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Gameloft: Quarterly Sales up by 47% to 16.1M Euros

Gameloft generated consolidated sales of 16.1M euros in the third quarter of 2006, up by 47% compared with 2005. Over the first nine months of 2006, sales reached 46.7 millions euros, showing an increase of 49%.

Mobile gaming generated 98% of the company’s sales during the first nine months of the year, an increase of 52% compared with the same period in 2005. Within the mobile games activity, the sale of downloadable games, which are the company’s core business and account for 91% sales, has increased by 85% over the first nine months of the financial year.

Internet sales generated by the jeuxvideo.com web site represented 2% of total sales for the first nine months of financial year 2006. This activity was sold on 10 June 2006 for 22.9 mEUR in cash.

North America has become Gameloft’s major source of revenues, illustrating the rapid growth of the company in this region. North America accounted for 44% of the company’s sales during the third quarter of 2006, compared with 38% in Europe and 18% in the rest of the world, mainly Asia and South America. Over the first nine months of 2006, Europe accounted for 42% of the Group’s sales, North America 41% and the rest of the world 17%.

The Group’s sales are evenly balanced now between North America and Europe while the rest of the world is progressing rapidly.

In line with seasonal trends of the previous three fiscal years, the fourth quarter will be the strongest of the year in terms of sales for the company. Gameloft is well positioned for the key end of year period with releases planned between October and December 2006 of seventeen titles using strong licences such as Rayman Raving Rabbids, Asphalt 3: Street Rules, Tennis Open 2007 feat. Lleyton Hewitt, Open Season, etc. The increase in sales during the third quarter, combined with solid prospects for the fourth quarter, enables Gameloft to renew its objective of 45% growth in sales for the full year of 2006.

 [October 31, 2006]


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