Flexion Mobile has released its financial statement for the second quarter of 2022, showing a 127 per cent increase in revenue compared to the same period in 2021, reaching $20.8 million. In-app purchases (IAP) accounted for the majority of this boom, increasing by 97 per cent year-on-year to $18 million.
Non IAP revenue increased to $41.6 thousand, compared to $29.1 thousand in the second quarter of 2021.
Gross profit increased by 211 per cent year-on-year, reaching $3.4 million.
A successful quarter
The quarter saw several significant events, such as the signing of FunPlus’s King of Avalon and the launches of titles such as King’s Choice, Kingdom Giard, and Mahjong Treasure Quest. The company also consolidated its acquisition of influencer marketing agency Audiencly.
"This was an exceptionally busy quarter with focus on the integration of the newly acquired Audiencly into the Flexion group, primarily to realise the significant sales and marketing synergies between Audiencly and the Flexion distribution service," said Flexion Mobile CEO Jens Lauritzon. "Specifically, this means that we have started to cross-sell Audiencly influencer marketing to our game developers and our distribution service to Audiencly’s customer base. In addition, our channel sales team has successfully executed on several marketing campaigns to kick-start some of our games in ramp-up. These efforts clearly generated strong growth during the quarter, with revenue from distribution (our organic growth) increasing by 97% and group revenue increasing by 127%."
"Since the Audiencly acquisition, we are now exposed to very complex IFRS acquisition accounting with large potential FX adjustments. In addition, by being a truly global business, we are exposed to FX movements in over 90 currencies around the world. Therefore, we have chosen to eliminate the foreign exchange impact on our EBITDA to illustrate more clearly the underlying profitability of our operations. The strong momentum and growth can clearly be seen in our Adjusted EBITDA, which grew by 80 times to GBP 1.4m for the quarter."
Through its recent acquisition of Audiencly, Flexion Mobile is using Tiktok to advertise its suite of games.