Social casino games developer Tangelo is targeting product development in order to grow revenue, after recording a net loss of CAD$43.63m (£24.71m) in 2017.
That figure includes a write-off during the fourth quarter that incurred a net loss of CAD$34.27m, up from CAD$9.59m in Q4 2016. The company’s total net loss for the year more than doubled compared to CAD$17.92m in 2016.
Revenues grew for Tangelo during the fourth quarter, up by four per cent on the previous quarter to CAD$8.81m.
In the first quarter of 2018, revenue was recorded at CAD$8.61m – slightly down, but actually up on an average revenue basis, according to Tangelo CEO James Lanthier.
"New product development is essential to the longer-term growth of revenue,” Lanthier stated. “With the migration at Tangelo Spain coming to an end in 2018, we will be able to accelerate new product delivery. Games representing the majority of our revenue will be fully migrated to Unity by July, with the majority of our remaining games migrated through the rest of the year.
“Best Jackpot, our new English language app, is in final beta testing and we expect it to be widely released in the coming weeks. A revitalized Spanish-language Bingo Rider app will be released in May. The Mundijuegos app release has been pushed to July in order to ensure that we maximize the range of content available to users.”
Lanthier also re-stated that Tangelo is pursuing “a number of potential strategic alternatives” to improve its capital structure and unlock value for shareholders: “While the Company cannot offer any assurances that these discussions will result in a successful transaction, they are ongoing. The Company will, obviously, update the market when or if a material development arises.”
