February 11th, 2009 by Arjan Olsder Posted in Companies & M&A | No Comments »
In their latest quarterly earnings report, Glu has revealed that the company had a consolidated revenue of $21.6 million, an increase of 19% compared to $18.1 million in the fourth quarter of 2007.
The GAAP net loss in the fourth quarter of 2008 was $37.8 million, compared to a GAAP net loss of $912,000 in the fourth quarter of 2007. This loss includes an estimated goodwill impairment of $23.5 million and an impairment of certain royalty guarantees of $4.2 million.
Fourth quarter 2008 non-GAAP net loss was $4.3 million, which includes the $4.2 million royalty impairment, as compared with 2007 non-GAAP net income of $1.5 million, which included a $1.5 million tax benefit.
“Our actions in the fourth quarter of 2008 to restructure the MIG earnout and bonus payments, extend our line of credit and reduce our operating expenses substantially improved Glu’s liquidity entering 2009,” said Eric Ludwig, Glu’s chief financial officer. “We are focused on managing our operating expenses to deliver positive cash flows in 2009 and further improve our liquidity.”
“2008 was a challenging year for Glu
and the industry. We have spent the last several months focused on
setting a solid foundation for executing our business plan in 2009,”
said Greg Ballard, Glu’s chief executive officer. “With our
recent restructuring activities behind us, we stand well situated to
implement a more aggressive publishing strategy for the next
generation handsets, such as iPhone, Android, Blackberry and N-Gage,
while continuing to deliver the best games for the traditional
carrier market. We are committed to operating our business with a
focus on revenue and expense alignment and believe that we will exit
2009 with a stronger and more diversified publishing platform and
stronger partnerships with our key licensing partners.”
