Hutch

Hutch on monetising for live ops

The presentation outlines a strategic framework for monetizing live operations in mobile free-to-play games, specifically drawing from the experience of the London-based studio Hutch.

• Hutch increased average revenue per user (ARPU) by over 25% in Top Drives by implementing a system that triggers targeted starter pack offers every five player levels.
• Live Ops allows for continuous revenue growth beyond the launch month by building a base of hyper-engaged, long-term players who remain invested for years.
• Effective monetization in Live Ops relies on an expansive meta-game built on granular, extensible content that feeds directly into the core gameplay loop.

Race Kings port-mortem

The development of real-time multiplayer networking for mobile games presents unique challenges, primarily due to the inherent instability and bandwidth limitations of mobile networks.

• Hutch Games and GameSparks achieved a 60% reduction in packet size for Race Kings by utilizing an ordered UDP protocol instead of traditional TCP.
• The networking architecture prioritizes speed and flexibility by discarding outdated or late-arriving data, which is essential for maintaining synchronization in fast-paced mobile racing games.
• The platform employs a server-authoritative model to ensure robust cheat detection and centralized management of the game state.

MTG Q4 2020 Interim Report

Modern Times Group concluded the 2020 fiscal year with a significant financial turnaround, transitioning from substantial losses in the previous year to a consolidated group EBIT of 91 million SEK in the fourth quarter.

• Modern Times Group achieved a financial turnaround in Q4 2020, reporting a consolidated group EBIT of 91 million SEK compared to significant losses in the previous year.
• The gaming vertical drove growth with a 7 percent organic expansion for the year, bolstered by the 3 billion SEK acquisition of mobile racing developer Hutch Games.
• The esports division recorded a 22 percent organic sales decline due to live event disruptions, yet achieved its first-ever positive adjusted EBITDA through cost synergies and a shift to online formats.

MTG Q2 2021 Interim Report

Modern Times Group achieved a 15 percent increase in net sales at constant currencies during the second quarter of 2021, signaling a period of aggressive expansion within the global gaming and esports sectors.

• Modern Times Group achieved a 15 percent increase in net sales at constant currencies in Q2 2021, reaching a total of SEK 1,198 million.
• The company’s 'Buy & Build' strategy drove gaming net sales to SEK 810 million through the acquisitions of Ninja Kiwi, PlaySimple, and Hutch, which offset a 14 percent organic decline in the gaming segment.
• Despite revenue growth, the company reported a net loss of SEK 11 million and a flat adjusted EBITDA of SEK 155 million due to acquisition costs and strategic investments.

MTG Q3 2021 Interim Report

Modern Times Group achieved substantial financial growth during the third quarter of 2021, characterized by a 58 percent year-over-year increase in net sales to SEK 1,438 million.