Glu Mobile (NASDAQ:GLUU) has announced its figures for Q3 FY12, the three months ending 30 September.
Revenue was $21.3 million, up 12 percent year-on-year, although down 10 percent compared to Q2 2012.
The company made a loss of $4.2 million, an improvement on the $7.3 million it lost during Q3 FY11.
However, Glu used $2.6 million of its cash flow. During Q2 FY12 it was adjusted EBITDA cash flow positive.
Troubling headwinds
"We are satisfied with our 73 percent year-over-year growth in non-GAAP smartphone revenue. User reviews remained strong, with growth in daily active users from July to September," stated CEO Niccolo de Masi.
"Q3 was underpinned by the strength of newly launched Eternity Warriors 2 across iOS and Android and the continued success of catalog titles Frontline Commando and Deer Hunter Reloaded.
"As expected, both consumer adoption of new hardware, and advertising demand, slowed over the summer in anticipation of new device launches. These industry headwinds, along with weaker-than-anticipated monetisation from most new launches during the quarter, resulted in a sequential decline in smartphone revenue from Q2 2012."
Small year
During the three months, Glu launched 11 free-to-play games, generating $16.5 million in micro-transactions, in-game advertising and offers.
However, it said that many of these titles performed more weakly than expected.
CFO Eric R. Ludwig also highlighted some concerns in terms of ongoing revenues generated by offers.
"Our fourth quarter is being impacted by the combination of underperforming titles launched in Q3, Apple's prohibition of incentivised advertising for external HTML 5 sites, along with the reduction in the number of titles launched during the quarter as we further optimise their monetisation," he stated.
With this in mind, Glu dropped its full year predictions to between $86.4 million and $87.4 million (using the non-GAAP accounting methods). This is also because it's pushing the release of five titles into 2013.
This compared to a prediction of $94.4 million and $96.4 million provided in August: a difference of between $8-9 million.
The company expects to end the year with $21.5 million in cash. It currently has $24 million in cash and cash equivalents.
[source: Glu Mobile]
News
Contributing Editor
A Pocket Gamer co-founder, Jon is Contributing Editor at PG.biz which means he acts like a slightly confused uncle who's forgotten where he's left his glasses. As well as letters and cameras, he likes imaginary numbers and legumes.
Top Stories
News
4 hours, 20 minutes ago
Delta game emulator hits No. 1 on the App Store download charts in 35 countries
News
6 hours, 19 minutes ago
Week in Views - The search for skills, billion dollar birthdays and terrific transmedia
News
7 hours, 5 minutes ago
Get practical tips into key game development tools and methodologies at the Dubai GameExpo Summit
News
7 hours, 20 minutes ago
PocketGamer.biz Podcast - DoubleDown Interactive’s Faith Price on lifecycle marketing tips to extend your app’s lifespan
News
8 hours, 42 minutes ago
Rovio's Angry Birds environmental campaign comes in to land on Earth Day
News
6 hours, 19 minutes ago
Week in Views - The search for skills, billion dollar birthdays and terrific transmedia
Feature
9 hours, 20 minutes ago
New release roundup: Take That: This is Life, Neopets: Tales of Dacardia, Persona 5: The Phantom X and more
Feature
Apr 19th, 2024
Speaker Spotlight: Xsolla's Chris Meredith on making the most of D2C and today's revenue opportunities
Events
HIT Games Conference Istanbul 2024 | Apr 18th | |
Game Job Fair – Spring Edition 2024 | Nordic | Apr 18th |
Arts DAO Fest 2.0 | Middle East | Apr 20th |
App Promotion Summit London | Europe | Apr 25th |
Esports Future Summit | Middle East | Apr 27th |
Dubai GameExpo Summit 2024 | Middle East | May 1st |
The MENA Games Industry Awards 2024 | Middle East | May 2nd |
GameDev Atlantic 2024 | May 4th |
Popular Stories
Feature
Apr 15th, 2024
46 top mobile games in soft launch: CSR 3, Plants vs. Zombies 3, LEGO Hill Climb Adventures, Candy Crush Blast, and more
News
Apr 17th, 2024