Mobile freemium game developer Glu Mobile reported steady fourth quarter results — in which an increase in revenue failed to push the company into profit — while launching a new division to help third-party developers.
Glu CEO Niccolo de Masi said smartphone revenue was flat compared to the previous quarter due to the company’s decision to delay the global launch of around half of its titles originally planned for the final quarter of 2012.
He added that the company expects to see momentum created when the new titles incorporating its new monetisation systems are launched.
“Our new product roadmap emphasises deeper and more immersive gameplay designed to drive higher monetisation and lifetime value. Every game we release in 2013 is designed to have the potential to outperform our best titles of years past,” he said.
Glu also announced the launch of its Glu Publishing arm which will work with third-party developers to help them expand their global reach. The new division will help developers of successful iOS apps to expand onto Android, Windows Phone 8 and Amazon.
The first games from the Glue Publishing initiative are expected to emerge in the second half of 2013. In 2014, the aim is to launch one third-party game per month.
Non-GAAP revenue for the fourth quarter was $20.8 million, compared to $20.1 million during the same period in 2011. The company made a non-GAAP net loss of $3.2 million, compared with $1.4 million in 2011.
Total non-GAAP smartphone revenue for the fourth quarter was $18.5 million, up 24 per cent year-on-year and representing 89 per cent of total non-GAAP revenue.
For the first quarter of 2013, the company expects non-GAAP revenue of $17-18.5 million and for its non-GAAP net loss to increase to $4.3-5.6 million.
Comments