All-time-high earnings in 2020, everything points to a record 2021
STOCKHOLM–(BUSINESS WIRE)–G5 Entertainment Group (STO:G5EN):
“In many aspects this year has been different than expected, but we felt strongly already at the beginning of the year that we were building a competitive portfolio of attractive games and improving the effectiveness of our user acquisition (UA)”, said Vlad Suglobov, CEO of G5 Entertainment. “We started the year with Jewels of Rome driving growth in own games and during the year we added eight new games to our portfolio. The new generation of games is now counting 13 games. These games generated revenue of only 1 MSEK in Q2 2019 and grew organically to 133 MSEK in Q4 2020. The ongoing improvements in our UA efforts went faster than anticipated and already in the first half of the year we have achieved solid profitability, and in the second half we have delivered the two most profitable quarters in the history of the company, making 2020 a record year. Both our EBIT and EBIT-margin for the full year 2020 set new annual records. We enter 2021 with strong top-line growth momentum and proven cost control, trends that I expect to continue during the year.”
October – December 2020
- Revenue for the period was SEK 335.3 M (328.1), an increase of 2 percent compared to the same period in 2019. In USD terms, growth was 16%.
- Gross margin increased to 59 percent (56 percent), as a larger share of revenue is coming from own games.
- EBIT for the period was SEK 52.3 M (-4.1).
- Net result for the period was SEK 47.6 M (-4.4).
- Earnings per share for the period, before dilution, was SEK 5.30 (-0.48).
- Cash flow amounted to SEK 30.9 M (25.5), impacted negatively by repurchase of own shares of MSEK -12.4 (0.0).
- Average Monthly Active Users (MAU) was 7.4 million, an increase of 27 percent year-over-year.
- Average Monthly Unique Payers (MUP) was 217.8 thousand, an increase of 1 percent year-over-year.
- Daily Active Users (DAU) was 1.8 million, an increase of 12 percent year-over-year.
- Average Monthly Average Gross Revenue Per Paying User (MAGRPPU) was USD 60.3, an increase of 15 percent year-over-year.
- The Board proposes a dividend of SEK 6.25 (2.5) per share, equal to approximately SEK 54.7 M (21.9).
Full year 2020
- Revenue for the period was SEK 1,356.0 M (1,233.0), an increase of 10 percent compared 2019. In USD terms, growth was 15%.
- Gross margin increased to 58 percent (57 percent), as a larger share of revenue is coming from own games.
- EBIT for the period was SEK 189.5 M (51.8), an increase of 266% compared to 2019.
- Earnings per share for the period, before dilution, was SEK 19.11 (5.01).
- Downloads during the year amounted to 31.0 million (22.1), an increase of 41% compared to 2019.
This information is information that G5 Entertainment AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out below, at 07:30 CET on February 11, 2021.
About G5 Entertainment
G5 Entertainment AB (publ) (G5) develops and publishes high quality free-to-play games for both smartphones and tablets that are family-friendly, easy to learn, and targeted at the widest audience of both experienced and novice players. The company distributes its games through the Apple, Google, Amazon, and Windows application stores. The company’s portfolio includes popular games like Jewels of Rome™, Hidden City®, Mahjong Journey®, Homicide Squad®, The Secret Society®, Wordplay: Exercise your brain™ and Jewels of the Wild West™.
Through its head entity G5 Entertainment AB (Publ), G5 Entertainment Group is publicly listed on Nasdaq Stockholm’s main market mid-cap segment under trade symbol G5EN.ST. For the fourth year in a row G5 Entertainment was named one of Europe’s fastest growing companies by FT1000 and named 2nd best share of the decade by Placera Sweden.
More information about G5 Entertainment can be found at http://www.g5e.com/corporate
Vlad Suglobov, CEO
Stefan Wikstrand, CFO
+46 76 00 11 115
Joo Hun Kim, IR
+1 212 868 6760