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12 Nov 2014, Bangkok - Asiasoft Corporation Public Company Limited announced 2014 quarter 3 results with net loss of 84 Million Baht on revenue of 291 Million Baht (2013: profit of 16 Million Baht on revenue of 414 Million Baht). COGS and SG&A from Domestic and Overseas remained unchanged at 397 Million Baht (2013: 397 Million Baht).
The operating results for third quarter reflected the changing market trend as the Group reported weak performance in both domestic and overseas revenue. Revenue from existing games slowed down while new game launches failed to meet revenue targets. The Group incurred a Net Loss in quarter 3 due to lower revenue and high provision on impairment of game licenses for games that are launched unsuccessfully.
Asiasoft Group CFO Kenny Goh cautioned that results for final quarter of 2014 are likely to remain challenged. The Group is restructuring to realign its regional operational to better engage the changing market environment. Asiasoft also continue reviewing its game license inventory to ensure relevance of the investments. The Group expects to see further impairment provisions and write offs in Q4 and a weak Q4 results, with 2014 full year revenue forecasted to be more than 25% lower then 2013.
Mr. Goh is, however, optimistic about the Company’s outlook for 2015 with the strong line up of competitive and mobile games. The Group continues to explore other new online entertainment services for further diversification of its business portfolio to transform Asiasoft into a complete online entertainment service provider.
