GigaMedia: Record Profit of $38.9 Million in 2007

17th March

Taiwan-based GigaMedia, owner of Everest Poker, announced its outstanding full-year 2007 results with revenues climbing 77% to a record $166.9 million, and operating income rising 73% to $38.1 million, both in comparison to 2006, driven by strong growth in its poker software business in continental Europe and its online games business in Asia.

In the fourth quarter, revenues improved 11% to $47.7 million compared to the third quarter while net income grew 10% to $10.7 million.

"We made excellent progress building a powerful online entertainment brand in Europe and an enormous pan-Asian online game platform, and closed out the year with strong momentum during an even stronger 2008," said chief executive Arthur Wang.

Gigamedia divide their business in two segments: a gaming software division that develops online poker and casino solutions for European markets, and a division that operates an online suite of play-for-fun games for an Asian audience, particularly in China.

The software division returned full year revenues of $119 million and gross profit of $102.8 million, fueled by continued strong growth on Everest Poker.

In the online games sector, the company says it "strengthened its position as a leader in Asia, growing its regional footprint significantly, enhancing its game portfolio by licensing expected hit titles targeting a full range of gamers, and adding to its ability to source hot games through investments in leading game development studios."