We reiterate our OUTPERFORM recommendation and a revised target price of S$0.35 based on a DCF valuation method. Growth through acquisition • Continued M&A strategy to drive inorganic growth. Since its IPO, Winking Studios has strategically expanded its presence in Asia through the acquisition of two art outsourcing studios in Taiwan and Malaysia. This aligns with the company’s broader strategy of utilizing mergers and acquisitions to strengthen its position as a market leader in the art outsourcing industry. Its successful placement of new shares further supports its ongoing efforts to grow its market position through strategic acquisitions. • Organic growth in the Japanese market. 1H24 revenue grew 7.1% YoY to US15.2mn from US$14.2mn in 1H23, driven by a surge in orders from both

Monopoly GO! -- has become one of the top mobile games of all time and grossed billions in revenue since it launched last year. Hasbro has also acquired Wizards of the Coast, the makers of Magic: The Gathering, and they own the best-selling video game Baldur's Gate 3. So why is gaming such a big growth market for a traditional toymaker? Where's the market heading? And how does a big company judge the success of freemium apps like Monopoly GO!? https://www.bloomberg.com/news/articles/2024-08-09/hasbro-ceo-on-the-toymaker-s-digital-gaming-push

MICROSOFT kicked off its annual Xbox Games Showcase on Sunday (Jun 9), unveiling a new all-digital version of its Xbox Series X and S consoles as well as trailers for more than a dozen games including the next instalment of Call of Duty. The Games Showcase comes at a crucial time for Xbox and Microsoft as the gaming industry faces a downturn and publishers grapple with softer sales, layoffs and studio shutdowns. Microsoft showed off three gaming consoles including a disc-less version of the Xbox Series X and S consoles, and a special edition of the Series X with two terabytes of storage. The hardware refresh could help Xbox boost sales of its consoles which compete with Sony’s PlayStation 5. Among the games on display was Doom: The Dark Ages, the latest instalment in the long-running D

South Korean company marks country's second-biggest IPO this year Shift Up raised 435 billion won ($315 million) in its IPO as it floated 12.5% of its stake by issuing 7.25 million new shares. It is the second-biggest IPO so far this year in South Korea, following HD Hyundai Marine Solution, which raised 742 billion won in May. The listing comes as Seoul's IPO market recovers from a long slump since the pandemic. An online bank, K-Bank, is also preparing for a market debut later this year. Shift Up is South Korea's fourth-largest game developer, having a lineup of Nikke: Goddess of Victory and Stellar Blade. The company plans to use the proceeds from the IPO for developing new games and content as well as doing research for artificial intelligence and other new technology. https://asia.

https://www.businesstimes.com.sg/lifestyle/tencents-dungeon-fighter-game-dominates-chinas-mobile-download-charts TENCENT Holdings’s newly launched Dungeon & Fighter (DnF Mobile) has got off to a strong start, dominating top-grossing charts on Apple’s iOS platform in China for nearly a month, industry data showed. The game, launched in the world’s biggest gaming market on May 21, broke the US$100 million revenue mark in just 10 days, according to a report released by data analytics firm Sensor Tower this week. It also topped the global mobile game revenue growth chart for May and ranked 8th in overall revenue. In the first 10 days of its launch, DnF Mobile’s revenue in China’s iOS market surpassed the combined earnings of Tencent’s other popular titles Honor of Kings and PUBG Mobile

‘Dungeon & Fighter Mobile’ is off to a hot start in China https://www.businesstimes.com.sg/lifestyle/tencents-new-blockbuster-game-exceeds-us270-million-30-days

‌$WinkingStudios(WKS)$  ‌UOB Kay Hian: Winking Studios (WKS SP/ BUY / TP S$0.38) *Game-changing moves ahead to accelerate growth; Raise target price by 9%* Analyst: Heidi Mo (UOBKH) *1H24 earnings below expectations* WKS reported 1H24 revenue of US$15m (+7% yoy) and core net profit of US$1.2m (-34% yoy), forming 47% and 28% of our full year forecasts respectively. Core earnings miss came from weaker margins (-3ppt yoy) from post-acquisition integration and higher marketing exp (+86% yoy). Excluding acquisitions, GPM was stable yoy at 30%. *Revenue grew 11% yoy in local currencies* from increased orders across both Art Outsourcing (+7% yoy) and Game Development (+8% yoy) segments. *Robust 2H24 pipeline* with ~US$10m of indicative booking

*Game-changing moves ahead to accelerate growth; Raise target price by 9%* Analyst: Heidi Mo (UOBKH) *1H24 earnings below expectations* WKS reported 1H24 revenue of US$15m (+7% yoy) and core net profit of US$1.2m (-34% yoy), forming 47% and 28% of our full year forecasts respectively. Core earnings miss came from weaker margins (-3ppt yoy) from post-acquisition integration and higher marketing exp (+86% yoy). Excluding acquisitions, GPM was stable yoy at 30%. *Revenue grew 11% yoy in local currencies* from increased orders across both Art Outsourcing (+7% yoy) and Game Development (+8% yoy) segments. *Robust 2H24 pipeline* with ~US$10m of indicative bookings as of 13 Aug to be fulfilled by end-24. *S$26.5m net proceeds from Jul placement to fund future acquisitions* WKS has completed

TENCENT Holdings’ revenue accelerated its growth after the blockbuster summer release of Dungeon & Fighter Mobile helped lift China’s most valuable company out of a gaming trough. Revenue jumped 8 per cent to 161.1 billion yuan (S$29.7 billion) for the April-to-June period, versus the projected estimate of 161.4 billion yuan. Net income surged to 47.6 billion yuan, compared with the estimated 39.9 billion yuan. Competition in China’s US$40 billion-plus gaming arena sparked back to life this summer. DnF Mobile got off to a hot start and maintained momentum even with the debuts of major rival titles by NetEase and Genshin Impact studio Mihoyo. Tencent’s hack-and-slash game could rack up 22 billion yuan this year, or 3 per cent of Tencent’s total revenue, according to an estimate by Mor

‌$WinkingStudios(WKS)$  ‌Tencent-backed video game developer, Shift Up, Jumps in Seoul debut South Korean company marks country's second-biggest IPO this year Shift Up raised 435 billion won ($315 million) in its IPO as it floated 12.5% of its stake by issuing 7.25 million new shares. It is the second-biggest IPO so far this year in South Korea, following HD Hyundai Marine Solution, which raised 742 billion won in May. The listing comes as Seoul's IPO market recovers from a long slump since the pandemic. An online bank, K-Bank, is also preparing for a market debut later this year. Shift Up is South Korea's fourth-largest game developer, having a lineup of Nikke: Goddess of Victory and Stellar Blade. The company plans to use the proceeds fro

‌$WinkingStudios(WKS)$  ‌Video Games Are China’s Next Soft Power Grab https://newlinesmag.com/spotlight/video-games-are-chinas-next-soft-power-grab/ A highly anticipated release based on 'Journey to the West' shows the evolution of both an art form and a conduit of Communist Party influence In August 2020, Hangzhou-based developer Game Science released the first trailer for their upcoming action-adventure video game, Black Myth: Wukong, in which players take control of Monkey King Sun Wukong, the shapeshifting, cloud-surfing, demon-hunting antihero of the 16th-century Chinese novel “Journey to the West.” Within a day, the impressive trailer — which showed the simian facing off against the armies of heaven with his signature, size-adjustab

https://newlinesmag.com/spotlight/video-games-are-chinas-next-soft-power-grab/ A highly anticipated release based on 'Journey to the West' shows the evolution of both an art form and a conduit of Communist Party influence In August 2020, Hangzhou-based developer Game Science released the first trailer for their upcoming action-adventure video game, Black Myth: Wukong, in which players take control of Monkey King Sun Wukong, the shapeshifting, cloud-surfing, demon-hunting antihero of the 16th-century Chinese novel “Journey to the West.” Within a day, the impressive trailer — which showed the simian facing off against the armies of heaven with his signature, size-adjustable magic staff, the Ruyi Jingu Bang — attracted more than 10 million views on the Chinese video-sharing site Bilibili a

‌$WinkingStudios(WKS)$  ‌Black Myth: Wukong stirs China’s gaming industry as a fierce “arms race” looms https://kr-asia.com/black-myth-wukong-stirs-chinas-gaming-industry-as-a-fierce-arms-race-looms Black Myth: Wukong’s success has triggered a new era of competition in China’s gaming industry, leaving game companies scrambling for strategy. The summer game season came and went, but the buzz around Black Myth: Wukong lingers, prompting gamers and industry insiders alike to rethink what’s next in the evolving world of video games. As the first Chinese-developed AAA game to take the spotlight, Black Myth: Wukong reshaped the summer landscape. But for the country’s major game studios, the season played out differently. Some of the biggest name

https://kr-asia.com/black-myth-wukong-stirs-chinas-gaming-industry-as-a-fierce-arms-race-looms Black Myth: Wukong’s success has triggered a new era of competition in China’s gaming industry, leaving game companies scrambling for strategy. The summer game season came and went, but the buzz around Black Myth: Wukong lingers, prompting gamers and industry insiders alike to rethink what’s next in the evolving world of video games. As the first Chinese-developed AAA game to take the spotlight, Black Myth: Wukong reshaped the summer landscape. But for the country’s major game studios, the season played out differently. Some of the biggest names, anticipating the game’s monumental influence, chose caution. Major releases and marketing plans were shelved to avoid clashing with the surge in traff

Winking Studios unveiled its new GenMotion.AI application at the next@acer global press conference in Berlin, Germany. The cutting-edge tool, developed by Winking's AI Research Lab, is designed for professional animators and game production, leveraging AI to generate 3D game animations using text descriptions. GenMotion.AI streamlines the creation process of detailed 3D art with its advanced customization features tailored to meet specific animation requirements. Future updates  will expand the tool's reach, making it accessible to both seasoned professionals and amateur creators. Key Features of GenMotion.AI: > High-Quality Training Data: GenMotion.AI is powered by high-quality training data, specifically curated to meet the demands of the gaming industry, ensuring precise and a

‌$WinkingStudios(WKS)$  ‌Winking Studios Launches GenMotion.AI to Revolutionize 3D Animation Design Winking Studios unveiled its new GenMotion.AI application at the next@acer global press conference in Berlin, Germany. The cutting-edge tool, developed by Winking's AI Research Lab, is designed for professional animators and game production, leveraging AI to generate 3D game animations using text descriptions. GenMotion.AI streamlines the creation process of detailed 3D art with its advanced customization features tailored to meet specific animation requirements. Future updates will expand the tool's reach, making it accessible to both seasoned professionals and amateur creators. Key Features of GenMotion.AI: > High-Quality Training Data:

Watch the full video interview here: https://youtu.be/_1O0yc6KF-g?si=cpKwhyUUTyKT7bYe

‌$WinkingStudios(WKS)$  ‌KGI: Winking Studios Limited (revised target price of S$0.35) (WKS SP/WKS.SI) We reiterate our OUTPERFORM recommendation and a revised target price of S$0.35 based on a DCF valuation method. Growth through acquisition • Continued M&A strategy to drive inorganic growth. Since its IPO, Winking Studios has strategically expanded its presence in Asia through the acquisition of two art outsourcing studios in Taiwan and Malaysia. This aligns with the company’s broader strategy of utilizing mergers and acquisitions to strengthen its position as a market leader in the art outsourcing industry. Its successful placement of new shares further supports its ongoing efforts to grow its market position through strategic acquis

A CHINESE-MADE game backed by Tencent Holdings has become the fourth most popular title ever on Steam within hours of its launch, an unusually rapid ascent that may help seal its place in industry lore. Black Myth: Wukong, an action-adventure title based on the antics of the fabled Monkey King, garnered more than 1.4 million concurrent players on Steam shortly after its global debut on Tuesday (Aug 20). That surpassed the popularity of other much-hyped single-player titles like Cyberpunk 2077 and Elden Ring, according to data tracker SteamDB. It ranked just above Dota 2 and Lost Ark by peak concurrent players, which counts the number of people playing a game at one time around the world. The strong first-day performance may help shore up expectations that China’s US$40 billion-plus gaming