Rovio Entertainment Corporation Stock Exchange Release May 11 2022 at 9.00 a.m. EEST
Rovio Entertainment announces updated long-term targets that aim at faster than market revenue and EBITDA growth. Dividend payout target of approximately 30% of adjusted net profit unchanged.
The Board of Directors of Rovio Entertainment Corporation has decided on Rovio’s updated long-term financial targets.
Updated financial targets:
- Faster than market revenue growth (*)
- Adjusted EBITDA growth in line with long-term revenue growth
- Dividend payout of approximately 30% of adjusted yearly net profit
(*) Relevant market for target setting is defined as the Western mobile gaming market.
Rovio’s strategy
“We aspire to be a growing, profitable mobile game developer, and the company of choice for industry talent”, says Alexandre Pelletier-Normand, CEO. Through our mission: “We craft joy with player-focused gaming experiences that last for decades”, we offer an exciting future for our players, employees and shareholders. We conduct our business in a sustainable manner, focusing on three focus areas: safe and responsible gaming, people and society and climate and environment.
We focus our product strategy on our strengths in casual mobile games that utilise our renowned Angry Birds brand and other brands. We further develop the Angry Birds brand with a holistic strategy spanning across media.
We drive our long-term growth ambition through three main avenues:
- In our current free-to-play live games portfolio we excel at live operations and user acquisition and bring joy to our players every day. We launch high quality games that have the potential to reach a meaningful scale and deliver long-term cash flow.
- We invest in exploration in forward looking products spearheaded by our Montreal studio.
- Our strong financial position enables us to do synergetic acquisitions of studios that can benefit from Rovio’s growth platform Beacon.
“We have for more than a decade developed our growth platform that we call Beacon. It includes the people, the technology, the data, and established processes to successfully develop, analyse, launch and scale free-to-play mobile games to their full potential. We use Beacon across our game portfolio and see this as one source of synergies and a key value proposition for talented game studios that join the Rovio family. We believe that Rovio is well positioned to be competitive in the dynamic mobile gaming landscape and able to strengthen its position as a next generation game publisher”, says Pelletier-Normand.
Rovio’s previous long-term financial targets were:
- Games business unit revenue growth faster than market growth in Western markets
- Group operating profit margin of 30 percent
- Dividend payout of approximately 30% of annual net profit excluding items affecting comparability
The long-term financial targets, the growth strategy and Beacon will be presented in more detail at Rovio Entertainment’s Capital Markets Day today starting at 15:00 EEST (14:00 CET).
The event will be held in Stockholm in a hybrid format, allowing participation live via Rovio’s investor website https://investors.rovio.com. The agenda of the Capital Markets Day is published at https://investors.rovio.com/en/releases-events/capital-markets-day. The event materials and recording of the day will be published on the Rovio investor website after the event in English.
ROVIO ENTERTAINMENT CORPORATION
For further information:
Rene Lindell, CFO
RovioIR@rovio.com
+358 40 485 8985
Distribution:
Nasdaq Helsinki Plc
Principal media
https://investors.rovio.com/en
About Rovio:
Rovio Entertainment Corporation is a global mobile-first games company that creates, develops and publishes mobile games, which have been downloaded over 5 billion times. Rovio is best known for the global Angry Birds brand, which started as a popular mobile game in 2009, and has since evolved from games to various entertainment, animations and consumer products in brand licensing. Rovio has produced The Angry Birds Movie (2016), and it’s sequel, The Angry Birds Movie 2 was released in 2019. The company offers multiple mobile games and has seven games studios – two in Espoo (Finland), one in Stockholm (Sweden), Copenhagen (Denmark), Montreal and Toronto (Canada), as well as a subsidiary in Izmir (Turkey) called Ruby Games, which was acquired in 2021. Most of the employees are based in Finland where Rovio is headquartered. The company’s shares are listed on the main list of NASDAQ Helsinki stock exchange with the trading code ROVIO. (www.rovio.com)
