CD Projekt has announced “defining a new framework” for the “Sirius” project. Company stock down

The report, which CD Projekt early in the evening, sounds quite enigmatic and does not portend anything good. Investors noticed this, because the value of the shares of the Polish group went down.

CD Projekt on “defining a new framework” of the “Sirius” project

CD Projekt writes in a press release that it has decided to “create a write-down in the Company’s books for the value of the expenditure incurred so far on development work related to the Sirius project”. This is one of CD Projekt’s games to be set in the world of The Witcher, loved by players, and developed by The Molasses Flood studio (owned by CD Projekt).

The Polish game producer calculates that PLN 33.4 million was spent on the project by the end of 2022 and these expenditures will be charged to the company’s financial result for the previous year. Until the first quarter of this year CD Projekt, in turn, adds PLN 9.5 million, because that’s how much was spent on the “Sirius” project in January and February.

The reason for the decision – as written in the report – is to be “the results of the evaluation of the scope and commercial potential of the Sirius project in its original formula”. CD Projekt also explains that work is currently underway to “define a new project framework”. However, the company did not disclose the details of its plans.

The group’s decision means that CD Projekt has probably decided to change the concept of the game, which will probably push back work on it to the design stage. However, it is hard to guess how much the game would change and how much the decision will extend the work on this title.

The report, however, greatly disturbed the investors of the Polish game publisher, because the shares of the company We Tuesday fell by over 8 percent. from PLN 125.5 (at the time of opening) to PLN 119.76 (at 1 p.m.). On Monday, one CD Projekt share cost over PLN 131.