JULY – SEPTEMBER 2024
JANUARY – SEPTEMBER 2024
A FEW WORDS FROM OUR CEO
Net revenue during the third quarter of 2024 amounted to MSEK 3.8 (3.1), an increase of 21 percent, or 33 percent in comparable currency, compared to the previous year. Growth has mainly been driven by our continued investment in user acquisition for Questopia. Our cost savings programme, which was initiated in the fourth quarter of 2023 with the goal of saving MSEK 8 on an annual basis, achieved full impact, with MSEK 2 in savings during the quarter.
Notwithstanding this progress, we have encountered challenges in scaling our revenue to the levels necessary to achieve our goal of cash flow neutrality in the fourth quarter. In addition, we have not been able to keep pace with the planned development of Fishing Tour. Although we no longer expect to achieve the cash flow target before the end of the year, we do see an opportunity to reach it, with the help of Questopia, in the first quarter of 2025, provided that our efforts yield the expected results. As such, we have chosen to reallocate resources from Fishing Tour to Questopia, which will allow us to intensify the development of new updates and strengthen our marketing efforts for Questopia.
Fishing Tour remains a central aspect of our long-term strategy but, with the reallocation of resources, we have chosen to adjust our timeline to balance the short-term financial goals with our long-term ambition to develop the best sports fishing game in the market. We have started to evaluate potential partnerships and strategic changes in order to ensure we have the right support for the future development of Fishing Tours.
In line with our strategy to ensure both short- and long-term value development, we entered into a collaboration during the quarter with Supersonic, a global publisher for mobile games. This partnership has the potential to broaden our revenue sources, as well as contribute to a more stable cash flow in the short term, with the possibility of long-term positive effects if successful.
Our ambition is to both achieve our goal of a neutral, or positive, cash flow and launch a more finished version of Fishing Tour during the first quarter of 2025. We are aware that market conditions and other factors may affect our schedule, and outcome, but with the measures we are now implementing, we are addressing the challenges that lie ahead.
Rade Prokopovic
Chief Executive Officer
FINANCIAL CALENDAR
All financial reports are published on https://www.sozap.com/ir/financial-reports
BOARD OF DIRECTORS
The Board of Directors and the CEO affirm that the interim report provides a fair overview of the Parent Company’s and the Group’s operations, financial positions and results, and describes the significant risks and uncertainties which the Parent Company and the Group are facing.
Nyköping, November 14, 2024
Daniel Somos
Chair of the Board
Stefan Janse
Board member
Hanif Bali
Board member
Rade Prokopovic
CEO & Board member
This report and press release are translated versions of the Swedish originals. Every care has been taken in the translation of this document. In the event of discrepancies, the Swedish original will supersede the English translation.