Angry Birds developer Rovio is already extremely profitable
The company’s result for 2011 was already one-sixth of the operating profit posted by teleoperator Elisa
There is clearly big money to be made in launching oneself violently against pigs.
The Finnish game developers Rovio Entertainment, which has become successful with its runaway hit Angry Birds mobile phone game, was not simply on everyone's lips but also a very profitable company already last year.
On the other hand, Rovio’s success continues to be based on one game and its variations and ancillary products.
On Monday Rovio Entertainment published its 2011 financial results.
The company’s total revenue amounted to approximately EUR 75 million, while the earnings before tax were EUR 48.0 million.
In other words, two-thirds of the sales proceeds remained in the company’s own purse. In addition to the sales of the Angry Birds games, the company earned plenty of money from sales of merchandising items.
The scope of Rovio’s business operations can be compared for example with Finnish teleoperators.
Rovio’s 2011 financial results were roughly as large as teleoperator DNA’s operating profit for the same period.
When compared with larger teleoperator Elisa, the game company’s financial outcome was about one-sixth of the teleoperator’s operating profit.
In terms of turnover and personnel, both teleoperators are clearly larger than Rovio.
In the course of 2011, the number of Rovio’s employees grew sharply from 28 to 224.
Thanks to the popularity of the Angry Birds, which were originally introduced as a mobile game in December 2009, Rovio has grown into a world-famous company.
Last summer the American rival Zynga made an acquisition bid of EUR 1.7 billion for Rovio, the New York Times reported in the autumn.
Rovio rejected the buyout offer.
According to the news agency Reuters, Rovio has announced that the company is planning to seek stock exchange listing next year.
Last year, the company raised USD 42 million (EUR 32 million) from capital investors to fund its growth.
Aside from the Angry Birds, Rovio has not managed to turn any of its other products into such smash hits, but this has hardly dented the company's progress as yet.
Last year the company’s entire profits came from various versions of the Angry Birds game or from ancillary products, which account for 30 per cent of the total revenue.
Rovio has promised that in addition to the Angry Birds versions and updates they will also introduce other games in 2012.
Previously in HS International Edition:
Angry Birds developer Rovio looks towards stock exchange listing: valued at as much as USD 1 billion (13.10.2011)
Rovio, developer of Angry Birds game, reports Q1 turnover of EUR 14 million (14.4.2011)
Angry Birds park in Tampere excites global media (30.4.2012)
Angry Birds and Fazer start strategic cooperation in confectionery trade (13.1.2012)
Rovio rejected EUR 1.7 billion buyout offer last summer (29.11.2011)
Rovio Entertainment press release 7.5.2012
Angry Birds (Wikipedia)