MAG Interactive AB (publ) publishes Interim Report September – November 2020/2021
Net sales grew by 34% and ARPDAU increased by 43% compared to the same quarter the previous year.
Summary of the period September 2020 – November 2020:
- The Group's net sales for the period were 62,950 KSEK (47,102 KSEK), an increase of 34% compared to the same period the previous year
- EBITDA for the period was 9,290 KSEK (5,029 KSEK)
- The Group's game contribution for the period was 38,466 KSEK (31,373 KSEK), an increase of 23% compared to the same period the previous year
- Average revenue per daily active user (ARPDAU) for the period was 4.1 US cents (2.9 US cents), an increase of 43% compared to the same period the previous year
- The result per share during the quarter was −0.01 SEK/share (−0.11 SEK/share)
- The costs of user acquisition for the period was 16,419 KSEK (11,379 KSEK)
- Daily and monthly active users (DAU and MAU) were 1.9 million and 6.2 million respectively during the quarter, an increase of 4% and 5% compared to the same period the previous year
Comment from the CEO in summary
“Q1 revenues grew 34% to 63 MSEK compared to the same period last year thanks to continuous improvements to the average revenue per daily active user (ARPDAU). The ARPDAU in Q1 is 43% higher than the same period last year - strongly correlated to an 86% increase in in-app revenues.
Wordzee has by far the highest ARPDAU and strongest monetization potential we have seen in a game from MAG, and we continue to be optimistic about the game’s future scaling opportunities. In Q1 Wordzee was the game in the portfolio that attracted the majority of user acquisition investments.
We also report a record game contribution of 38.5 MSEK. The game contribution reflects the margin after having paid for user acquisition and platform fees. The fact that we see the highest game contribution level in many years shows that we are on the right track.
We can also rejoice in that at the end of November we had reached a point where more than 90% of QuizDuel players are actively playing the new generation of the game. New QuizDuel is now the only version of the game available for download. The team can focus on one single product and MAG’s business gets a benefit of a significantly improved ARPDAU now applied across the entire player population. The most significant upcoming new feature in New QuizDuel is the live broadcasting of interactive trivia shows. We aim to start broadcasting these shows targeting the entire German-speaking player base during our financial Q2, which ends in February.
After the end of the quarter, we announced the acquisition of Swedish mobile games developer Apprope. Founded in 2012, they are best known for their game WordBubbles, which has reached about 100 MSEK in lifetime sales and has been downloaded ten million times. Last financial year, ending August 2020, Apprope made a profit of 11.4 MSEK. The acquisition was formally closed on January 4, 2021 and will add almost two full months of contribution to our Q2 results.
We continue to execute on our strategy to improve current games and invest in both user acquisition as well as the development of new games to further grow our business. 2021 is off to a great start and I can’t wait to see what we can deliver together with our new teams from Apprope and Primetime that have joined in the recent months”, says Daniel Hasselberg, CEO of MAG Interactive.
Presentation & Report
On January 20, 2020 at 10:00 CET, CEO Daniel Hasselberg and CFO Magnus Wiklander will present the Interim Report live on Twitch. The presentation will be held in English. Link to the Twitch feed here www.twitch.com/maginteractive. Daniel Hasselberg will also take questions on Twitter during the course of the day, write to @d_hasselberg or @maginteractive. For more information and to read the full report please visit https://www.maginteractive.com/investors/investor-relations/reports/.
This is information that MAG Interactive AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below, at 08:00 on January 20, 2020.