Kabam grossed over $180M in 2012
2012 was another profitable year for core game developer Kabam. The company today announced the year’s gross revenue exceeded $180 million, up 70 percent year-over-year from 2011.
Although the developer didn’t reveal the exact details of its earnings, it did say that it was profitable for the year. In a statement, Co-Founder and CEO Kevin Chou said the company had initially expected 2012 revenue to grow only by 30 to 40 percent; meanwhile, the company is entering 2013 with an annualized run rate of more than $200 million. The company also revealed that seven of its games were grossing more than $1 million a month in 2012.
Unsurprisingly, mobile proved to be the platform with the most growth for the company, based on the success of titles like Kingdoms of Camelot: Battle for the North and the recent high-profile launch of a tie-in game for Warner Bros. blockbuster Holiday film, The Hobbit: An Unexpected Journey. Kingdoms of Camelot: Battle for the North, took the No. 1 spot on Apple’s Highest Grossing Apps list for the year of 2012. In 2011, the company’s revenue was coming solely from Facebook, but with the company moving onto open web and mobile platforms, Facebook only accounts for about 30 percent of its present income.
One interesting point to note in this morning’s earnings release was that “Kabam’s average revenue per daily active user (ARPDAU) is eight- to nine-times higher than the industry’s largest company.” Based on what we’ve heard from Zynga much earlier in 2012, that means Kabam is presumably bringing in at least $0.50 in ARPDAU.
As we recently noted, Kabam isn’t slowing down. The company started the year off by acquiring Vancouver-based Exploding Barrel Games, bringing its worldwide headcount to over 500 people.