Animoca Brands Annual Financial Report 2016

Key insights

7 takeaways

01
Consolidated operating revenue for 2016 was $8,697,633, a 15% rise on 2015, with in-app purchases at $4,266,448 and app advertising at $2,516,775.See it on page 60
02
The group's loss before income tax widened to $7,925,266 in 2016 from $2,934,459 in 2015, with research and development expenses rising to $4,854,743.See it on page 32
03
Operating cash outflow was $8,138,997 in 2016, and cash at year end fell to $1,526,919 from $4,935,747.See it on page 36
04
The company acquired TicBits Oy in July 2016 and recognised goodwill of $1,724,208 on the acquisition.See it on page 55
05
Total downloads reached 260 million at 31 December 2016, up from 174.7 million, and the portfolio grew to 481 apps, with 70 new apps launched in 2016.See it on page 18
06
The auditor identified going concern as a key audit matter, based on directors' cash-flow forecasts that depend on uncertain capital raising and app release timing.See it on page 78
07
The company raised $7.5 million in 2016 through a placement and share purchase plan, with the placement component totalling $6.5 million.See it on page 20

Summary

Animoca Brands Corporation Limited, an Australian ASX-listed (code AB1) developer and publisher of mobile games and apps, presents its annual financial report for the year ended 31 December 2016, including consolidated financial statements, directors' and remuneration reports, and an independent audit report from Grant Thornton. Operating revenue was $8.7 million, up 15% from the prior year, with in-app purchases revenue of $4.27 million and app advertising revenue of $2.52 million. The group recorded a loss before tax of $7.9 million (2015: $2.93 million), and its portfolio reached 481 unique games and apps. During the year it raised $7.5 million through an institutional placement and share purchase plan, and it acquired Finnish developer TicBits Oy in July 2016 for an upfront cash consideration of $3.6 million, recognising goodwill of $1.72 million. Headcount rose to 125 employees from 90. The auditor flagged going concern and TicBits acquisition accounting as key audit matters. Subsequent to year end, an entitlement offer raised $3.23 million from an institutional component and $2 million from a retail component.