Mobile Company GungHo Has Made $1.22 Billion In 2014 So Far
The Japanese game publisher GungHo has released their latest financial figures and they're, looking very positive.
In the first nine months of the year, the mobile company generated $1.22 billion dollars in revenue, 14.3% more than in the first nine months of 2013. That means that GungHo is making $4.5 million every day. This rise in revenue has resulted in an operating profit of $680 million, up 7.2% from last year's results. For the company to achieve a profit margin of over 50% is simply incredible. It doesn't look like GungHo's success is going to end any time soon, as the publisher expects to earn a further $120 million from sales in October 2014.
GungHo's success can largely be attributed to their hit mobile game, Puzzle & Dragons. Released in Japan on iOS in February 2012, this puzzle game quickly grew to become the country's top-selling mobile app. It is now also available on Android and has been downloaded over 30 million times in Japan alone. As with most hit games, Puzzle & Dragons is free to play. It makes its money from selling in-game currency. GungHo published a sequel called Puzzle & Dragons Z on the 3DS last year, and back in July they released a major update for the mobile game called Puzzle & Dragons W. In 2013, the game accounted for 91% of GungHo's revenue, and the figure for this year is likely to be similar.
In terms of their future plans, GungHo wants to rapidly expand into foreign markets. The company is opening a new branch in Singapore that will enable them to reach more players in East Asia. In terms of the US, GungHo recently acquired a 70% share of the social gaming network PlayPhone. They have also agreed to publish the next title from indie developer 17-bit, Galak-Z: The Dimensional.
Gamers who havn't heard of Puzzle & Dragons may know GungHo as the firm that acquired Suda 51's studio Grasshopper Manufacturer. GungHo will be publishing the developer's PlayStation 4 exclusive Let it Die, which is due out next year.