Growth for MY.GAMES in Q3 as the Publisher Builds on Past Success and Consolidates Plans for International Business Development
As MY.GAMES develops its international strategy, 77% of revenue now comes from outside the Russian region & CIS, with the US, France and Germany holding the largest share. Globally MY.GAMES’ revenue is up 13% (RUB 32bn / $434.5m USD) and EBITDA by 34% (RUB 6.5bn / $88.7m USD) compared to 9 months in 2020.
Global gaming brand MY.GAMES (part of VK) today announced its results for Q3 2021 - with revenues growing 2.3% YoY in Q3 (to RUB 10.1bn / $137.2m USD) and EBITDA growing 23% (to RUB 2.4bn / $33.3m USD) and performance still benefiting the company’s exceptional growth in 2020.
The share of revenue coming from markets outside of the Russian territories stood at 77% (versus 75% in Q3 2020), with the US, Germany and France holding the largest share of international revenue.
MY.GAMES has worked throughout Q3 to diversify their global portfolio through M&A and investments and made four investments in new studios - VOX, Tworogue Games, Breach Studios and Wideview Games. In September, the company consolidated Mamboo Games, which publishes hyper-casual and hybrid casual titles, and develops its own games. In total Mamboo Games has added 30 more projects to the MY.GAMES portfolio. Since its launch in 2017, MY.GAMES Venture Capital has closed 47 deals, and in July 2021 the investment division was listed as one of the top 15 strategic investors in a global industry report by analytical platform InvestGame. MY.GAMES now has a total of 14 internal studios and 20 new titles in active development across PC, console and mobile platforms.
Vasily Maguryan, CEO at MY.GAMES commented:
“The year 2020 has set a high bar for the entire games industry. We maintained this level of performance and showed twofold growth without new product launches while increasing our audience within the year by 150 million, reaching 890 million. This became possible thanks to our diversified portfolio, continuous updates in products, and strengthened positions in the mobile gaming market - one of the key drivers for new audiences.”
Overall Highlights for Q3:
The Games segment of Q3’s EBITDA stood at RUB 2.4bn ($33.3m USD) and delivered 23% YoY growth, with a margin of 24% versus 20% in Q3 2020. The segment is firmly on track to deliver margin growth for the year, along with further growth.
Average MAU stood at 21mn in Q3 with a 4.32% share of monthly paying users and APRU of RUB 160 (+7% YoY).
Highlights for the mobile portfolio are:
Mobile games made up a 75% share of the Q3 total (versus 73% in Q3 2020). War Robots, Warface, Hustle Castle, Rush Royale and Grand Hotel Mania were the largest revenue contributors for the quarter.
The top-5 revenue-generating mobile titles in Q3 remained War Robots, Rush Royale, Hustle Castle, Grand Hotel Mania and Left to Survive, with the most recently launched (December 2020) Rush Royale now ranked second in terms of quarterly revenue.
War Robots (2014, Pixonic studio) shooter had 200mn registered users in September, with average monthly revenue of ~RUB 850mn in Q3 and significant positive EBITDA contribution.
Rush Royale (2020, IT Territory studio) tower defence game reached ~14mn downloads with average monthly revenue reaching a new record of >RUB 400mn in September, being the most successful launch in MY.GAMES history, and was launch as cloud game on Facebook Gaming in the US and Canada.
Hustle Castle (2017, Nord studio) RPG title exceeded 71mn in downloads, with >RUB 300mn in average monthly revenue in Q3. The Nord Studio also operates Zero City (~19mn downloads, ~RUB 100mn in average monthly revenue). American Dad! Apocalypse Soon continued to scale, with ~10mn in cumulative downloads as of the end of Q3.
Grand Hotel Mania (2020, Deus Craft studio) time management game approached 13mn installs, with nearly RUB 200mn in average monthly revenue in Q3.
Left to Survive (2018, Whalekit studio) shooter reached 42mn downloads and exceeded RUB 150mn in average monthly revenue in Q3. Another title from this studio, Warface: Global Operations (2020), reached 20mn downloads. Left to Survive was also awarded a Best of Galaxy Store Awards.
Tacticool (2019, Panzerdog) top-down PvP mobile shooter game reached 21mn downloads and achieved nearly RUB 100mn in average monthly revenue in Q3.
Highlights for the PC and Console portfolio are:
The Warface (2013, PC/console/mobile) first-person shooter franchise reached 120mn players worldwide across all platforms and remains a top-3 revenue generator for MY.GAMES. Warface cross-play via console platforms connects over 24mn of players to the same server, with growth supported by the rollout of the new Heist season on PlayStation 4 and Xbox One in September, to be soon extended to Nintendo Switch.
Lost Ark (PC, licensed from Smilegate) MMORPG reached 3mn in registered users.
Tactical action MMO Conqueror's Blade (2019, PC, licensed from Booming Tech) reached 3.5mn in users in Q3.
Free-to-play MMO Skyforge (2017, PC, Allods Team) reached 13.2mn in registered users.
MY.GAMES and the third-party developer (The Farm 51 studio) launched Early Access to tactical online multiplayer FPS World War 3, which is expected to go for global launch in Q1 2022.
In Q3 MY.GAMES continued to port its mobile titles to PC on MY.GAMES Store as part of internal cross-selling and cross-integration, with Tacticool and Grand Hotel Mania ported in Q3.