Annual Financial Report 2017: Animoca Brands

Key insights

6 takeaways

01
Consolidated revenue fell to $6,488,559 in 2017 from $8,697,633 in 2016, while the group recorded a loss before income tax of $8,047,840.See it on page 29
02
The auditor drew attention to a material uncertainty related to going concern, citing a 2017 net loss and an operating cash outflow.See it on page 76
03
Hong Kong headcount was reduced from over 110 people to fewer than 70 people during 2017.See it on page 15
04
The company agreed to sell 318 of its 524 mobile game apps to iCandy for up to $8.0 million, but the transaction was not recognised at 31 December 2017.See it on page 74
05
Share capital increased from 217,020,708 shares to 434,098,804 shares during 2017, with $5.2 million raised in the institutional and retail offer and $565,000 from a placement.See it on page 67
06
Marketing expenses fell 15.3% from $3.1 million to $2.6 million, and other expenses fell 30.5% from $1.9 million to $1.3 million.See it on page 15

Summary

Animoca Brands Corporation Limited, an ASX-listed (AB1) developer and publisher of mobile games and apps headquartered in Hong Kong, presents its Annual Financial Report for the year ended 31 December 2017, including chairman and CEO reports, directors' report, remuneration report, consolidated financial statements, notes, and the Grant Thornton auditor's report. The Group's principal activities are the development and marketing of a broad portfolio of mobile games and apps (including educational learning, e-books and a book app), distributed through app stores including Apple's App Store and Google Play and monetised via in-app purchases and advertising. The company reports operating revenue of $6,488,559 for 2017, down from $8,697,633 in 2016, and a loss before income tax of $8,047,840 (2016: $7,925,266). Headcount in Hong Kong was reduced from over 110 to fewer than 70 people during 2017. The company sold 14 games to Maple Media for up to $3.7 million and agreed to sell 318 games to iCandy for up to $8.0 million, with the iCandy deal not yet recognised at 31 December 2017 because its conditions had not been met. The auditor drew attention to a material uncertainty related to going concern, citing a net loss of $8,047,840 and an operating cash outflow of $7,687,097.