Forgame Announces 2017 Annual Results

Publish Date2022-12-27 source:Forgame


(Hong Kong, 27 March 2018) – Forgame Holdings Limited ("Forgame" or the "Group") (stock code: 484), a leading developer and publisher of mobile games and webgames and provider of FinTech services in the PRC, today announced its annual results for the year ended 31 December 2017. Benefitting from the rise of its FinTech business and higher investment income, Forgame regained profitability in 2017, and generated EBITDA of RMB105.3 million, net profit of RMB68.6 million and basic earnings per share of RMB0.54.
 
In 2017, the Group efficiently executed the strategic goals it set in 2016 by successfully developing and expanding its FinTech business, while further optimising the allocation of its game development resources. Forgame’s FinTech business grew rapidly, and reached its strategic goal by contributing 47% of total revenue during the year.
 
Mr. Dongfeng Wang, Chairman and Chief Executive Officer of Forgame, said, "This is our first full year results after the Group began its foray into the FinTech business. The Group regains profitability after flat revenue growth year-on-year, which highlights our efforts over the past year."
 
Since Forgame’s establishment, the Group has been particularly adept at understanding the preferences of internet users in China, including successfully foreseeing the growing popularity of web and mobile games as well as the advent of the revolutionary FinTech era in recent years. Forgame has never been absent from the growing trends on internet technologies. Following the past years when we developed our core capabilities in big data analysis, the Group has once again leveraged our competitive advantage and applied it to the game and FinTech markets in 2017.
 
After obtaining an online micro-credit business licence in December 2016, the Group launched its internet micro-credit business in January 2017 which has achieved excellent results. This business is primarily dedicated to providing individuals and consumers unserved by traditional financial institutions in China with flexible short-term financing solutions. As at 31 December 2017, Forgame had served over 1.4 million borrowers cumulatively and originated RMB7.5 billion of loans. As regulatory environment for FinTech in China tightens, we are confident that our micro-credit business, which is compliant, licensed, and equipped with big user data and technological capabilities, will see healthier and more sustainable growth.
 
After Forgame acquired a 55% equity interest in the premium online wealth management business “Jianlicai” from Yinker Inc. on 16 August 2017, we leveraged our experience in big data analysis accumulated from the operation of games over the years to comprehensively enhance its operations. As part of this effort, we developed four artificial intelligence systems which included a business intelligence system (“Tianji (天玑)”), a big data risk control system (“Kaiyang (开阳)”), an intelligent asset matching system (“Tianshu (天枢)”) and a payment routing system (“Yuheng (玉衡)”). Out of these four systems, the Group’s intelligent asset matching technology and its interest calculation method are currently applying for patents. With the support of these systems, Jianlicai has attracted market attention and has been recognised with many awards by professional financial media, such as the “2017 Most Influential Wealth Management Brand”. As of 27 March 2018, Jianlicai had more than 8.8 million registered users and cumulative transaction volume of RMB 96.7 billion since its inception.
 
The Group’s game business continued to focus on the execution of its overseas market strategy. In 2017, “Liberators”, the Group’s overseas blockbuster, generated total revenue of over RMB78.7 million, representing a 185% growth from the revenue generated in 2016. The team behind “Liberators” plans to launch new mobile games in the European and U.S. markets in 2018. The management expects that these new games will build on the excellent performance of “Liberators” and continue to strengthen Forgame’s presence in overseas markets.
 
Mr. Dongfeng Wang concluded: “We believe that our performance improvement in 2017 is not by accident, but an inevitable result of the Group’s continuous development of its capabilities in the past few years. The Group will dedicate itself to maintaining its positive development momentum in 2017 with the goal of creating sustainable long term value for our shareholders."


About Forgame Holdings Limited (stock code: 484)
Established in 2009 and listed on the Hong Kong Stock Exchange on 3 October 2013, Forgame Holdings Limited is a leading developer and publisher of mobile games and webgames and provider of FinTech services in the PRC.
 
Forgame aims to create an inclusive financial ecosystem and become one of the most influential FinTech companies in China. In December 2016, the Group obtained a license from the government to carry out internet micro-lending business in the PRC. In August 2017, the Group acquired China's leading FinTech platform Jianlicai. The Group endeavors to further strengthen its presence in the FinTech market in the future.