The financial pressure

DON’T NOD’s first-half filing separates revenue from total operating revenue, an important distinction in understanding the deterioration. Revenue was €6.1 million, down 14 percent, while total operating revenue also landed at €6.1 million after no production costs were capitalized, a 56 percent decline from the prior-year period. Operating EBITDA was a €4.3 million loss, compared with a €2 million loss in the first half of 2025.

Liquidity is the sharper warning. Gross cash fell from €15.4 million at the end of 2025 to €9.8 million at the end of June and €8 million at the end of July. The company says its ability to continue beyond January 31, 2027 partly depends on obtaining external financing. That is a disclosed material uncertainty, not a declaration that closure is inevitable.

What the labor process now means

The September 1 update described a transformation under consideration. On September 4, the board approved launching the project, the first meetings with employee representatives took place and management began union negotiations. The French operation would be refocused around one production line, and the contemplated workforce adjustment could remove up to 90 positions.

‘Up to 90’ is a maximum under discussion, not a completed headcount reduction. Consultation can affect scope, timing and support measures, so the number of actual departures cannot be stated yet. The filing likewise does not report an agreement with employee representatives or successful new financing.

What it changes for the games

The filing links production capacity directly to funding. It says costs for Aphelion and project P14 were not capitalized during the period, and identifies the Montreal team’s work on a narrative game based on a major Netflix intellectual property as a source of development revenue. The licensed property, production status and release plan remain unnamed.

For players, the immediate consequence is not a confirmed cancellation. It is a smaller proposed French structure, less cash available to absorb delays and a financing dependency that can shape which projects continue or begin next. The next reliable milestones are the outcome of consultation, a final headcount decision, additional financing and project-specific announcements.