“Long live the King!” At least that seems the sentiment around Wall Street after King Digital’s (KING) recent quarterly report. It’s been more than a bumpy road for the mobile game developer ever since its March 2014 IPO. The stock price maxed out last June at $23.48 before being labeled as a one-hit wonder by just about every analyst out there.
Ditching the Stigma
But here we are, almost a year after King Digital went public, and the company is looking better than ever. Here are some of the key takeaways:
- Candy Crush accounted for 78% of the company’s revenues in its first quarter as a public company. That’s now down to 45%.
- Revenues are down from $608 last May to $559.2 million, meaning that while Candy Crush revenues are down 47%, non-Candy Crush revenues are up 130%.
- King Digital announced its acquisition of Z2Live, a Seattle-based developer similar to Nonstop Games, which King acquired six months ago.
- Earnings per share came in at $0.57, beating analyst expectations by $0.10.
- Share prices went through the roof after-hours on Thursday, rising 21.7% before Friday’s open. It ended the day up 13.3%, at $16.70.
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