Leading gaming headset provider Turtle Beach announced its preliminary Q1 figures this week. The company recorded strong growth driven by the recent success of Fortnite and PUBG.
Net revenue up 181 percent
The company’s unaudited information for the first quarter of 2018 revealed incredible growth in revenue and net income. While the company projected revenue to come in at $29 million, it now expects this figure to land between $39.5 and $40.5 million. This comes to a year-over-year increase of about 180 percent.
As for net income, the initially anticipated negative $0.48 per share was blasted by the currently expected range between negative $0.05 and positive $0.03. This too significantly outperforms last year’s Q1 — negative $0.81.
According to the news release, popular battle royale titles Fortnite and PlayerUnknown’s Battlegrounds catalyzed this growth. The genre witnessed an incredible success story with both games.
“The blockbuster releases of Fortnite and PlayerUnknown’s Battlegrounds have helped fuel strong consumer demand, driving new gamers into the market and increasing headset attach rates,” said Turtle Beach CEO Jürgen Stark.
The company clearly made the right moves at the right time, optimally exposing its business to the right segments.
“Headsets make these games more immersive and provide an advantage in hearing audio cues, which can help players survive and facilitate team play,” said Stark during the Q1 earnings conference.
Battle Royale on the rise
The Battle Royale genre came, saw, and conquered. Fortnite and PUBG have dominated on the viewership leaderboards. What’s more, the games’ popularity shows no signs of slowing down.
While PUBG has taken matters into its own hands, announcing a $2 million tournament scheduled for July, Fortnite is continuously attracting more players thanks to its fast-paced, arcade style. The 100-person, last-man-standing playstyle clearly appeals to many esports fans.
As of the genre’s future, Turtle Beach’s CEO, like many others, is confident that the genre is here to stay.
“We expect the battle royale format to have lasting appeal,” Stark said, “due to the style of the games and the addition of new participants into gaming.”
