Razer posts record high revenue of US$1.2b in 2020

This was driven by higher demands and market share gains for hardware business.

Singapore-based gaming company Razer recorded a $1.6b (US$1.2b) revenue, higher by 48% compared to the previous year’s $1.1b (US$820m) over robust demand and increased market share for the hardware business.

“Despite the global market uncertainty caused by the COVID-19 pandemic, Razer crossed the US$1 billion revenue milestone and turned profitable on a GAAP basis, ahead of all expectations,” Chief Executive Officer and co-founder Min-Lian Tan said. “This performance reflects our dominant brand position, compelling offerings across our ecosystem of hardware, software and services, and strong execution.”

The company also continued growth in its services segment.

The group earned a profit of $1.08m ($805,000) for the year, recovering from a $112.2m (US83.4m) loss in 2019. The profit attributable to shareholders amounted to $7.5m (US$5.6m) in 2020.

Join Singapore Business Review community

Gross profit margin improved to 22.3%, which was linked to improving margins in the hardware segments and increased contribution of the services business.

Cashflow from operating activities amounted to $205m (US$152.9m), driven by strong operating profits, efficient working capital management and cash discipline, whilst cash balance increased to over $807m (US$600m) with no debt.

“We intend to carry on the momentum and the strength of our operations into 2021 as we continue to seek to deliver both outsized revenue growth and continued profitability in 2021, and beyond,” Tan said.

He added the group remains a global leader in terms of environmental, social and corporate governance, going by the standards of the Hong Kong Stock Exchange. The group also has its own initiatives through the #GoGreenWithRazer manifesto.

Further, Razer reported its revenue in its hardware segment grew 51.8% YOY to $1.45m (US$1.08m). Total user accounts increased 53.8%YOY to $123m.

Meanwhile, its services business, Razer Gold and Razer Fintech, recorded a 66.8%YOY to $172.8m (US$128.4m).

For 2021, Razer is looking into introduce new hardware products, grow its software userbase and further invest in fast-growing services business amongst others.
 

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Top News

Vibrant Group wins suit against Blackgold Australia
The group shall be paid damages and fees by Blackgold Australia’s ex-CEO and ex-chairman.
Lorem Ipsum text in year 2025
Contrary to popular belief, Lorem Ipsum is not simply random text. It has roots in a piece of classical Latin literature from 45 BC, making it over 2000 years old.
Lorem Ipsum is simply dummy text of the printing and typesetting industry.
Contrary to popular belief, Lorem Ipsum is not simply random text. It has roots in a piece of classical Latin literature from 45 BC, making it over 2000 years old. Richard McClintock, a Latin professor at Hampden-Sydney College in Virginia, looked up one of the more obscure Latin words, consectetur, from a Lorem Ipsum passage, and going through the cites of the word in classical literature, discovered the undoubtable source. Lorem Ipsum comes from sections 1.10.32 and 1.10.33 of "de Finibus Bonorum et Malorum" (The Extremes of Good and Evil) by Cicero, written in 45 BC. This book is a treatise on the theory of ethics, very popular during the Renaissance. The first line of Lorem Ipsum, "Lorem ipsum dolor sit amet..", comes from a line in section 1.10.32.