Interim report January-June 2015


April -June 2015

  · Consolidated revenue for the period was 89,465 (58,021) kSEK, an increase of
54 per cent compared to 2014.
  · EBIT for the period was 2,155 (2,352) kSEK.
  · Net result for the period was 461 (1,739) kSEK.
  · Earnings per share for the period before and after dilution was SEK 0.05
(0.20).
  · Cash flow before financing activities during the period was -7,051 (-9,365)
kSEK.

January -June 2015

  · Consolidated revenue for the period was 187,017 (113,894) kSEK, an increase
of 64 per cent compared to 2014.
  · EBIT for the period was 6,682 (7,509) kSEK.
  · Net result for the period was 2,604 (5,768) kSEK.
  · Earnings per share for the period before and after dilution was 0.30 (0.66)
SEK.
  · Cash flow before financing activities during the period was -2,101 (-2,178)
kSEK.

Important events during the second quarter

  · Revenue from free-to-play games grew 87 per cent compared to the second
quarter 2014 and accounted for 87 per cent (72) of total revenue in the quarter.
  · The accumulated number of downloads of the group’s games (not counting
updates) surpassed 220 million.
  · After the Annual General Meeting on May 22, 2015, the Board of G5 decided to
offer a total of 145,000 warrants to existing employees.
  · G5 Entertainment signed an agreement with the developer of the game Brave
Tribe to acquire all interest, intellectual property, and assets in the game. G5
Entertainment originally published the game as a 3rd party game, and brought the
game to iOS, Android, and Amazon application stores. The purchase price will be
funded from the company’s cash flow.
  · Stefan Wikstrand has been appointed Chief Financial Officer and deputy CEO.
Stefan started his position on the 1st of June 2015. Stefan is 34 years old and
previously worked at Tradedoubler AB (publ).

Important events after the end of the period

  · The management has reduced user acquisition (UA) spending in the third
quarter to demonstrate the assump-tion that the revenue will remain stable and
the growth will continue with even lower level of UA spending. While it is the
plan for the quarter to work with lower UA budget, the management reserves the
option to increase the new lower level of UA spending in case of new game
releases that require justified initial marketing spend.Stefan Wikstrand has
been appointed new Chief Financial Officer. He starts his position on July 1.
Stefan Wikstrand takes over from Odd Bolin, who is leaving G5. After studies at
Jönköping International Business School he worked five years within audit at MGI
Revideco AB and KPMG. Since 2010 Stefan Wikstrand has worked at TradeDoubler AB
as Group Financial & Business Controller. During his time at TradeDoubler,
Stefan has worked with all aspects of running the finance function at an
international listed company. Stefan Wikstrand is 34 years old.
For further information, please contact:

Vlad Suglobov, CEO, investor@g5e.com

Stefan Wikstrand, CFO, +46 76 00 11 11 5
The G5 Entertainment group is a developer and publisher of high quality casual
and free-to-play games for tablets and smartphones, that are distributed through
iPhone, iPad, Android, Mac and Windows application stores. G5 Entertainment´s
portfolio includes popular games like Mahjong Journey, Farm Clan, The Secret
Society, Virtual City Playground and Supermarket Mania. G5 Entertainment AB is
listed on Nasdaq Stockholm since 2014.

Attachments

07236844.pdf