Annual profit of Supercell fell by 20% due to a decrease in Clash of Clans sales
Finnish mobile developer Supercell reported a 20.5% decrease in profit in 2017. The main reason for the decline was the slowdown in sales of the flagship title Supercell — the Clash of Clans strategy, which was released 5 years ago.
The company’s 2017 EBITDA profit amounted to €729 million. A year earlier, Supercell received €917 million.
The developer’s annual revenues also decreased by 14% to €1.8 billion.
The decline in Supercell’s financial performance has affected the position in the annual ranking of the largest publishers of mobile games of the analytical company App Annie. Supercell dropped from 2nd to 5th place in it. The App Annie rating is based on sales revenue data from Google Play and the App Store.
“Our games have become a year older and started to lose pace. In addition, we did not release any new titles in 2017,” Ilkka Paananen, CEO of Supercell, commented on the financial performance.
There are only 4 games in the active Supercell portfolio: Clash of Clans, Clash Royale, Boom Beach and Hay Day. The total DAU of studio titles is 100 million people.
The fifth Supercell game may be the mobile PvP action Brawl Stars, which the company has been testing for six months in a softlonch in Canada.
Although Brawl Stars occupied the top positions in the ratings of downloads and profitability of the Canadian App Store, the world release of the game remains in question.
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