KongZhong hopes to have turned the corner with Q4 mobile sales up 18% to $5 million

Driving for smartphone growth

KongZhong hopes to have turned the corner with Q4 mobile sales up 18% to $5 million

Chinese mobile and online gaming company KongZhong (NASDAQ: KONG) has announced its unaudited results for FY13, the 12 months ending 31 December 2013.

Total revenues were $179 million, down 4 percent year-on-year.

Revenues from mobile games were $17 million, down 20 percent.

Overall, net income was $20.7 million, down 20 percent.

First turnaround quarter

There was some good news, however, as mobile game sales during Q4 rose 18 percent to $4.9 million.

Mobile games also generated $3.4 million in terms of gross profit, up 43 percent.

This performance was driven by KongZhong's growing portfolio of smartphone games, which rose sequentially 108 percent in terms of revenue generated.

Looking good

"Through in-house self-development and the licensing of overseas games, we will continue to develop our strong pipeline in both mobile and Internet games," commented CEO Leilei Wang.

"Our goals in 2014 are to maintain stable cashflow from our WVAS business, capture fast growth in our mobile game business and in internet games, achieving sustained growth in World of Tanks while having successful launches of Guild Wars 2 and World of Warplanes."

In 2014, the company has already successfully launched new MMORPG Kooky Three Kingdoms, as well as investing $16.5 million in Chinese developer Ourgame.

KongZhong ended the year with cash and equivalents worth $217 million.

[source: KongZhong IR]

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