor an unannounced challenge, internally known as P14, met the funding-capacity standards required, regardless of what it described as expressions of curiosity.
Income alone, protecting gross sales and growth work, fell 14% to $7.1 million (€6.1 million) from $8.1 million (€7 million), with gross sales declining to $4.1 million (€3.5 million) and growth income rising to $3 million (€2.6 million), largely pushed by a Montreal-based narrative sport primarily based on a “main” Netflix property. Working EBITDA loss widened to $5 million (€4.3 million), from $2.3 million (€2 million) in the identical interval final yr.
As a part of its restructuring, Do not Nod mentioned it’s “refocusing its operations in France round a single manufacturing line, bringing collectively the experience required to launch new initiatives earlier than the completion of present productions.”
The corporate mentioned a metamorphosis challenge into account may result in the discount of as much as 90 positions in France. The board authorized the plan on September 4, and preliminary talks with worker representatives and union negotiations have begun.
CEO Oskar Guilbert mentioned the outcomes “verify the most important challenges dealing with our business,” including: “The measures being thought of at the moment are troublesome; we totally admire what they might imply for the staff affected and are guaranteeing that the mandatory help measures are put in place.”
This is not the primary warning over Do not Nod’s funds this yr. GamesIndustry.biz reported in June that the corporate’s auditors had warned it may run out of money by November 2026 with out additional financing, after Tencent, Do not Nod’s largest shareholder, declined a request for a short-term capital enhance.
The corporate additionally cut an unspecified number of jobs in 2025 following an earlier restructuring round three genres: RPG, narrative journey, and motion journey.