Finnish mobile gaming firm Rovio reported that its adjusted operating profit in the second quarter was 6.2 million euros, compared to 13.8 million euros the same period last year.
Like the mobile gaming industry at large, the firm's Q2 profits in 2020 were bolstered by the onset of the coronavirus epidemic.
Rovio's net sales during April-June held steady compared to a year earlier, at around 69 million euros, the company said in its quarterly financial announcement on Thursday.
The effect of the year-on-year profit decline announcement was seen on the Helsinki Stock Exchange, where the firm's share value fell by more than six percent after trading started on Thursday morning.
The firm said it remained confident about the further growth of the mobile gaming market, adding that the growth was increasingly driven by casual gamers. Hyper-casual games are mobile games that are easy to play and typically free.
"The mobile gaming market continues to grow with casual gaming being a major growth driver. The ongoing changes in consumer behaviour and underlying market trends are accelerated by the Covid pandemic and plays an important role in both current games’ operation and new game development," the firm said in its financial statement.
The firm also announced plans on Thursday to acquire the Turkish 'hyper casual' gaming studio Ruby Games, with Rovio buying the majority of the gaming company's shares in just over one year.
Rovio CEO, Alex Pelletier-Normand, said the acquisition was an important step in the company's growth strategy.
"By entering the rapidly growing hyper-casual market we are enriching our audience base, and offering our players a more diverse portfolio of titles… Ruby Games has launched several successful games and their hit-ratio is impressive," he said in a statement about the acquisition.
Ruby Games is the studio behind the game Hunter Assassin which, according to Rovio, was the sixth most downloaded game in the world last year.