(Reuters) – Finnish mobile games maker Rovio pinned its hopes on Thursday on a costly 3D movie project helping it return to growth, after a 73 percent profit drop gave the latest sign its mainstay Angry Birds brand is losing appeal.
A decline in its business licensing the Angry Birds brand on toys, clothing and sweets is adding to the problems of Rovio, which has yet to repeat the success of its original slingshot-based game which became the No.1 paid mobile app of all time after its launch in 2009.
Rovio said total sales fell 9 percent last year to 158.3 million euros ($169 million), although revenue from mobile games grew 16 percent to 110.7 million on the back of new offerings.
Operating profit slumped to 10 million euros from 36.5 million.
“As (Rovio’s) franchise begins to falter, the question of whether it is a one-hit wonder rears up again,” said Steve Bailey, games analyst at IHS Technology.