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Mail.ru Group published financial report for the third quarter – the company’s revenue grew by 19.9%, but profit decreased
Holding Mail.ru Group published unaudited financial report for the third quarter. The company reported a growth in total revenue of 19.9% compared to the same period last year – its total volume amounted to 26.372 billion rubles. Despite this, MRG’s net profit decreased by 19.5% (to 2.8 billion rubles).
Press Service Mail.ru
Advertising revenue grew by 5% (to 9.51 billion rubles), revenues from MMO games increased by 33.8% (to 9.61 billion rubles). The company also reported an increase in revenue from payments for social services by 8.3% (up to 4.22 billion rubles). Other revenues soared by 63.7%, amounting to 3.01 billion rubles. The growth of the latter was provided by educational platforms GeekBrains and Skillbox, the total revenue of which exceeded 1.6 billion rubles.
MRG executives emphasized that VKontakte is central to the company’s ecosystem. Social media revenue grew 12.9%, while ad platform revenue grew 40%. In addition, the monthly active audience of the project grew by 4.2%. Also, the management announced a doubling of revenue from advertising in Odnoklassniki. The full social media report can be found on the company page.
“Despite dramatic changes in operating conditions and a challenging macroeconomic environment, our financial performance confirms that we are successfully adapting to the new reality and scaling our operations,” said MRG in a statement.
In the coming year, the company expects to increase its annual revenue by 17-19% (up to 103 billion rubles). To this end, MRG plans to develop current topical areas, including MY.GAMES, “Clips” service (on VKontakte), tools of cloud solutions for business and much more. The management also plans to develop the overall ecosystem of the company using the VK Connect account, VK Combo subscription and other areas.
In September, it became known about the intentions of MRG to launch its own cloud gaming service. According to Kommersant, the platform will be named My.Games Cloud. The representative of the company said that the holding is studying the prospects for development in this direction, but it is too early to talk about the launch of the platform.