LOS ANGELES and HONG KONG, Feb. 10, 2009 (GLOBE NEWSWIRE) -- Artificial Life, Inc. (OTCBB:ALIF) (www.artificial-life.com) today announced strong increases in revenues and profits for the fiscal year 2008.
During the course of 2008, Artificial Life Inc. has strengthened its position and market share as a leading global mobile software provider by offering an extended range of mobile products. In 2008, the Company sold a record of over ten million mobile games worldwide, a significant increase over the approximate four million games sold in 2007. In 2008 the Company had 70 corporate clients, of which 25 were new customers which generated approximately 42% of the total revenues.
Approximately 57% of the Company's revenues were derived from mobile games, while approximately 23%, 14%, and 4% of the overall revenues were derived from the sales of non game related mobile products such as the new MobileBooster(tm) productivity tool, the mobile business health care application Mobil Diab(tm) and the award winning mobile to TV interface technology and platform MoPA-TV(tm).
Revenues for the year ended December 31, 2008, were $22,454,414, compared to $5,801,212 for the year ended December 31, 2007. The increase of $16,653,202 or 287% was primarily due to revenues generated from the sales of the most popular 3G mobile games such as V-girl(r), V-boy(r), and the poker game Chips Unlimited: Texas Hold'em(tm) as well as strong license income from the sales of the Company's MobileBooster(tm) product and Mobil Diab(tm) application.
Net income for the fiscal year ended December 31, 2008, was $10,575,285 as compared to $1,011,817 for the year ended December 31, 2007. The increase of net income for the fiscal 2008 of $9,563,468 or 945% compared to 2007 was primarily due to a substantial increase in sales of mobile games and licensing of non game related mobile business applications and technology.
Revenues for the fourth quarter ended December 31, 2008, were $6,219,343 as compared to $3,116,754 for the quarter ended December 31, 2007. The increase of revenues of $3,102,589 or 100% compared to Q4 2007 was mainly due to increased income from sales of mobile games and substantial license sales for the new business applications and mobile technology.
Net income for the quarter ended December 31, 2008, was $1,906,335 as compared to a net income of $2,199,996 for the same quarter in 2007. The decrease of net income was mainly due to the effect of a one time provision for a doubtful account of $731,500 in Q4 2008 and a one time gain from the extinction of liabilities of $685,130 in Q4 2007.
The basic and diluted net income per share for the year ended December 31, 2008, was $0.23 and $0.22, compared to the basic and diluted net income per share for the year ended December 31, 2007, of $0.03 and $0.03.
"2008 was a record year for us with major achievements despite the current global financial crisis. In hindsight the key to our success in 2008 was that we diversified into the field of non game related mobile software since mid of 2007. This new line of business generated already over 40% of our 2008 revenues and contributed even more to our bottom line in 2008. We have also been quite successful in our core mobile gaming business with record sales numbers. Here we profited mostly from the early focus since 2004 on mobile content for broadband networks, 3G phones and smart phones when this market was still in its infancy. Now we are one of the global market leaders in this space and one of the fastest growing companies in Asia which has recently been recognized by Deloitte. With our well diversified product lines and revenue streams, a growing number of new partners, and an extensive pipeline of exciting new games and new business applications, we are quite optimistic about the future of Artificial Life and our prospects for 2009," said Eberhard Schoneburg, CEO of Artificial Life, Inc.
About Artificial Life, Inc.
Artificial Life, Inc. (OTCBB:ALIF) is a public U.S. corporation headquartered in Los Angeles, with its production center in Hong Kong and additional offices in Berlin (EMEA headquarters) and Tokyo. As a leading, full-service provider of mobile broadband 3G technology, mobile participation TV, mobile gaming, content and business applications, Artificial Life provides 2D and 3D multi- and single-player rich-media applications for 3G, 3.5G and 4G network-enabled mobile phones. Recognized internationally for outstanding content quality and technology, Artificial Life transcends traditional modes of mobile communications and interactive gaming. For more information, please visit www.artificial-life.com or the company's m-commerce portal at www.botme.com.
Forward-Looking Statements:
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements include, without limitation, statements regarding our future results of operations, financial condition and business prospects. In some cases, you can identify forward-looking statements by terminology such as "may", "will", "should", "expect", "intend", "plan", "anticipate", "believe", "estimate", "predict", "potential", "continue" or the negative of these terms or other comparable terminology. Although such statements are based on our own information and information from other sources we believe to be reliable, you should not place undue reliance on them. These statements involve risks and uncertainties, and actual market trends or our actual results of operations, financial condition or business prospects may differ materially from those expressed or implied in these forward-looking statements for a variety of reasons. Potential risks and uncertainties include, but are not limited to, our ability to obtain additional funding to operate and grow our business; the unproven potential of our mobile gaming business model; changing consumer preferences and uncertainty of market acceptance of our products; timely adoption and availability of 3G mobile technology; market acceptance for use of mobile handheld devices to play the interactive games; unpredictable mobile game development schedules; our reliance on a relatively small number of brands; our ability to license brands from others; our dependence upon resellers and telecommunication carriers and operators to distribute our products; our ability to successfully develop, introduce, and sell new or enhanced products in a timely manner; and the timing of new product announcements or introductions by us or by our competitors. For additional discussion of these risks and uncertainties and other factors, please see the documents we file from time to time with the Securities and Exchange Commission, including our Annual Report on Form 10-K filed on February 9, 2009. We assume no obligation to update any forward-looking statements, which apply only as of the date of this press release.