Gree profits down year-on-year as revenues slide!

[thescondo]

Now we know why Gree is squeezing us in these new events!


By Craig Chapple
February 14th 2014 at 11:30AM

Net sales fall by £40m during Q2 compared to the year prior

Profits at mobile gaming firm Gree have fallen year-on-year as its revenues continue to slide.

For the three months ending December 2013, the company reported net sales of ¥32.6 billion (£192m), down from ¥35.3bn (£207.5m) in the previous quarter. This was also down significantly from the ¥39.4bn (£232m) reported during the same period the year prior.

Profits grew ¥5bn (£29m) to ¥7.4bn (£43.5m) however compared to the previous quarter, but this was still down from Q2 2013, which saw the company bring in ¥9bn (£53m).

Despite falling revenue, with Japan sales declining quarter-on-quarter, Gree said its overseas operations grew to $200m (£120m) in 2013.

To help combat overall falling revenue, Gree has said it is working a number of new first-party titles in new genres for the firm such as action battle RPG, side-scrolling RPG, real-time strategy and action tower defence in an effort to boost sales.



Link:

http://www.develop-online.net/news/gree-profits-down-year-on-year-as-revenues-slide/0189255

Rahibi - Good call on hitting that Gree Tag!

Link to past Gree news we may have missed:

http://www.develop-online.net/news/tag/gree

[andy2]

they don't seem to listen to or care about customers.. its no wonder. Hiking prices up does not always lead to more net sales.

[rahibi]

Wow. Click on the link then click on the gree tag. Shows a lot of what gree has been up to.

[oakletixfan]

Wow. Click on the link then click on the gree tag. Shows a lot of what gree has been up to.

Good call...WOW

[JCL]

In business school, this is that gradual decline before either a complete reorg/turnaround, or long road into the sunset. It's evident when sales are down 10% and yet revenue is up that they're cutting corners somewhere.

I will disagree that they're not doing something, the problem is it's not the right things. You have to focus on your core. In this case, it's gameplay. You can come up with all these gimmicks, gadgets, and whatnot, but until they figure out their core gameplay is broken, they'll never turn this game around. I won't bother going into how its wrong as I've ranted on this topic quite a few times.

[Robespierre]

This is a different, yet more explanatory article:

http://www.gamasutra.com/blogs/MikeLu/20140110/208428/Lessons_on_Mobile_Gaming_from_a_Whale.php

It explains quite a bit of why things are they way they are--quite enlightening.

Draw your own conclusions, read the comments, and even some industry folks have insight on the author's concept.

http://i.imgur.com/HJWawLk.gif
(double entendre intended)

[Sir fisher]

Revenue might be down in japan but overseas where the majority of players are has grown, no wonder they keep putting these high energy gold guzzling events on

[FunzioPlayer]

JP:3632 (Gree Inc.) from 52 week low of 676 to 1158. :cool: