Aiming Q1 2016 Financial Results Q&A Summary

Key insights

6 takeaways

01
Aiming is shifting its Q2 2016 strategy toward increased marketing investment to drive growth for both existing and upcoming mobile titles.See it on page 2
02
The company is launching new television commercial campaigns for its flagship title, Logres, to counter a recent downward trend in the game's revenue.See it on page 1
03
Management has adopted a conservative financial outlook for Q2 2016, moving away from maintaining consistent monthly revenue peaks for Logres in favor of high-impact, tactical promotional events.See it on page 1
04
Core operations remain profitable when excluding the costs associated with new title launches, reflecting a balance between user acquisition spending and financial stability.See it on page 1
05
The company is actively allocating marketing budgets for a pipeline of new titles nearing completion, targeting initial rankings within the top 30 to 50 positions in the mobile market.See it on page 2
06
Existing user bases from current titles are being leveraged for cross-promotion to support the launch of upcoming games.See it on page 2

Summary

Aiming’s financial outlook for the first quarter of 2016 emphasizes a strategic shift toward increased marketing investment to drive growth across both established and upcoming mobile titles. The company plans to escalate advertising expenditures in the second quarter, specifically targeting the flagship title Logres through new television commercial campaigns, while simultaneously ramping up promotional efforts for other existing games. Management notes that excluding the costs associated with new title launches, the company’s core operations remain profitable, underscoring a commitment to balancing aggressive user acquisition with underlying financial stability.

Regarding the performance of Logres, the company acknowledges a recent downward trend in revenue and has adopted a conservative approach to its second-quarter financial planning. Operational strategy for the title has shifted away from maintaining consistent monthly revenue peaks toward a more tactical, high-impact approach. While specific key performance indicators and the financial terms of the title’s expansion into the Chinese market remain confidential, the company maintains that its existing user base provides a strong foundation for cross-promotion.

The development pipeline remains a primary focus, with several new titles nearing completion. Although specific release dates and title counts are not publicly disclosed, the company is actively allocating marketing budgets for these upcoming launches. Management expresses confidence in the current market environment, noting that high-quality titles can achieve strong initial rankings within the top 30 to 50 positions. By leveraging its expertise in target audience engagement and executing disciplined promotional strategies, the company aims to capitalize on the significant scale of the mobile gaming market to ensure positive performance for its future portfolio.