Xurpas nets P193M

Technology firm Xurpas Inc. grew its net income in the first nine months by 19 percent year-on-year to P192.91 million, spurred by the continued profitability of mobile consumer services.

Revenues for the nine-month period breached the P1-billion mark, surging by 121 percent year-on-year to P1.13 billion, the company said in a regulatory filing on Tuesday.

Mobile consumer services increased revenues by 52 percent year-on-year, amounting to P575.37 million. This segment accounted for 51 percent of total revenues for the first three quarters.

Revenues from mobile enterprise services surged by 543 percent year-on-year to P486.86 million for the first three quarters. The segment now comprises 43 percent of the company’s business following the full consolidation of Yondu, which Xurpas acquired in September of 2015.

While Xurpas’ mobile consumer services and mobile enterprise services enjoyed very strong growth for the current period, overall blended net income margin was lower compared to last year, because the enterprise segment now contributes a much larger portion of total revenues.

“What you are seeing as of the third quarter of this year does not include yet our newly launched game titles, which are slated for introduction over the next few months. Together with our investment in Art of Click, we are confident of a strong finish for 2016,” said Xurpas president Raymond Racaza.

“We will continue to focus on the bigger, long-term opportunities, as we build the products, services, and platform structure to deliver transformative technologies and business models for emerging markets,” he said.

Art of Click is a strategic move for Xurpas to grow its mobile consumer business beyond mobile casual games, said Xurpas chair Nix Nolledo.

“While we are in the process of building a unifying platform to consolidate different parts of our business, the acquisition of Art of Click will be immediately accretive and it is expected to grow our mobile consumer segment in the short term, and accordingly, become of key strategic importance moving forward,” Nolledo said.

Art of Click has created a proprietary, next generation ad optimization platform for advertisers. The platform supports both client brands and global and regional communication agencies in the development and execution of mobile strategies in markets such as South Korea, Japan, Hong Kong, Taiwan, Southeast Asia, North America, and Europe.