in Mobile Gaming

#G5 Entertainment: Ranking check and Q4 preview

This week’s ranking check for G5 Entertainment’s games shows an unchanged trend of strong and improving iOS positions and a sluggish, albeit slightly positive, development on Google Play. It appears to be that the absence of more free-2-play titles for Google Play is a drag on the overall Google Play- portfolio. So far, G5 has only Virtual City Playground as free-2-play on Google Play. Meanwhile, it’s other free-2-play titles Secret Society and Doomsday Preppers continue to sell well on iOS, in particular Secret Society. We hope to see both of these titles soon on Google Play.

In any case, you can easily see in the charts below, that 2013 has started very well for G5 Entertainment. While a recent article citing “doubling profits in early 2013” might have been exaggerated and inaccurate, we are looking forward to any comments from G5 Entertainment’s management regarding the Q1 2013 development on Monday, when the company will present its Q4 2012 report.

On January 11th, G5 released its preliminary FY 2012 numbers,  forecasting revenue of 80 MSEK, with operating result of 25 MSEK, and earnings per share of 2.7 Kr. This corresponds to achieving 72% revenue growth and 42% operating result growth compared to the same period of 2011. We believe it is unlikely that we will see a major deviation in the final results. G5 had a strong finish to 2012 so there might a slight upside to the preliminary numbers from that perspective. On the other hand, the Swedish Kronor (SEK) has been appreciating towards the USD, which will, ceteris paribus, have had negative translation effects for the company.

In an interview with Nordic Investor, CEO Vlad Suglobov indicated that G5 had a great holiday season 2012 and a great start to 2013 with January most probably becoming a record month for the company. We expect to get a confirmation of that in the comments in connection with the report and maybe even an outlook for Q1 as a whole. We will also be looking out for any comments regarding the new owners who participated in the recent directed share issue, as well as comments on new game releases.

Number of G5 Entertainment games among the top grossing charts for iOS:

(We are screening the app markets of Australia, Brazil, Canada, China, France, Germany, Italy, Japan, Netherlands, Russia, South Korea, Spain, Sweden, UK and USA)


Number of G5 Entertainment games among the top grossing charts for Google Play:

(For Google Play, we are screening the app markets of Germany, Denmark, Sweden, and USA)


Nordic Investor

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