Glu sees Q1 2011 revenues drop 5%, but smartphone revenue up 94% sequentially

Does 20 million Android and iOS install during quarter

Glu sees Q1 2011 revenues drop 5%, but smartphone revenue up 94% sequentially
Publisher Glu Mobile (NASDAQ:GLUU) has announced its Q1 figures for the three months ending 31 March 2011.

Total revenue was $16.4 million, down 5 percent year-on-year.

Of this, 61 percent came from selling games for feature phones and 39 percent ($5.9 million, up 94 percent quarter-on-quarter) from smartphones.

The company made a loss of $2.6 million compared to a loss of $2.7 million in Q1 2010.

Another view

Its share price remains strong however at around $4, up from a low of under $1.50 in mid-2010.

These figures above use the Generally Accepted Accounting Principles (GAAP). Stripping out changes in deferred revenue and one-off costs, non-GAAP revenue was $17.2 million compared to $17.5 million in Q1 2010.

Non-GAAP net loss was $3.2 million compared to a loss of $3.7 million 12 months ago.

Going for downloads

Perhaps more significant than these figures, which continue to see the company transitioning from its legacy carrier-based model to a freemium smartphone model, was the news that Glu had experienced 20 million new installs of games such as Gun Bros., Contract Killer and Big Time Gangsta across iOS and Android during the quarter.

It now claims 70.2 million life-time installs across all mobile and social platforms.

"The majority of the new titles launched thus far in 2011 are enjoying considerable success and resonating with users worldwide," stated CEO Niccolo de Masi.

"These new titles combined with our persistent successes of Q4 2010 drove 20.0 million new installs in Q1 2011 across iOS and Android devices and social networking websites. New development partnerships announced during the quarter will further underpin growth in the Glu community worldwide."

As part of this activity, Glu used up $2.1 million of its cash pile, up from negative cash flow of $1.6 million a year ago.

It ended the quarter with current assets of $24.4 million compared to $12.9 million three months ago, thanks to its two rights issues.

[source: Glu Mobile]
Contributing Editor

A Pocket Gamer co-founder, Jon is Contributing Editor at 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.