Applovin Pop on REEKS Beat, selling portable games

Applovin The shares rose to 15 % in the stretch trading after the company reported the profits and revenues that overcame expectations and announced the sale of their mobile games.

Here’s how to compare the company with estimates of LSEG consensus:

• Profits: $ 1.67 per share for $ 1.45 per share
• profit: 1.48 billion dollars for $ 1.38 billion expected

On Wednesday, Applovin also agreed to sell mobile phone games to TripLedot studios in a $ 400 million deal as cash considerations. The advertising technology company will also get a royal share of approximately 20 % in Tripledot Studios, making mobile games like Sudoko Friends, Puzzletime and Solitaire Classic. “

The deal is expected to be closed in the second quarter of 2025.

Applovin said sales in the second quarter should range from $ 1.2 billion to $ 1.22 billion, and the expected analysts’ expectations for $ 1.38 billion.

The company told a net income in the first quarter of $ 576 million, or $ 1.67 per share, an increase of 234 million dollars, or 67 cents per share, in the same quarter of 2024.

The total costs and total expenses for the first quarter amounted to 820.55 million dollars, which represents a 14 % increase from the previous year during the same quarter.

Advertising Technology Company He said In February, a period of time to sell its application works signed for the “total estimated consideration” of $ 900 million, which included $ 500 million in cash.

Applovin’s business has been divided between ads and applications, which consists primarily from the game studios that the company has gained over the years. with Historical growth In its advertising unit, due to rapid progress in artificial intelligence, applications have become much important.

The company recorded $ 1.16 billion in advertising sales in the first quarter, an increase of 678 million dollars it recorded a year ago during the same period.

Business sales related to the company’s applications for a quarter of $ 325 million, a 14 % decrease from the previous year.

Applovin’s The stocks rose more than 700 % In 2024 it was The best performance In this sector, thanks to the mutation of artificial intelligence and the growth in advertising online.

The shares of the company decreased by 12 % in February after The sellers were published on the open reports Doubt on the AI ​​axis ads program in which artificial intelligence works.

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