PlaySide Projects FY26 Revenue Above A$48.7 Million with Meta Deal
PlaySide Studios has extended its development contract with Meta Platforms for Horizon Worlds by 12 months, reinforcing its revenue outlook through 2026.
- 12-month extension of Meta contract through December 2026
- Continued work on Horizon Worlds social platform
- FY26 revenue expected to exceed FY25's A$48.7 million
- Operating costs anticipated to decrease
- Contract terms remain substantially unchanged
Contract Extension Secures Revenue Stream
PlaySide Studios, an Australian video game developer and publisher, has announced a 12-month extension to its existing Work for Hire contract with Meta Platforms Technologies, LLC. This extension relates to PlaySide's ongoing development work on Meta's Horizon Worlds social platform and will now continue through to December 2026 on substantially the same terms as before.
Building on a Strong Partnership
This latest extension follows a previous contract renewal announced in June 2024, underscoring the sustained collaboration between PlaySide and Meta. Horizon Worlds, Meta's flagship social virtual reality platform, remains a key project for PlaySide, which has a diverse portfolio of around 60 titles across multiple platforms including PC, console, mobile, and mixed reality.
Positive Financial Outlook
Management has reaffirmed its expectation that PlaySide's revenue for fiscal year 2026 will surpass the A$48.7 million recorded in fiscal year 2025. This optimistic forecast is coupled with an anticipated reduction in operating costs, suggesting improved profitability and operational efficiency. The company points investors to its FY25 Results Investor Presentation for more detailed financial insights.
Strategic Positioning in the Gaming Industry
PlaySide's ability to secure ongoing contracts with major technology players like Meta highlights its growing stature in the competitive video game development sector. Beyond Meta, PlaySide collaborates with other industry giants such as Activision Blizzard, Netflix Games, and Take Two Interactive, while also supporting smaller independent studios through its publishing arm.
Looking Ahead
With the Meta contract extension in place, PlaySide Studios solidifies a significant revenue stream that provides both stability and growth potential. Investors will be watching closely for further updates on contract developments and financial performance as the company navigates an evolving gaming landscape.
Bottom Line?
PlaySide’s Meta contract extension sets the stage for sustained growth, but investors will want to monitor upcoming financial disclosures closely.
Questions in the middle?
- What are the specific financial terms and revenue contributions of the Meta contract extension?
- How will PlaySide achieve the anticipated reduction in operating costs while scaling revenue?
- Are there plans to expand development work beyond Horizon Worlds or with other Meta projects?