May 3rd, 2007 by Arjan Olsder Posted in Companies & M&A | No Comments »
Glu has released their first real quaterly financial overview since
their IPO floatation on Nasdaq. Glu shows a revenue increase of 94%
which should make investors happy after the shares sunk after the first
days on the market.
At this moment, the last trade share value of Glu is pretty near the point of their IPO which means Glu has recovered strongly. This also justifies the 94% revenue increase to $ 15.7 million in the first quarter of this year compared to the first quarter of 2006. The net loss has settled at $ 764,000 which is much less then the $ 3.5 million loss in Q1 2006.
57% of the revenues came from the top 10 mobile games of Glu which is 1% less then 2006, meaning the rest of the catalogue has become slightly more important. The average per title revenue was $ 890K which is nearly double that of last year.
"We enter the public markets coming off a strong first quarter, and our world-class licensing partnerships and solid distribution network of carriers continue to drive our momentum," said Greg Ballard, Glu’s chief executive officer. "As rapid growth of next generation handsets and advanced networks propel consumer adoption, we believe our position as the industry’s largest truly independent mobile publisher will allow us to further our lineup of award-winning games that reach the more than one billion mobile subscribers around the world served by our more than 150 wireless carriers and other distributors."
Rocky Pimentel, chief financial officer, said, "We delivered a solid performance in our first quarter completed as a public company. We believe we are at the forefront of a large opportunity in the mobile gaming market, and with our balance sheet significantly bolstered by the proceeds from our IPO, we are well-positioned to drive forward with our long term growth strategy to build the world’s leading mobile games company."
Glu expects to raise between $ 16.1 and $ 16.6 million during Q2 2007 with a gross margin between 70% and 71%. The net loss is expected between $ 1 and $ 1.5 million which translates to a loss between $ 0.3 and $ 0.5 per share. For the full year, Glu expects a revenue between $ 68 and $ 70 million.
Update: Added Glu vs. Gameloft chart above
