Tangelo Games Reports Year End Financial Results

Tangelo Games Corp. (TSXV:GEL), the parent company of Tangelo Israel and Tangelo Spain, a developer of social and mobile gaming for desktop, iOS and Android platforms has announced its financial results for the fourth quarter and year-end of 2017.

The company reported a revenue of $8.81 million as compared to $9.35 million year-over-year. It had a net loss of 34.27 million as compared to 9.59 million.

As quoted in the press release:

“We attribute this to our continuous efforts to improve the cadence and quality of our customer relationship management as well as our mix of promotions and content,” James Lanthier, chief executive officer of Tangelo said. “Monthly average paying users were approximately 56,000 for the fourth quarter, and 52,000 for the first quarter. Promisingly, paying users for Tangelo Israel are now growing year over year and were up by 18% in the first quarter of 2018 from the year before, with the majority of this growth coming through reactivating former customers from the Company’s large database of historical customers.”

As previously discussed, management has pursued a number of potential strategic alternatives with a view to improving its capital structure and unlocking value for all stakeholders. While the Company cannot offer any assurances that these discussions will result in a successful transaction, they are ongoing. The Company will, obviously, update the market when or if a material development arises.

“New product development is essential to the longer-term growth of revenue. With the migration at Tangelo Spain coming to an end in 2018, we will be able to accelerate new product delivery. Games representing the majority of our revenue will be fully migrated to Unity by July, with the majority of our remaining games migrated through the rest of the year. Best Jackpot, our new English language app, is in final beta testing and we expect it to be widely released in the coming weeks. A revitalized Spanish-language Bingo Rider app will be released in May. The Mundijuegos app release has been pushed to July in order to ensure that we maximize the range of content available to users,” Lanthier said.

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