R&D Expenses Keep Gameloft Flat On First Half Profits

Prolific mobile game publisher Gameloft (Order & Chaos Online, Starfront: Collision) has reported a breakdown of its financial results for the first half of 2011, with net profits flat despite an increase in operating income and margins. Profits for the six months ending June 30th for the iOS and Android-heavy developer were reported at 5.3 million Euro (about $7.6 million), the same amount reported in the first half of 2010. As previously reported, revenues were up 15 percent during the half, from $66.6 million to $76.8 million. Looking at its results breakdown, the discrepancy appears to be the result of increased internal expenses: Gameloft spent 5 million Euro more on R&D during the half than last year, and another 2.6 million Euro on other expenses that include sales & market and administration. As the company points out, it was in a "healthy financial position" at the close of the half, and will continue toward it sales and growth target for the rest of the year.