Snail(SNAL) - 2024 Q4 - Annual Results

Revenue Performance - Net revenues for Q4 2024 were $26.2 million, a decrease of 8.4% from $28.6 million in Q4 2023[4] - For the full year 2024, net revenues increased by $23.6 million, or 38.7%, to $84.5 million compared to $60.9 million in 2023[5] - Total revenues for the year ended December 31, 2024, were $84,467,047, an increase of 38.8% compared to $60,902,098 for the year ended December 31, 2023[25] Bookings and Sales - Bookings for Q4 2024 were $17.0 million, down from $52.6 million in Q4 2023, reflecting the strong release of ARK: Survival Ascended[8] - Full year bookings decreased to $75.7 million from $85.7 million in 2023, attributed to higher average selling prices from ARK: Survival Ascended[9] - ARK: Survival Ascended sold 3.4 million units since its launch, with an average of 94,000 daily active users and a peak of 308,000[3] Profitability - Net income for Q4 2024 was $1.1 million, down from $2.4 million in Q4 2023, due to increased R&D costs[6] - For the full year 2024, net income was $1.8 million, a significant improvement from a net loss of $9.1 million in 2023[7] - The company reported a net income of $1,831,940 for the year ended December 31, 2024, compared to a net loss of $9,086,075 in 2023, demonstrating a turnaround in profitability[25] - Net income for 2024 was $1,827,075, a significant improvement from a net loss of $9,094,424 in 2023[28] EBITDA and Financial Metrics - EBITDA for Q4 2024 decreased by 55.6% to $1.6 million compared to $3.6 million in Q4 2023[10] - Full year EBITDA increased to $3.2 million from a loss of $9.7 million in 2023, marking a $12.9 million improvement[11] Cash Flow and Liquidity - As of December 31, 2024, unrestricted cash was $7.3 million, down from $15.2 million at the end of 2023[12] - The company’s cash and cash equivalents dropped to $7,303,944 as of December 31, 2024, compared to $15,198,123 as of December 31, 2023, highlighting a need for cash flow improvement[22] - Cash flows from operating activities resulted in a net cash outflow of $1,565,124 in 2024, contrasting with a net cash inflow of $465,868 in 2023[28] - Cash and cash equivalents at the end of the period decreased to $8,238,944 from $16,314,319 at the beginning of the period[28] Expenses - Research and development expenses increased to $11,647,293 for the year ended December 31, 2024, compared to $5,057,421 in 2023, indicating a focus on innovation and new product development[25] - Operating expenses for the year ended December 31, 2024, totaled $26,341,615, up from $22,888,706 in 2023, primarily driven by increased R&D and general administrative costs[25] Assets and Liabilities - Total current assets decreased to $31,246,538 as of December 31, 2024, down from $56,650,536 as of December 31, 2023, indicating a liquidity challenge[22] - Total liabilities decreased to $58,024,202 as of December 31, 2024, from $88,056,910 in the previous year, reflecting improved debt management[22] - The total assets decreased to $62,193,364 as of December 31, 2024, from $90,857,529 as of December 31, 2023, indicating a significant reduction in the asset base[22] Future Outlook - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[25]