GungHo sales up 945% in first half

Puzzle & Dragons dev's $763 million revenues boosted by a $4.9 million daily average in second quarter

GungHo Online Entertainment is riding its hit smartphone title Puzzle & Dragons to impressive growth. The company has reported its first-half sales results, and as translated by analyst Dr. Serkan Toto, the numbers were impressive.

From January through June, GungHo reported sales up 945.5 percent year-over-year to $763 million, with a net income of $287 million. Those numbers were disproportionately driven by the company's second quarter, in which it saw revenues of $446 million, with a net income of $161 million. As Toto pointed out, that works out to daily sales of $4.9 million and daily net income of $1.8 million for the second quarter.

Despite that acceleration in sales and profits, Toto noted signs that the Puzzle & Dragons phenomenon is slowing down. Even though the game hit 17 million registered users last week, GungHo acknowledged that its July sales were "just" $138 million, about $4.5 million a day. Toto said the company is picking up its efforts with Puzzle & Dragons, looking to release it in several European countries this year. It is also planning to bring it to the 3DS.

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Latest comments (4)

Bruce Everiss Marketing Consultant 8 years ago
Rovio and Supercell have proven that this sort of stellar performance can be done by any company anywhere on earth.
All that is needed is one or two very good games and some good marketing.
Get it right and you could go from start up to this level in two years.
And the market is still expanding very rapidly.
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Matt Walker Production Coordinator, Capcom8 years ago
Not quite convinced that 3 companies total having this kind of success proves that it's something that can done "by any company anywhere on earth."

On a related note, Gree's revenues are down 70% year over year.
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Eoin Moran Studying Bachelor of Engineering, University of Melbourne8 years ago
The numbers generated by some of these games (most of which I had no idea even existed) is just mind boggling. Goes to show just how much money can be generated with a simply game mechanic
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I thin Bruce is right as none of these companies planned to do it. I mean, everyone is aiming for success, but I'd say that none of those three realized how successful they are going to be. P&D devs were at Supercell's Free Your Play-event in Helsinki last month. The producer/designer of the game told us that it was his first game at GungHo and that he "wanted to do his own and improved version of a game X he really liked". Can't remember what game it was.
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