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Next Games Corp. Half-year Review 2019 – Revenue grew 83%, profitability improved significantly 

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Next Games Corp. Half-year Review 2019
Revenue grew 83%, profitability improved significantly 

April-June 2019 in short

  • Revenue was EUR 9.4 million, an increase of 65% compared to Q2 2018 (EUR 5.7 million)
  • Gross profit % increased by 3 percentage points and was EUR 5.7 million, 60% of revenue (EUR 3.3 million, 58% of revenue)
  • Adjusted operating profit improved 75% and was EUR -0.5 million (EUR -2.0 million)
  • EBITDA improved  96% and was EUR -0.1 million (EUR -2.4 million)
  • EBIT improved 55% and was EUR -1.1 million ( EUR -2.4 million)
  • Product development costs were EUR 2.0 million euros (EUR 1.8 million).
  • Number of employees was 108 at the end of the quarter (132)
  • At the end of the review period, the company’s cash balance was EUR 4.7 million. The company’s longer term goal to consistently remain cash flow neutral has proceeded according to plan as the cash balance was EUR 4.8. million at the end of Q1
  • The company successfully renewed its credit limit guarantee during the review period. As a part of the full assessment of additional financing, the company is negotiating with credit providers about new terms for the credit limit.
  • The company announced a collaboration agreement with Netflix to develop a mobile game based on Stranger Things series for 2020

January-June 2019 in short

  • Revenue was EUR 19.2 million, an increase of 83% compared to H1 2018 (EUR 10.5 million)
  • Gross profit % increased by 1 percentage point and was EUR 11.2 million, 59% of revenue (EUR 6.0 million, 58% of revenue)
  • Adjusted operating profit improved 56%  and was EUR -1.8 million (EUR -4.1 million)
  • EBITDA improved 69%  and was EUR -1.5 million (EUR -4.8 million)
  • EBIT improved 29% and was EUR -3.5 million (EUR -5.0 million)
  • Product development costs were EUR 4.7 million (EUR 3.6M).

(Numbers in brackets refer to the corresponding year-on-year period unless otherwise mentioned)

Key Figures 

2019 2018 2019 2018 2018
EUR thousand 04-06/2019 04-06/2018 Change 01-06/2019 01-06/2018 Change Full year
Revenue 9,395 5,689 65% 19,224 10,477 83% 35,245
Gross Profit 5,670 3,273 73% 11,250 6,034 86% 21,294
Gross profit margin % 60% 58% 3ppt 59% 58% 1ppt 60%
Operating Result (EBIT) -1,100 -2,448 n/a -3,495 -4,954 n/a -16,915
Operating result margin % -12% -43% 31ppt -18% -47% 29ppt -48%
Adjusted Operating Result* -497 -2,007 n/a -1,809 -4,072 n/a -13,777
Adjusted operating result margin % -5% -35% 30ppt -9% -39% 29ppt -39%
Depreciations and Amortizations total 993 70 1,985 140 2,165
IFRS 16 256 512 512
Amortizations of R&D & Licenses 579 30 1,157 60 1,248
Other 159 40 316 80 405
Earnings per share, EUR -0.08 -0.12 -0.22 -0.30 -0.99
Earnings per share, dilluted EUR -0.08 -0.12 -0.22 -0.30 -0.99
Current Ratio 1.15 3.92 1.15 3.92 1.53
Employees (end of period) 108 132 108 132 143

*Adjusted operating result is an non-GAAP measure and differs from EBITDA as it excludes IFRS 16 depreciations and include IFRS 2 adjustments for share based payments. Management uses this Non-GAAP measure as an alternative to EBITDA to analyze the profitability of the business. Please see reconciliation of Non-GAAP measurements

Current ratio is an alternative measure which is calculated by dividing current assets such as cash and short-term receivables to current liabilities. Current ratio measures the liquidity of the company.

Reconciliation of Non-GAAP Measurements

Adjusted Operating Result and EBITDA

2019 2018 2019 2018 2018
EUR thousand 04-06/2019 04-06/2018 01-06/2019 01-06/2018 Full year
Operating Result (EBIT) -1,100 -2,448 -3,495 -4,954 -16,915
Depreciations total 993 70 1,985 140 2,165
EBITDA -107 -2,378 -1,510 -4,814 -14,749
IFRS 16 -256 -512 -512
IFRS 2 share based payments -134 371 213 742 1,483
Adjusted Operating Result -497 -2,007 -1,809 -4,072 -13,777

Current Ratio

EUR thousand 30.6.2019 30.6.2018
Current assets 10,598 23,300
Current liabilities 9,247 5,937
Current Ratio   1.15 3.92

Chief Executive Officer Teemu Huuhtanen

Next Games continued to strongly focus on renewing its operations during the first half. We successfully completed the first step of the three-step turnaround project; balancing and stabilizing the company’s cost structure to a new level.

The company previously communicated that it aims to achieve a monthly fixed cost level of approximately 1.1 – 1.2 million euros. The cost savings program was successfully implemented and we achieved a 1.2 million euro fixed cost level during the second quarter. The company’s profitability continued to improve during the second quarter. Adjusted EBITDA was -0.5 million euros during Q2 2019, whereas it was still -1.3. million euros in Q1 2019. The company’s long term goal towards remaining consistently cash flow neutral has therefore proceeded as planned.

Next Games revenue grew 83% compared to January-June 2018 and 65% compared to  April-June 2018 period. Our World achieved another record-breaking in-app purchase ARPDAU of 0.34 Euros in June. The game still experienced challenges with retention however, and thus the marketing investment level was on a higher level than the company’s objectives. The team now focuses on improving the game’s retention and further developing the product.

In order to achieve revenue growth, the company has actively developed it advertisement revenue model. The company implemented video ads, similar to No Man’s Land, to Our World mid-June 2019. Additionally, the company has piloted an innovative location-based ad solution for Our World with a significant global partner with promising preliminary results during the first half of 2019.

The second step of the turnaround plan, rebuilding the company’s product development pipeline according to its new focus, has started off well. Our new operating model focuses on reusing existing technology and code, which has the potential to significantly reduce product development times. The collaboration with Netflix on a mobile game based on the Stranger Things series, that received significant international media attention after its announcement in July, has been built utilizing the new practices. The company has continued active discussions over potential collaboration with other significant international license holders.

Thanks to the renewed game development process, the company has initiated multiple new projects in the prototyping and concepting phase. It’s important to have a robust early development pipeline, as it’s typical for the mobile games industry that only a portion of the games in development are published to the market. At the moment, 46% of the company’s personnel works on live games and 42% on new projects.

Third, and the final step of our turnaround project, is to secure additional funding for future investments such as new product development and marketing. Thanks to the stabilized business operations, the company is in a good place to continue assessing alternatives to strengthen its financial position.

I would like to warmly thank our staff and our board of directors for the extraordinary contribution to achieve the turnaround this far. I am especially pleased about the enthusiasm surrounding the building of our new product portfolio.

Business Outlook 2019

The company seeks moderate revenue growth during 2019 compared to 2018 and, as a result from the changes in its cost structure as a first step, strives towards remaining cash flow neutral in the longer term. As part of cost restructuring, the company estimates it will achieve monthly savings of approximately € 550 thousand in salaries, administrative costs and product development costs, totalling approximately € 6.5M on a yearly basis as compared to the second half of 2018.

Basis for Outlook 2019

The company’s estimates are based on the assumption that The Walking Dead: No Man’s Land and The Walking Dead: Our World maintain their current revenue levels. In addition, the outlook is based on game development staying on schedule and on target of launching one game per year.

January-June 2019 Audiocast

Next Games holds an English audiocast and phone conference on July 26 2019 at 10.30 EEST. You can join the audiocast by using the following link: https://nxtg.ms/2XVv9LU. More information about the audiocast and phone conference: https://nxtg.ms/2JFGXZU.

Next Games in Short

Next Games is the first publicly listed mobile game developer and publisher in Finland, specializing in games based on entertainment franchises, such as movies, TV series or books. The developers of the critically acclaimed The Walking Dead games redefines the way franchise entertainment transforms into highly engaging service-based mobile games. In summer 2018, Next Games launched The Walking Dead: Our World, which utilizes cutting edge AR technology and is powered by Google Maps. Currently Next Games is working on multiple new games based on popular entertainment franchises including, Blade Runner Nexus, for the popular Blade Runner franchise and a mobile game based on Netflix’s Stranger Things.

Additional information:
Saara Bergström
CMO
[email protected]
+358 (0)50 483 3896

Certified Adviser: Danske Bank A/S, Finland branch, tel. +358 10 546 7938

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Source: Latest News on European Gaming Media Network
This is a Syndicated News piece. Photo credits or photo sources can be found on the source article: Next Games Corp. Half-year Review 2019 – Revenue grew 83%, profitability improved significantly 

George Miller (Gyorgy Molnar) started his career in content marketing and has started working as an Editor/Content Manager for our company in 2016. George has acquired many experiences when it comes to interviews and newsworthy content becoming Head of Content in 2017. He is responsible for the news being shared on multiple websites that are part of the European Gaming Media Network.

Latest News

Why Gamification Is Reshaping Online Poker

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Online poker’s not the sleepy mix of static cash tables and rinse-repeat tourney grids it used to be. Business Wire predicts that by 2030, the market will hit $11.4 billion, fuelled by cross-platform play and new competitive formats. But here’s the catch: growth brings noise. And in 2025, grabbing attention is only half the game — keeping it has become just as critical. And we all know that retention is the table you can’t afford to fold.

Over the recent years, gamification has turned into one of poker’s strongest retention plays. When it’s done right, it keeps players around, sparks repeat visits, and forges loyalty. They come back tomorrow, next week, next month — and your competitors can’t pry them away. The idea sounds simple enough — weave in game-style mechanics to make poker richer and more engaging, without killing the skill game underneath.

EvenBet Gaming’s research breaks it into three targets:

  • Give players more reasons to return.
  • Make onboarding smooth and rewarding.
  • Build loyalty with experiences that feel personal, competitive, and worth bragging about.

Churn burns profit. Gamification done right is an infrastructure that breeds loyalty. Done wrong? You’re just another site with flashing badges that no one cares about.

Gamification, Not Gamblification

Before diving into mechanics, it is important to set one thing straight. Gamification boosts engagement — leaderboards that show you who’s climbing, missions that push you to try new formats, achievement badges you actually want to unlock. It challenges players, rewards skill, and deepens the game. “Gamblification” is where it all turns sour. That’s when mechanics push for profit at the expense of player wellbeing — pressure-loop rewards, unclear payout systems, anything designed to keep people clicking long after the fun’s gone. These tactics can backfire, invite regulatory attention, and eat away at players’ trust.

Gamification should make the player-platform bond stronger. It’s open, skill-focused, and it stays within responsible-gaming boundaries. Otherwise, you’re just playing short-term roulette with your long-term survival.

Core Gamification Mechanics in Poker

Here’s the thing — gamification works best when it’s layered, not just thrown on top of the existing game. You’ve still got poker at the centre, but now there’s more to play for. EvenBet Gaming’s toolkit has a bit of everything, with a mix of proven features that operators need to keep players active and returning.

 

Leaderboards

People like to see where they stand, and a good leaderboard hits that primal “beat the other guy” instinct. Doesn’t matter if it’s hands played, rake pulled, or weird challenges only five people care about. Timeframes can be daily, weekly, or monthly, ensuring fresh challenges and preventing leaderboard fatigue. Players stick around to climb, rivals get personal, and your community gets tighter.

To avoid burnout and excessive gamblification, EvenBet’s customer success department doesn’t recommend creating only leaderboards based on pure game volume. As a flexible tool, leaderboards have a better use for boosting attention to specific game or tournament types (for example, hands played in 5-card Omaha), creating targeted demand.

Missions, Quests, and Challenges

Give a player a target and they’ll chase it. Win with pocket sevens, log 50 games, or try that Sunday knockout tourney — whatever keeps them moving. Segment it: beginners get gentle ramps; grinders chase big targets. Toss in tickets, cash, or even just brag-worthy status bumps — and suddenly, casual play has a storyline. This meta-layer adds structure to casual play, nudging players into consistent engagement.

“Different mission types work specifically on various segments of a poker room audience”, explains Nikita Golodaev, Business Account Manager at EvenBet Gaming. “For example, guided missions targeted to explore poker room features and game types keep new players on the platform and decrease early churn. Soft streaks (3-5 days) encourage regular sessions without burnout”. 

Achievements and Badges

First win, first deep run, first time they actually fold kings preflop — badges give players proof they’re climbing. Badges make progress visible, they’re milestones and conversation starters. This visual recognition encourages players to develop their skills and makes long-term goals more tangible.

Progressive Systems

Experience points (XP) and rakeback have always been staples in poker loyalty systems. They’re poker loyalty basics. EvenBet’s Progressive Rakeback with a tiered, time-limited structure turns the game into a race — 6 tiers from Aluminium all the way up to Platinum. Every tier gives you a little more, but fall behind — and you drop. The gamified progression adds urgency, encouraging regular play to maintain or advance the level.

According to Nikita Golodaev, clear and balanced progressive systems work best for projects with an existing core of regular mid-core players: they are already investing significant time into the game and are still tempted by rewards provided in the progressive tracks, unlike VIP and high-stakes players who are more interested in recognition of their status.

Put it together, and you’ve got a cycle: play, check your rank, tick missions, unlock the badge, check the board, eye the next tier. And then do it again tomorrow. It’s sustained engagement without sacrificing poker’s competitive core.

Advanced Applications — Tournaments and Hybrid Formats

Think of tournaments not as one-off events, but as frameworks. They aren’t just a product — they’re an engagement machine. You can hang all sorts of engagement hooks on them — the kind that keep players checking in and keep them motivated from registration to the final hand. Layer in gamification, and you have a retention funnel operators dream about.

Formats with a Twist

EvenBet’s flexible setup allows operators to launch virtually any format: high-GTD marathons, Spin&Go sprints with random multipliers, quick-fire Sit & Gos for casuals, and velvet-rope VIP tables for the whales. Add Mystery Bounty, Progressive Knockout, or Multi-flight qualifiers, and you’ve got unpredictability on tap. Which means the game always stays interesting.

Linking Tournaments to Gamification Layers

Hybrid play is where tournaments meet missions, leaderboards, and badges:

  • “Climb the Ladder” challenges that pay points for each event played.
  • Leaderboards stretching over weeks and sparking long grinds.
  • Achievements for milestones like “Final Table Three Times in a Week” or “Knock Out 10 Players in a PKO.”

This crossover keeps casual players chasing goals and competitive players grinding for prestige — all while strengthening retention loops. When you nail it, tournaments become recurring, gamified events that handle acquisition, retention, and loyalty in one package.

Why It Works for Operators

Gamification in online poker is not just a UX add-on — it moves numbers if done properly.

  • Retention and monetisation: longer sessions, more logins, bigger rake, and better LTV. Plus, new players convert faster when there’s a mission to chase.
  • Skill development: challenges teach strategy, confidence, and adaptability without feeling like homework.
  • Audience segmentation: freerolls for newbies, high-stakes bounties for veterans. You serve each player just the right challenge without losing focus.

Risks and Implementation Challenges

Gamification’s upside is clear — but mess it up, and it quickly becomes a liability. When these risks are managed, gamification pays off big time. Treat it with respect and care like a strategy, not a shortcut or gimmick.

Over-Gamification
Stack too many overlapping mechanics, and the gaming experience turns into a mess. Players get overwhelmed, quit the game altogether, or even fall into unhealthy patterns. The balance is in adding enough variety to motivate, without creating constant pressure to act. It’s a fine line between motivation and overload.

Regulatory Compliance
Operating inside responsible gaming guidelines is a must. Rewards should be transparent, achievable, and not designed to exploit compulsive tendencies. As noted by Dmitry Starostenkov, regulators are increasingly wary of features that blur the lines between skill-building and pushing players too hard.

Technical Complexity
Integration has to be smooth. If missions lag, leaderboards glitch, progression breaks, or interfere with core poker gameplay, this erodes trust. EvenBet’s modular system gives control, but operators still need rigorous testing, UX tweaks, and performance checks.

Building Gamification That Lasts

When done right, gamification in online poker isn’t just bells and whistles. It’s a full-on retention driver. Mix leaderboards, missions, badges, and tiered rewards right into the core game, and you create a cycle that hooks players, grows skill, and boosts revenue.

The winning formula is balance: enough variety to keep things fresh. Clarity so players aren’t guessing. Responsibility so the game stays ethical. Data-driven personalisation ensures that every segment — from first-timers to VIP grinders — finds a reason to return.

Our research at EvenBet Gaming is clear: sustainable gamification is a long game. Set measurable goals and transparent rewards, enhance the poker spirit — never overshadow it. Attention is the rarest currency these days. Platforms that get this balance don’t just hold players — they win the loyalty battle.

The post Why Gamification Is Reshaping Online Poker appeared first on European Gaming Industry News.

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SlotMatrix ignites the reels of West Virginia with Wild Extravaganza launch

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SlotMatrix, the world’s largest casino content aggregator, has expanded Wild Extravaganza’s reach in the U.S launching in West Virginia, alongside existing markets, New Jersey and Michigan.  

Wild Extravaganza is a high-energy 5×3 video slot that packs vibrant visuals, dynamic gameplay, and huge win potential in a 10-payline experience. The game pays left to right, right to left, and even from the middle, offering players multiple chances to win on every spin.

The core feature of Wild Extravaganza is its multiplying wilds, which can stack on three of the five reels and can reveal a 2x, 3x, or 7x win multiplier.

Wild Extravaganza is fully supported by EveryMatrix’s suite of advanced engagement tools, including free spins, leaderboards, and tournaments, helping operators drive acquisition and retention in regulated U.S markets.

This U.S release is part of a recent surge of SlotMatrix exclusive games entering the market, including 3 Coin Treasures, Lara Jones Treasures of Egypt 2, and Glorious Diamonds.

EveryMatrix holds licences in key North American markets, including West Virginia, Michigan, Pennsylvania, Connecticut, and Ontario, and powers more than 300 customers globally.

Stephen Orchard, Head of Commercial Operations, SlotMatrix, said: “Wild Extravaganza is all about giving players thrilling, fast-paced action and the chance to land some seriously big wins. We’re excited to bring this experience to West Virginia as we continue our expansion across the U.S.”  

The post SlotMatrix ignites the reels of West Virginia with Wild Extravaganza launch appeared first on European Gaming Industry News.

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DATA.BET Secures Spot at SBC Summit 2025

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The company strengthens its market position with the recent launch of sports betting

DATA.BET, a trusted sportsbook solution supplier, will present its expanded portfolio at SBC Summit 2025 in Lisbon, stand D160. The company now offers a unified solution covering sports, esports, and virtual sports.

From September 16 to 18, the company’s representatives will unveil the updated product suite. Building on its established presence in esports and virtual sports betting, DATA.BET has expanded into traditional sports betting, covering over 50,000 sports events per month across 63+ pre-match and 38 live sports disciplines. The company’s 24/7 in-house trading team maintains 93% market uptime while delivering 1000+ betting markets backed by official data partnerships.

Each betting vertical, as well as individual sports and leagues within them, can be activated separately or combined based on market needs. Operators can instantly launch the complete sportsbook solution through a ready-to-use Single Page Application (iFrame), while those with an existing betting platform can integrate directly via the Odds Feed API.

At SBC Summit, visitors will explore DATA.BET’s core products: Risk Management system, Odds Feed, Widgets, Streams, SPA (iFrame), and Bet Builder available for all three verticals. The latest features joined our comprehensive suite include Hot Bundles for express betting optimization and Timeline Widget for enhanced game process tracking.

“This marks our first offline presentation of the complete sportsbook solution we launched in May with our full product range and latest features for betting,” said Natalie Loshatynska, Head of PR & Marketing at DATA.BET. “We look forward to showing SBC Summit participants how our technology empowers operators and platform providers to offer their clients a more dynamic and engaging betting experience.”

Discover DATA.BET’s betting technology solution at stand D160. Connect with the team at [email protected] to schedule a meeting.

The post DATA.BET Secures Spot at SBC Summit 2025 appeared first on European Gaming Industry News.

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