Chinese online publisher Changyou (NASDAQ: CYOU) has announced its unaudited Q1 FY14 financials for the three months ending 31 March 2014.
Total revenues were $180.8 million, up 2 percent year-on-year.
Of this, online and mobile games made up $163 million of sales, also up 2 percent year-on-year.
The company made a net loss of $19.5 million, compared to net income of $77.6 million 12 months ago.
Slight decline
The reason for this performance was reduced revenue and activity from the company's key online games TLBB (aka Dragon Oath 3) and Wartune in China.
There were also increased bandwidth costs and the consolidation of losses from recent acquisition RaidCall.
We are making good progress in building an integrated platform for gamers around 17173.Dewn Chen
Changyou expects to make a net loss of $14-$20 million in Q2, due to increased investment in staff and general marketing and promotion.
From the web
Company president Dewn Chen also spoke about the growing importance of the company's 17173.com consumer website, especially in terms of video content and live broadcasting of e-sport event.
"We are making good progress in building an integrated platform for gamers around the content and offerings of the 17173 business," he said.
"The 17173 website is expanding across multiple platforms as more users download and install our software applications, including 17173 Browser on PCs and 17173 Mobile on mobile and other applications that we have been promoting heavily.
"We will maintain the intensity of our advertising campaign for software applications and platform initiatives throughout the year in order to advance the platform business."
[source: Changyou]
