- Huuuge Games recorded declines in revenue, profit and adjusted EBITDA in Q2 2024
- Sales and marketing expenses hit $15.6 million up 40% from Q2 2023
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Developer and publisher Huuuge Games recorded revenue, profit and adjusted EBITDA declines during the second quarter of 2024 despite its “resilience in monetisation efforts”.
In fact, $63.4 million in revenue this Q2 represented an 8.4% decline year-on-year and 5.4% quarter-on-quarter. Meanwhile, $15.1 million in profit marked a 30.6% fall year-on-year and 8.9% quarter-on-quarter.
The falls were partly attributed to a “weaker” social casino market, yet Huuuge’s core franchises saw average revenue per paying user rise by 3.1% year-on-year and 4.1% quarter-on-quarter. Still, this wasn’t enough to turn around falling revenues overall.
Milestones met
In addition to falling revenues impacting profits, Huuuge Games’ expenses were up due to increased spending on user acquisition.
Sales and marketing expenses hit $15.6 million, a 40% rise over Q2 2023, but in that time daily active users in Huuuge’s core franchises rose by 2.7% and both Huuuge Casino and Billionaire Casino surpassed $2 billion in lifetime revenue.
The company intends to decrease its UA spending in the second half of 2024.
Huuuge also saw adjusted EBITDA fall in Q2, with $19.4 million representing declines of 29.3% year-on-year and 11.4% quarter-on-quarter. However, the firm is confident that with its “promising” H2 2024 roadmap – which includes plans delayed from H1 – upcoming efforts will “lead to solid adjusted EBITDA” and “peak revenue impact” in Q4.
“This year, as we celebrate Huuuge’s 10th anniversary, both Huuuge Casino and Billionaire Casino have surpassed $2 billion in lifetime revenue, an impressive milestone that few in the industry have achieved,” said Huuuge Inc CEO Wojciech Wronowski.
“Huuuge continues to generate strong cash flow, delivering $33 million in net cash from operations in the first half of the year, demonstrating our focus on operational efficiency and financial discipline.
“Looking ahead, profitability remains a top priority. With a cash balance of nearly $110 million, we have significant flexibility to actively pursue meaningful M&A opportunities, and we are confident the right one will come our way.”
