ANGUILLA, BRITISH WEST INDIES--(Marketwired - Jan. 28, 2016) - Shoal Games Ltd. (TSX VENTURE:SGW) (OTCQB:SGLDF) http://www.shoalgames.com ("the Company"), owner of Trophy Bingo, an innovative, non-gambling, social bingo game, http://www.trophybingo.com, today announced its unaudited financial results for the fourth quarter ended December 31, 2015. All amounts are presented in United States dollars and in accordance with United States Generally Accepted Accounting Principles.

Recent Shoal Games Ltd. highlights include:

• Revenue of $85,446, an increase of 768% from revenue of $11,130, in the third quarter of 2015
• Cash of $570,086 and positive working capital of $454,341 as at December 31, 2015
• Q4 average Trophy Bingo rating of 4.47 stars (max 5 stars) in Google Play Store
• Launch of Trophy Bingo in Amazon App Store

"The fourth quarter of 2015 saw the Company engaged in marketing, software development, and performance tuning of Trophy Bingo in a live environment," commented Jason Williams, Shoal Games CEO. Our objective since launch has been to generate significant downloads so that we could assess the game's earning potential and popularity with bingo players. We successfully generated 157,354 downloads, secured average ratings of 4.47 in Google Play, and booked $85,446 in revenue for the quarter. All three metrics were ahead of our projections and we remain confident in Trophy Bingo's capacity to become a Top Grossing game. Our tuning efforts were particularly effective as we saw average Day 1 retention for the quarter climb to 38%, from 34% in the third quarter, and ARPDAU (Average Revenue Per Daily Active User) double from $0.046 in the third quarter to $0.092 in Q4.

"We launched in the Amazon App Store in the fourth quarter which has extended Trophy Bingo's reach to all owners of Amazon's Fire range of devices," continued Williams. "We continue to pursue strategies that may result in more cost effective downloads for Trophy Bingo through platform launches or featured listings. A special product release is coming soon to Trophy Bingo that will enable players to interact more in the game which will help to increase referral downloads and reduce our marketing expense per install. The first quarter of 2016 will see us testing some new tuning and monetization concepts with Trophy Bingo as we work to raise the ARPDAU figures higher and increase our revenues again, this time with a lower marketing budget.

"We're encouraged by Trophy Bingo's results and feel that with our planned feature and content releases scheduled in 2016 we will be able to position Trophy Bingo for a push into the Top Grossing charts. Should Trophy Bingo continue to increase its performance it has the potential to earn the Company significant income for many years. We look forward to developing the game and business to achieve this objective."

Total Revenue from continuing operations for the quarter ended December 31, 2015, increased to $85,446, an increase from revenue from continuing operations of $12,210 for fourth quarter of 2014 and an increase from revenue of $11,130, in the third quarter of 2015. The increase in Revenue compared to the fourth quarter of fiscal 2014 and the third quarter of 2015, is due to the Company launching a full global release of a feature complete Trophy Bingo in the Google Play and Apple App Store in the third quarter of 2015.

Sales and marketing expenses from continuing operations were $337,322 for the quarter ended December 31, 2015, an increase over expenses of $75,819 in the fourth quarter of 2014 and an increase of 145% from sales and marketing expenses of $137,266 in the third quarter of 2015. This increase in sales and marketing expenses from continuing operations in the fourth quarter of fiscal 2015 was due to a larger marketing campaign to attract players to the new Trophy Bingo game. Selling and marketing expenses from continuing operations principally include publishing services and user acquisition costs to acquire players.

The net loss after taxation from continuing operations for the quarter ended December 31, 2015, amounted to ($819,004), a loss of ($0.01) per share, compared to a net loss from continuing operations of ($734,523) or ($0.01) per share in the quarter ending December 31, 2014 and net loss from continuing operations of ($758,611), or ($0.01) per share in the third quarter of fiscal 2015.

We had cash of $570,086 and positive working capital of $454,341 at December 31, 2015. This compares to cash of $2,876,386 and positive working capital of $2,856,230 at December 31, 2014.

For full details of the Company's operations and financial results, please refer to the Securities and Exchange Commission website at www.sec.gov or the Shoal Games Ltd. corporate website at http://investor.shoalgames.com or on the www.sedar.com website.

About Shoal Games Ltd. (formerly Bingo.com, Ltd.)

Shoal Games Ltd. (TSX VENTURE:SGW)(OTCQB:SGLDF) http://www.shoalgames.com is the parent company of the group of companies, which owns Trophy Bingo, an innovative, non-gambling social bingo game. Trophy Bingo is a puppy themed bingo adventure where players must win their way through 120 levels of bingo challenges. The game is free to download and supports in-app purchases and incentivized advertising for players who find themselves in need of extra bingos or want to engage with the premium power plays contained in the game. Shoal Games Ltd. trades on the TSX Venture exchange in Canada and the OTCQB venture marketplace for companies that are current in their reporting with the U.S. regulator. Investors can find real time quotes and market information for the Company at http://web.tmxmoney.com/quote.php?qm_symbol=SGW and http://www.otcmarkets.com/stock/SGLDF/quote.

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by the company) contains statements that are forward-looking, such as statements relating to anticipated future success of the company. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ materially from those expressed in any forward-looking statements made by or on behalf of the company. For a description of additional risks and uncertainties, please refer to the company's filings with the Securities and Exchange Commission. Specifically, readers should read the Company's Annual Report on Form 10-K, filed with the SEC on March 26, 2015, and the prospectus filed under Rule 424(b) of the Securities Act on March 9, 2005 and the SB2 filed July 17, 2007, and the TSX Venture Exchange Listing Application for Common Shares filed on June 29, 2015 on SEDAR, for a more thorough discussion of the Company's financial position and results of operations, together with a detailed discussion of the risk factors involved in an investment in Shoal Games Ltd.

SHOAL GAMES LTD. and subsidiaries

Unaudited Consolidated Balance Sheets

As at December 31,					2015					2014
Assets
Current assets:
	Cash		$		570,086			$		2,876,386
	Accounts receivable, less allowance for doubtful accounts $nil (2014 - $nil)				44,843					122,056
	Prepaid expenses				17,205					14,367
Total Current Assets					632,134					3,012,809
Equipment, net					6,314					9,269
Other assets					482,013					964,025
Security deposits					8,960					10,642
Deferred tax asset, less valuation allowance of $17,898(2014 - $17,907)					-					-
Total Assets			$		1,129,421			$		3,996,745
Liabilities and Stockholders' Equity
Current liabilities:
	Accounts payable		$		72,806			$		35,013
	Accrued liabilities				71,026					72,898
	Accounts payable and accrued liabilities - related party				33,960					48,668
Total Current Liabilities					177,792					156,579
Stockholders' equity :
	Common stock, no par value, unlimited shares authorized, 56,197,703 shares issued and outstanding (December 31, 2014 - 55,682,703)				19,334,290					19,257,040
	Accumulated deficit				(18,407,241	)				(15,441,454	)
	Accumulated other comprehensive income: Foreign currency translation adjustment				24,580					24,580
Total Stockholders' Equity					951,629					3,840,166
Total Liabilities and Stockholders' Equity			$		1,129,421			$		3,996,745

SHOAL GAMES LTD. and subsidiaries

Unaudited Consolidated Statements of Operations

For the periods ended December 31, 2015 and 2014

				Year ended December 31, 2015				Year ended December 31, 2014				Three Months ended December 31, 2015				Three Months ended December 31, 2014
				(Unaudited)				(Unaudited)				(Unaudited)				(Unaudited)
Advertising revenue			$	12,196			$	22,655			$	2,906			$	5,105
Trophy Bingo revenue				99,325				9,815				82,540				7,105
Total revenue				111,521				32,470				85,446				12,210
Cost of sales:
	Trophy Bingo amortization			482,012				482,013				120,503				120,503
Total cost of sales				482,012				482,013				120,503				120,503
Gross (loss) profit				(370,491	)			(449,543	)			(35,057	)			(108,293	)
Operating expenses:
	Depreciation and amortization			3,467				3,470				1,178				976
	Directors fees			9,500				12,000				2,000				2,500
	General and administrative			356,647				212,649				37,688				57,448
	Salaries, wages, consultants and benefits			429,072				520,287				100,619				180,119
	Selling and marketing			549,726				247,258				337,322				75,819
	Trophy Bingo development			1,230,216				1,181,382				295,400				348,668
Total operating expenses				2,242,046				2,177,046				774,207				665,530
(Loss) Income before other income (expense) and income taxes				(2,949,119	)			(2,626,589	)			(809,264	)			(773,823	)
Other income (expense):
	Foreign exchange gain (loss)			(33,582	)			(44,617	)			(9,548	)			(25,091	)
	Interest and other income			1,089				510				288				194
Loss from continuing operations before income taxes				(2,981,612	)			(2,670,696	)			(818,524	)			(798,720	)
Income tax expense				480				848				480				803
Loss from continuing operations			$	(2,982,092	)		$	(2,671,544	)		$	(819,004	)		$	(799,523	)
Discontinued operations:
	Gaming revenue			-				1,684,047				-				339,050
	Gain from the sale of the domain name			16,305				6,677,759				-				6,742,759
	Selling and marketing			-				(628,029	)			-				(58,099	)
(Loss) Income after tax				(2,965,787	)			5,062,233				(819,004	)			6,224,187
Other comprehensive (loss) income				-				-				-				-
Comprehensive (loss) income			$	(2,965,787	)		$	5,062,233			$	(819,004	)		$	6,224,187
Basic (loss) profit per common share
Continuing operations			$	(0.05	)		$	(0.04	)		$	(0.01	)		$	(0.00	)
Discontinued operations			$	0.00			$	0.11			$	0.00			$	0.10
Diluted (loss) profit per common share
Continuing operations			$	(0.05	)		$	(0.04	)		$	(0.01	)		$	(0.00	)
Discontinued operations			$	0.00			$	0.11			$	0.00			$	0.10
Weighted average common shares outstanding, basic				55,812,511				69,564,552				56,197,703				70,682,703
Weighted average common shares outstanding, diluted				55,812,511				69,564,552				56,197,703				70,682,703

SHOAL GAMES LTD. and subsidiaries

Unaudited Consolidated Statements of Stockholders' Equity

Years ended December 31, 2015 and 2014

			Common stock									Accumulated Other Comprehensive income
			Shares			Amount			Accumulated Deficit			Foreign currency translation adjustment		Total Stockholders' Equity
Balance, December 31, 2013			67,877,703			20,097,690			(16,753,687	)		24,580		3,368,583
	Private placement		500,000			200,000			-			-		200,000
	Private placement		1,250,000			500,000			-			-		500,000
	Private placement		1,000,000			700,000			-			-		700,000
	Exercise of stock options		55,000			9,350								9,350
	Redemption of shares		(15,000,000	)		(2,250,00	)		(3,750,000	)				(6,000,000	)
	Net income		-			-			5,062,233			-		5,062,233
Balance, December 31, 2014			55,682,703			$19,257,040			$(15,441,454	)		$ 24,580		$3,840,166
Exercise of stock options			515,000			77,250			-			-		77,250
	Net loss		-			-			(2,965,787	)		-		(2,965,787	)
Balance, December 31, 2015			56,197,703			$19,334,290			$(18,407,241	)		$ 24,580		$952,629

SHOAL GAMES LTD. and subsidiaries

Unaudited Consolidated Statements of Cash Flows

Years ended December 31,					2015				2014
Cash flows from operating activities:
	Net income (loss)			$	(2,965,787	)		$	5,062,233
	Adjustments to reconcile net loss to net cash used in operating activities:
		Depreciation and amortization			3,467				3,470
		Trophy Bingo amortization			482,012				482,013
		Gain on the sale of the domain name			(16,305	)			(6,677,759	)
	Changes in operating assets and liabilities:
		Accounts receivable			77,213				159,201
		Prepaid expenses			(2,838	)			97,728
		Other assets			1,682				877
		Accounts payable and accrued liabilities			37,518				(30,260	)
Net cash used in operating activities					(2,383,038	)			(902,497	)
Cash flows from investing activities:
	Acquisition of equipment				(512	)			(4,969	)
	Proceeds on disposal of domain name				-				1,935,000
	Software development				-				(51,701	)
Net cash provided by (used in) investing activities					(512	)			1,878,330
Cash flows from financing activities:
	Exercise of stock options				77,250				9,350
	Private placement				-				1,400,000
	Net cash provided by financing activities				77,250				1,409,350
Change in cash					(2,306,300	)			2,385,183
Cash, beginning of year					2,876,386				491,203
Cash, end of year				$	570,086			$	2,876,386
Supplementary information:
	Interest paid			$	-			$	-
	Income taxes paid			$	480			$	848
Non-cash financing activity				$	-			$	-
Non-cash investing activity				$	-			$	-