Interim REPORT SEPNOV 2017 MAG INTERACTIVE AB (publ) MAG - - PowerPoint PPT Presentation

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Interim REPORT SEPNOV 2017 MAG INTERACTIVE AB (publ) MAG - - PowerPoint PPT Presentation

Feb 03, 2024 139 likes •367 views

2017/18 MAG INTERACTIVE AB (PUBL) Interim report sep-nov 2017 Interim REPORT SEPNOV 2017 MAG INTERACTIVE AB (publ) MAG Interactive is a leading developer and publisher of casual mobile games for a global audience. MAG Interactive reaches

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Interim REPORT SEP–NOV 2017

Interim report sep-nov 2017 MAG INTERACTIVE AB (PUBL) MAG INTERACTIVE AB (publ) MAG Interactive is a leading developer and publisher of casual mobile games for a global audience. MAG Interactive reaches over 10 million active players every month and the game portfolio consists of ten successful games with over 200 million downloads, including successful titles Ruzzle, QuizClash and WordBrain, all of which have reached #1 spots on the App Store and Google Play. With offices located in Stockholm and Brighton, MAG Interactive’s games are distributed through virtual app stores allowing for global reach with minimum effort. MAG Interactive is listed on Nasdaq First North Premier with ticker MAGI. For more information visit www.maginteractive.com.

2017/18

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mag

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current games

word games + trivia games

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games IN SOFT LAUNCH

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SLIDE 5
  • ur four pillars:

live games, new games, publishing, acquisitions

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biggest events

  • f the quarter
  • Backpacker
  • FEO
  • Preparing for IPO
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SLIDE 7

FEO

value creation through

  • ptimisation of products

+ synergies

z z

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SLIDE 8

2017/18

Topics in finance section

MAG Interactive Quarterly report Q1
  • Net sales development
  • KPI development - DAU, ARPDAU
  • Marketing spend
  • Contribution
  • EBITDA and Adjusted EBITDA
  • Adjusted EBITDA development
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SLIDE 9

2017/18

Definition of presented numbers and periods

MAG Interactive Quarterly report Q1
  • Sep-Nov 2016 MAG Interactive AB (group) only, the Comparison period
  • Sep-Nov 2017 MAG Interactive AB (group) including Feo Media AB from November 7 2017
  • Sep-Nov 2017 Combined MAG Interactive Sep-Nov + Feo Media consolidated from

September 1 2017 (Note 4 in the report - Acquisition note). This is a good representation of the Run rate after the acquisition

  • Sep-Nov 2017 Adjusted for currency effects (Only for Net sales) Same as Sep-Nov 2017,

ie with Feo Media included from November 7 2017, but with Net sales as if currencies had not changed in realation to the comparison period. The fifteen most important currencies used in calculation representing 99% of Net sales

Four different sets of numbers are presented

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Adjusted for Currency effects of -5% Combined

10 000 20 000 30 000 40 000 50 000 60 000 70 000 Sep-Nov 16 Sep-Nov 17 Sep-Nov 2017
 Adjusted for
 Currency effects Sep-Nov 2017
 Combined with
 Feo Media consolidated
 from September 1 2017

2017/18

Net sales development

MAG Interactive Quarterly report Q1

52,990 (-12%) 55,814 (-8%) 62,335 (+3%) KSEK 60,368

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SLIDE 11

1 2 3 Sep-Nov 16 Sep-Nov 17 Sep-Nov 2017
 Combined with
 Feo Media consolidated
 from September 1 2017

2017/18

Kpi development

MAG Interactive Quarterly report Q1

1.8 (+15%) 3.0 (+93%) Million
 DAU

1 2 3 4 5 Sep-Nov 16 Sep-Nov 17 Sep-Nov 2017
 Combined with
 Feo Media consolidated
 from September 1 2017

DAU ARPDAU 4.8 3.8 2.9 US cents ARPDAU 1.6

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SLIDE 12

2017/18

Arpdau

MAG Interactive Quarterly report Q1

US cents

1 2 3 4 5 MAG Interactive
 Sep-Nov 2016 MAG Interactive
 (excl Feo Media)
 Sep-Nov 17 Feo Media
 Sep-Nov 17 Sep-Nov 2017
 Combined with
 Feo Media consolidated
 from September 1 2017

4.8 1.3 2.9 4.7

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2017/18

Summary of net sales development

  • Net sales is down by 8% adjusted for currency effects
  • High revenue dependance on currencies with more than 50% sales from

USD, SEK is only 4%, total currency effect is -5.3%

  • UA spend in USD offsets most of that dependency
  • Net sales run rate with acquisition of FEO Media is up 3% from last year
  • Marketing spend down by 26%
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SLIDE 14

2017/18

Marketing spend

MAG Interactive Quarterly report Q1

KSEK

10 000 20 000 30 000 Sep-Nov 2016 Sep-Nov 2017

23,975 KSEK 17,748 KSEK (-26%)

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2017/18

Comments on marketing spend

  • Working with ROI goals to ensure proper return on investment
  • 6-9 months target ROI time
  • Sophisticated models take care of the calculations, highly

automated

  • Lower spend will cause lower DAU
  • Organics usually convert and spend less and hence lower

spend creates downward push on ARPDAU

  • Fluctuations in UA spend is normal
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Combined

10 000 20 000 30 000 40 000 Sep-Nov 16 Sep-Nov 17 Sep-Nov 2017
 Combined with
 Feo Media consolidated
 from September 1 2017

2017/18

Game Contribution

MAG Interactive Quarterly report Q1

23,236 (+4%) 32,082 (+44%) KSEK 22,351

Game contribution = Net sales - Platform fee - Marketing spend

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2017/18

Adjusted ebitda

MAG Interactive Quarterly report Q1

Total adjustments in the period Sep-Nov 2017 of 35,0 MSEK
 (detailed in note 3 in the report)

  • Final consideration for acquisition of MAG Games Ltd (Delinquent),

714 175 shares issued at ratio value effects profit and loss with 31,4 MSEK (note 3)

  • IPO costs 2,6 MSEK
  • Acquisition costs 1,0 MSEK

Total adjustments in the period Sep-Nov 2016 of 0 MSEK

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Adjusted

2,452 KSEK

2017/18

Adjusted ebitda

KSEK

−40 000 −30 000 −20 000 −10 000 10 000 Adjusted EBITDA
 Sep-Nov 2016 EBITDA
 Sep-Nov 2017 IPO cost
 adjustment Acquisition
 cost
 adjustment Delinquent
 adjustment for
 profit and loss
 effect Adjusted EBITDA
 Sep-Nov 2017

8,827 KSEK

  • 32,557 KSEK

+2,628 KSEK +976 KSEK +31,405 KSEK

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2017/18

Adjusted Ebitda development

KSEK

2 000 4 000 6 000 8 000 10 000 Adjusted EBITDA
 Sep-Nov 16 Change in
 Contribution Change in
 Personel
 costs Change in
 Capitalised
 work Change in
 Other Adjusted EBITDA
 Sep-Nov 2017 FEO Media
 1 Sep to
 6 Nov Combined EBITDA
 with Feo Media
 consolidated from
 September 1 2017

A bridge from Adjusted EBITDA Sep-Nov 2016 to Adjusted EBITDA Sep-Nov 2017 8,827 +885

  • 4,302
  • 1,291
  • 1,667

2,452 2,361 4,813

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2017/18

summary of contribution and ebitda

  • Contribution strengthened through acquisition, run rate is up 44%

compared to last year

  • Costs are higher due to investments in organisation and added operational

costs from acquisition

  • Cost synergies related to the acquisition will be realised during 2018
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  • ur four pillars:

live games, new games, publishing, acquisitions

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Q&A