Giant Interactive's Revenues Decline 22% YoY

Giant Interactive's (NYSE: GA) net revenue for the fourth quarter 2009 was RMB276.0 million (US$40.4 million), representing a 4.9% decrease from RMB290.2 million in the third quarter 2009 and a 21.8% decrease from RMB353.1 million in the fourth quarter 2008.

Net income was RMB197.8 million (US$29.0 million), compared to RMB197.7 million in the third quarter 2009 and RMB290.3 million in the fourth quarter 2008. The margin of net income  was 71.7%.

ACU for online games in the fourth quarter 2009 was 485,000, representing a 14.0% sequential increase and a 12.7% decrease over the fourth quarter 2008. PCU for online games in the fourth quarter 2009 was 1,391,000, representing an 8.6% sequential increase and a 7.6% decrease over the fourth quarter 2008.

ACU and PCU were up on a sequential basis due to increased interest and usage for the newly launched games such as ZT Online Green Edition.

ARPU for online games in the fourth quarter 2009 decreased 7.3% sequentially and 11.8% year-over-year quarterly to RMB240.5. The sequential decline in ARPU in the fourth quarter of 2009 is attributable to the launch of new games geared toward users with lower spending habits.

APA for online games in the fourth quarter 2009 increased 2.7% sequentially and decreased 11.8% from the fourth quarter 2008 to 1,138,000. The sequential increase in APA is attributable to users subscribing for paying accounts within the Company's newly launched games. The year-over-year quarterly decreases in operating metrics were primarily attributable to the cancellation of "Treasure Box" monetization features within ZT Online during the third quarter 2009.