Kuuhubb Inc. Provides Corporate Update
November 6, 2017
- Successful integration following Sumoing Oy acquisition.
- Monthly Active Users increase of 24%, reaching 6.3 million MAU in October 2017.
- Gross revenue increase of 21%, to approximately USD$2 million in October 2017.
Toronto, Canada – November 6, 2017 - Kuuhubb Inc. (“Kuuhubb” or the “Company”) (TSX-V: KUU), a technology company focused on acquiring, developing and distributing lifestyle and mobile video game applications, provides a corporate update.
Successful Integration of Sumoing Oy Acquisition:
On August 18, 2017, Kuuhubb announced the 100% acquisition of Finnish lifestyle application company Sumoing Oy, a Helsinki-based game development studio that specializes in lifestyle genre apps targeted to the female audience. Sumoing Oy is the creator of Recolor, the world’s number one digital coloring book application on mobile.
Following the acquisition of Sumoing Oy, Kuhubb’s management team engaged in a focused 90-day integration plan, designed to capitalize on synergies, evaluate costs, identify growth opportunities, re-deploy resources and human capital to capture value, and mitigate financial and operational risks. Kuuhubb management is happy to report that all significant integration efforts have been successfully achieved.
“Our key focus following the acquisition of Sumoing Oy was to be flexible, but thorough during our set 90-day integration time frame. Most important to us was making sure that we intergrate Kuuhubb’s global team with Recolor’s product team and continue executing our planned growth drivers, without disrupting the product innovation and day-to-day operations. Building a strong culture and fostering creativity and ownership was top of mind during this sensitive integration phase, and we are very pleased that it went smoothly and efficiently,” stated Jouni Keränen, Chief Executive Officer of Kuuhubb.
Successful Marketing of MyHospital Following Global Distribution Agreement:
On June 20, 2017 Kuuhubb announced that it had finalized an agreement with Warsaw, Poland based, global game developer and publisher Cherrypick Games to become its global distributor for its "My Hospital" simulation game for iOS, Android and Web. MyHospital represents an increasingly popular sub-genre of medical simulation games, and offers complexity and depth often missing in this niche.
“Immediately following our global distribution agreement, our team began implementing Live Ops (for example, weekly promotional events within the game), data driven marketing campaigns and launching in new global markets, resulting in improved game metrics and fast user and revenue growth,” stated Pasi Piipponen, Chief Operating Officer of Kuuhubb.
Significant Revenue Growth and User Base Expansion:
The successful integration of Sumoing coupled with the launch and execution of marketing strategies for both Recolor and MyHospital have translated to strong growth for the months of August, September and October 2017:
- Monthly Active Users (“MAU”) growth from August to October was 24%, reaching 6.3 million MAU in October 2017 (Recolor & MyHospital total).
- Gross revenue growth from August to October was 21%, totalling approximately USD$2 million in October 2017 (Recolor & MyHospital total).
“While these are still early days for Kuuhubb, I am proud of what our team has already achieved by demonstrating strong revenue and user base growth immediately following our Recolor acquisition. We will continue to execute our growth drivers and are excited to grow both the existing products and add to our female product portfolio in the future,” stated Jouni Keränen, Chief Executive Officer of Kuuhubb.