logo
Share SHARE
FONT-SIZE Plus   Neg

GRAVITY Slips To Loss In Q2

South Korean online games developer Gravity Co. Ltd. (GRVY) said Wednesday it slipped to a loss in its second quarter, hurt by lower revenues across most segments and pared gross margin.

Results were impacted by a nearly 14.0% drop in revenues, compared to last year. Revenues at key segment of Royalty and licensing fee slid 10.2%. Subscription revenues fell 26.4%, partly due to non-consolidation of results for Gravity EU SASU, a former unit in France. Mobile revenues declined 9.0% from last year.

Gravity also incurred higher expenses, due to amortization, cost of goods sold by NeoCyon resulting from its increase in sales of goods related to mobile phone, among other factors.

For the second quarter, the company reported a net loss of $1.0 million or $1.13 billion Korean wons, compared to net income of 1.7 billion wons last year.

On a per American depositary share or ADS basis, loss for the quarter was $0.04 or 41 wons, compared to a profit of 62 wons in the prior year.

Net revenues for the second quarter totaled $12.5 million or 14.0 billion wons, a decline from 14.6 billion wons a year ago.

Shares of GRAVITY Co closed Wednesday at $1.46 down 25 cents or 14.62%, on the Nasdaq. In after hours, the stock stock lost 3 cents or 2.08% at $1.43.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Tesla Motors Inc. (TSLA) has launched a new referral program for owners and new buyers of its Model S, as the electric car maker aims to boost sales with the latest marketing strategy. Tesla's referral program offers new buyers a discount of $1,000 if they order a new Model S using the referral link... Marriott reported a 25 percent jump in quarterly profit, topping analysts' estimates, as customers flocked to its hotel properties, driving up occupancy and room rates. The hotel chain provided weak earnings outlook for the current quarter, but lifted its expectations for 2015... Social networking giant Facebook, Inc. said Wednesday after the markets closed that its second quarter profit fell 9% from last year, as higher costs and expenses more than offset a 39% increase in revenue. However, the company's quarterly earnings per share, excluding items, came in above analysts' expectations as did its quarterly revenue.
comments powered by Disqus
Follow RTT