Qiiwi Games AB (publ)

presentation of bokslutskommunikén for 2024. Vi kommer att köra en genomgång av den rapport vi släppt här nu på morgonen och med efterföljande Q&A-frågestund som vanligt. Finns det några frågor så kan de skickas in via Zoom-klienten under Q&A-verktyget. So we will go through and answer what we think we can answer right now. I think we'll get started and go through the presentation here. Warmly welcome. My name is Erik Dahl-Rundberg, CEO and co-founder of Kiwi Games. Summarizing Boxerskommunikén 2024, we have reached a positive cash flow during the fourth quarter and we have also launched Backpacker Go globally. We have started the global release of the game title, which is the game title that we have focused very much on during 2024 in the New Games business area. Backpacker Go started its global launch towards the end of December and we also reach a positive cash flow under Q4 at about 0.4 million SEK and this positive cash flow is partly due to the cost savings and reorganization we have done in 2024, as well as a realized profit from the sale of a fund placement, which is a way we are working on to maximize the spending on liquid funds. It is also something that we continue to work with to maximize our cash as much as we can. Our goal is of course to create enough play surplus to generate positive cash flow from our gaming business. And this is something that we will continue to work hard on under 2025. So it's a mix of different parts that makes us reach this positive cash flow under Q4, which has been a goal for us under 2024, to reach the later part of the year. The global launch of Backpack Go started in late December and under During this period, we also reached a positive EBITDA result and also profit after tax. The positive EBITDA result ended up at 0.4 million SEK. We have improved the EBITDA result by about 7 million SEK compared to the previous year. under den perioden föregående år så gjorde vi ju mycket investeringar och lanseringar av Extreme Makeover som drev på mycket marknadsförings- investeringskostnader. Så det är en sak som skiljer sig mycket åt plus att vi hade en betydligt större organisation och kostnader relaterat till den. Vi når också vinst efter skatt på cirka 800 000 SEK och det är något som skedde senast Q1 2021. If we look at the turnover during the fourth quarter, it fell to about 4 million SEK compared to 7.9 million SEK during Q4 2023. And then it was mainly Extreme Makeover that drew in revenue, considering the launch and the big UA investments we made to really invest in the launch of the game that we had invested a lot of resources and over a long time. During this period, Backpacker Go is the highest contributor to the turnover. Despite the fact that the global launch started at the end of December. With global launch, we mean that we have increased the UA-investments for the game title. Before that, we have carried out a number of soft launch tests on different markets. This has also driven turnover from the game title. But the large increase in revenue from the gaming industry took place towards the end of December. We see a lower contribution to the revenue from the live operations business. And the three largest gaming viewers related to revenue are Backpacker Go 29%, Wordington 24% and Extreme Makeover 15%. If we look at UA and marketing, during the period we invested about 1.4 million SEK, compared to 6.3 million SEK during the comparison period. And as I said, Extreme Makeovers is the company that made a lot of UA investments during the whole Q4 2023. We started the global analysis of Backpacker Go towards the end of Q4 2024. That means that we still see a relatively low UA investment in marketing. But we also work very... controlled and analyzed the ROAS levels. And we see for Backpacker Go that we had a very good development around reaching the ROAS goals we wanted to achieve for the game. We reached that under Q4 and also at the beginning of the global launch, as well as a bit into Q1, but something where we have seen a more difficult UA climate towards the later part of January and during February. Where we are working hard to turn that trend, to achieve a better performance in our UA results. But it depends on how much we can invest in UA for our games and we are working towards a 180-day goal. max level for us that within 180 days we want to reach 100% ROI and preferably much earlier than that as well. So we work very strictly with our UA-analysis and the investments we make and act when we see that something does not hold, that we cannot start campaigns over longer periods of time because we can clearly see that this will not be canceled. One thing we are also working very clearly with now is that we control our resource allocation. It means faster if we notice that a project does not reach the ROAS goals we want, then we move our resources to other projects, such as new games, for some part, depending on what levels of ROAS goals we reach. If we look at the revenue distribution, it is very similar to the previous quarter under 2024. 38% from in-app purchases and 62% from ad revenue. During the 2023 Q4, we were significantly higher on the In-App Purchase side. This is due to the fact that Extreme Makeover at that time only had In-App Purchase revenue. There were no ad revenue or advertising revenue in the game at that time. Summing up the financial results for Q4, we reached a turnover of about 4 million SEK. We reached an EBITDA result of about 374,000 SEK. An EBITDA result of minus 348,000 SEK. The result for the tax on about 800,000 SEK. We reached a result per share of plus 0.09 SEK. Vi har likvida medel vid utgången av det fjärde kvartalet på cirka 18 miljoner SEK. Jag lämnar över till dig Daniel här för att prata med dig om New Games affärsområdet.

Tack så mycket Erik. My name is Daniel and I am a co-founder of Kiwi and I lead the work with our New Games team. During the reported quarter, like most of 2024, the main focus has been on Backpacker Go and on December 27 we reached the stage of a global launch, which is a milestone for us as we see here in the MVP process is the last stage. The game is in a stadium where we have 65 cities for the players to visit. It's translated into 12 languages. And in the development of the game, we have worked out a process to quickly create more content in the form of cities, questions and that kind of content. And we have also found methods where we can use AI tools to create the content more effectively. an important lesson for us during the process of making the game work. Another lesson we've learned is that BPKV is a game where we have more social functions than before and where we try to integrate it in our games and we see the benefit of it, so it's something we take with us in the future as well. And that's more how we work with teams, players collaborate, collaborate in events and benefit from each other to get ahead in the game and what positive effects it has for game design. As we can see here at the bottom, we have another title in our MVP process. It is a game title that is currently being prepared for a market survey. It is an early test against a selected group of players. And it is something we will have to deal with here in the future. You will be able to follow the results there. I would also like to mention that in our MVP process we have a pre-stage that we call the idea phase, which we do not see here. But it is a phase where we process the ideas we have internally. signals we pick up from the market. So it takes a pre-work before titles come into the MVP process. And in our work with Backpacker Go, we have got the interest for the board game mechanics, as we call it, and the synergies we see with our game segment, where minds thrive, tankenötter, ordpussel, and all those pieces with a board game. So that's something we're going to explore more about here in the future. But that was all from New Games. I'll send it back to you, Erik. Thank you.

Thank you so much, Daniel. So I'm going to unmute myself there. It seems like Ekar is a bit... But we'll move on to the next slide. And there we have the progress of Lab Operations. And I'll hand it over to you, Marcus.