
1 minute read
LETTER FROM CHAIRMAN
For the full year of 2021, we recorded a revenue of US$1,619.6 million with 33.3% year-on-year growth, driven by demand in first half of 2021 due to the pandemic, market share increase for the Hardware business, and continued expansion of channels and content for the Services business.
Gross Profit Margin increased to 24.0% from 22.3% in the prior year, driven by ongoing expansion of hardware margins, partially offset by the sudden spike in freight rates due to industry-wide supply cha in and logistics challenges. Adjusted EBITDA* (a non-GAAP measure) was US$96.1 million, an increase of 115.5% from US$44.6 million in the prior year.
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Net Profit was US$43.4 million, compared to US$0.8 million in the prior year, driven by revenue growth, ongoing gross margin expansion and productivity improvement.
During the year, we continued to work with key players in the cloud gaming space to further elevate our leading position across peripherals, software, and services in the mobile and cloud gaming space.
For Peripherals, the Razer Kishi mobile controller continues to gain rave reviews from the market.
For Software, the Razer Cortex Games mobile app continued its growth surge with 154.8% yearon-year growth, as total accounts increased to 26.3 million, as of December 31, 2021. User engagement continued to trend upwards, driven by various Silver Rewards programs that encourage users to install and play games to earn Razer Silver loyalty points for prize redemption. This focus on offering additional features for rewarded game play resulted in users collecting over 600 million Razer Silver within Cortex Games, marking 372.2% year-on-year growth.
For Services, we further reinforced Razer Gold as the partner of choice for companies looking to monetize mobile games and lifestyle content. Leveraging our strong brand affinity and intensely sticky user base, we added titles such as Legends of Runeterra, Sausage Man, Ragnarok X: Next Generation and Perfect World Mobile.
Min-Liang Tan Co-Founder, Chairman, and CEO
