BoomBit Group financial results for 2020 – A story of hyper-casual game success

BoomBit NewsInvestor news
23 April 2021

BoomBit, a global developer and publisher of mobile games, summarizes the year 2020.

In 2020 the BoomBit Group generated 140M PLN in revenue, nearly 3 times more than in 2019. In 2020 the Group achieved 22.3M PLN EBITDA and 14.6M PLN net profit. The cost of user acquisition operations for that year amounted to 68.8M PLN. In 2020 hyper-casual mobile games were responsible for approximately 70% of the yearly Group revenue.

Revenue for the first three months of 2021 was 43.7M PLN (+16% when compared to the first three months of 2020). In March 2021 alone, the BoomBit Group generated 20.5M PLN in revenue, setting a new record in the Group’s history.

Last year BoomBit Group games were downloaded more than 200M times, while in 2020 the total number of downloads since the company was established passed the 800M threshold. As of today, that number is nearing 900M. The Group estimates that this year it will achieve the symbolic number of 1 billion downloads.

In accordance with our strategy, 2020 was a year of a comprehensive expansion of our hyper-casual games portfolio. This area generated most of our revenue last year, starting with Q1 2020. Thanks to a dynamic growth of this sector, supported by satisfying results in other game genres, as well as properly scaled user acquisition operations, we were able to achieve impressive results both in terms of the number of game downloads and financial resultssays Marcin Olejarz, President of the Management Board of BoomBit S.A.

Our success in 2020, as evidenced by our revenue and financial results, was possible thanks to strategic decisions made at the beginning of the year to expand our portfolio towards the highly prospective hyper-casual mobile games. We saw huge potential in this area and decided to focus on the development and publishing of projects in the hyper-casual genreadds Hannibal Soares, Vice- President of BoomBit S.A.

Since Spring 2020, BoomBit has been expanding its Publishing team, BoomHits, which is responsible for co-operating with hyper-casual game developers from all around the world, including Turkey, Australia, UK, India, USA, Russia, and Ukraine.

Our goal is to transform the Publishing department into yet another strong foundation for generating revenue. And we have already achieved success in this field with Shoe Race, developed by Cappuccino, a studio based in Turkey, launched in March 2021, becoming a global hit. The game reached 1st place in App Store free-to-play game rankings in 10 countries (including USA and Germany) as well as a TOP 10 ranking in 39 countries (including Canada, Poland, France, and UK). Due to the success of the team, external publishing operates under a separate brand within the BoomBit Group, BoomHits. We believe that it will become a major source of revenue for the BoomBit Group in the near futuresays Marcin Olejarz.

Our particularly good results, however, are not based solely on new games. The BoomBit Group portfolio includes older hyper-casual titles, such as Slingshot Stunt Driver developed by TapNice as part of our joint venture, and Bike Jump, which was launched more than 9 months ago. These games are continuing to generate substantial revenueadds Olejarz.

While focused on creating new hyper-casual titles, the BoomBit group simultaneously extensively expanded its User Acquisition and Marketing Creatives departments, while developing its own advanced data analysis tools, allowing the Group to precisely measure the quality of its marketing operations as well as efficiently manage campaign budgets.

The Group is also expanding its portfolio of midcore (GaaS) games, such as the popular Darts Club and Archery Club games. At the end of March 2021, the company launched its latest midcore project globally – Hunt Royale.

Hunt Royale had great KPI results in its soft-launch phase and is very well received by players, so we think it will be not only successful, but also substantially increase our revenue from the midcore games (GaaS) segment. We believe that it will be popular for a long time and will become our most popular midcore game. What is more, we are still supporting our legacy games (like Parking Simulators and Build a Bridge), while porting more and more projects to the Nintendo Switch platform, which generates stable revenue month after monthsays Hannibal Soares.

We are focusing on developing hyper-casual games while expanding our publishing operations by co- operating with experienced developers from all over the world. We are ready to start working with more and more teams. The BoomBit brand is recognizable all over the world, which translates into the number of downloads of our games and our growing revenue, as well as more and more inquiries about potential partnerships. We are working with a strong portfolio of hyper-casual games which generate revenue in the long-term, while continuously launching new hit titles. At the same time, we are successfully operating on the midcore market. All these elements will enable us to achieve even higher revenue. Never have we looked to the future with more hope and optimism in terms of business and financial resultsMarcin Olejarz summarizes.