MAG Interactive AB (publ) publishes Interim Report September - February 2022/2023

USA - English

• USA - English

STOCKHOLM, March 29, 2023 /PRNewswire/ -- MAG reached its highest Q2 revenue yet; net sales increased 25% to 96 MSEK, and ARPDAU grew 32% compared to the same quarter last year.

Summary of the period December 2022 – February 2023:

• The Group's net sales for the period were 96 113 KSEK (76 772 KSEK), an increase of 25 %

• EBITDA for the period was 9 826 KSEK (21 541 KSEK)

• The Group's game contribution for the period was 42 944 KSEK (54 072 KSEK), a decrease of 21 %

• Average revenue per daily active user (ARPDAU) for the period was 7,8 US cents (6,0 US cents), an increase of 32 %

• The result per share during the quarter was −0,12 SEK/share (0,29 SEK/share)

• The cost of user acquisition for the period was 41 171 KSEK (13 981 KSEK)

• Daily and monthly active users (DAU and MAU) were 1,3 million and 3,7 million respectively during the quarter, a decrease of 15 % and 26 %

Comment from the CEO in summary

"Revenues are up 25% relative to the same period last year, making it our highest Q2 revenues to date. Compared to Q1 the revenues are stable in SEK but slightly up in USD. The fact that revenues remain stable in Q2, while user acquisition (UA) investments are about 10 MSEK lower, shows that UA investments in prior quarters are contributing to this quarter's revenues in a significant way. 

"For an outside observer of our business, it can be valuable to see how quickly profitability bounces back when UA investments do not sequentially increase. The EBITDA margin in Q2 was 10%–compared to 0% in Q1–and, given the current pace of investments in UA, we expect the margins to continue to improve. Our cash position has grown since Q2 last year, while concurrently growing the revenue base significantly through investments in UA.

"Our daily active users (DAU) increased by 8% relative to Q1. This is partly thanks to the growing DAU of Wordzee driven by UA and partly thanks to increasing downloads and improved retention of QuizDuel. 

"Relative to last year's Q2 the DAU is down by 15%, following the pattern of fewer, but higher quality players coming in from UA as described in previous quarterly reports. Connected to the improved user quality we continue to see a year-over-year increase in IAP revenues by 55%, and the average revenue per daily active user (ARPDAU), which is up 32%.

"We continue to be excited about the potential for our new games and hope to share more news regarding their development during Q3. The multiplayer word game mentioned in the Q1 report continues to develop in a good direction with stronger metrics with every market test release.

"Thanks to having a well run UA machinery we can also actively control our cash flow. We keep a very positive outlook for our business and aspire to continue our growth journey for many years to come," says Daniel Hasselberg, CEO at MAG Interactive.

Summary of the period September 2022 – February 2023 (6 months):

• The Group's net sales for the period were 193 439 KSEK (146 610 KSEK), an increase of 32 %

• EBITDA for the period was 9 829 KSEK (38 674 KSEK) 

• The Group's game contribution for the period was 76 079 KSEK (101 892 KSEK), a decrease of 25 %

• Average revenue per daily active user (ARPDAU) for the period was 7,8 US cents (5,8 US cents), an increase of 35 %

• The result per share during the period was −0,54 SEK/share (0,43 SEK/share)

Presentation & Report

On March 29th at 08:00 CET, a recording of CEO Daniel Hasselberg and CFO Magnus Wiklander's presentation of the Q2 Interim Report will be published on MAG's Youtube channel: https://www.youtube.com/@maginteractive. The presentation is held in English. Daniel Hasselberg will 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 March 29, 2023.

CONTACT:

For additional information, please contact:
Daniel Hasselberg / CEO / +46 (0)8 644 35 40 / [email protected]
Magnus Wiklander / CFO / +46 (0)8 644 35 40 / [email protected]

The following files are available for download: