Technology firm Xurpas Inc. yesterday said its 2014 core earnings before one-time non-recurring charges related to its initial public offering surged by 64 percent while revenue went up by 56 percent from year-ago levels.
These results are anchored on Xurpas’ mobile consumer business, which continues to be a robust growth driver for the company.
Xurpas’ revenue increased to P392.22 million in 2014 from P252.06 million in 2013.
Including charges from its IPO and organizational build-up in the last quarter of 2014, the company posted a 60-percent increase in net income, or P190.72 million in 2014 from P119.49 million in 2013.
In a disclosure yesterday, Xurpas also said it was continuing its regional expansion with an investment in Indonesian firm PT. Sembilan Digital Investema (SDI), owner of mobile content firm Ninelives Interactive.
Xurpas has signed a binding term sheet that gave it 49 percent ownership and full management control of SDI at a cost of $245,000.
SDI has been in mobile content development and distribution for the past three years. It has existing contracts with carriers Telkomsel, Indonesia’s market leader with about 140 million subscribers, as well as XL Axiata and Indosat.
The purchase of Ninelives gives Xurpas access to a huge market for its games and other services.
“Indonesia is one of the most exciting mobile markets in the world with close to 300 million subscribers, making it the fourth largest mobile market in the world. Just like the Philippines, the majority of users are still on pre-paid but they are rapidly moving away from fixed connections in favor of smartphones and mobile data. The striking similarity between the Indonesian market and ours makes it an ideal location to establish another stronghold.” said Nix Nolledo, president and CEO of Xurpas Inc.
Nolledo said Xurpas was also talking to companies that would hasten its strategic expansion in Asia, activate other untapped markets and open revenue gateways.
Ninelives is the third company that Xurpas has invested in since its initial public offering in December 2014. The first two were Singapore IT company Altitude Games PTE Ltd. and Storm Flex Systems Inc.