Form 6-K
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
For the month of May 2008
Commission File Number: 001-33759
GIANT INTERACTIVE GROUP INC.
2/F No. 29 Building, 396 Guilin Road
Shanghai 200233
Peoples Republic of China
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F þ Form 40-F ¨
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ¨
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ¨
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes ¨ No þ
If Yes is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):82- N/A
Giant Interactive Group Inc.
Form 6-K
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Exhibit 99.1 2008 First Quarter Results Presentation dated May 16, 2008 |
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2
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Giant Interactive Group Inc. | ||
By: | /s/ Eric He | |
Name: | Eric He | |
Title: | Chief Financial Officer |
Date: May 19, 2008
3
HK000NN7 2008 First Quarter Results Presentation May 16, 2008 2008 First Quarter Results Presentation May 16, 2008 |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 2 Safe Harbor Statement and Currency Convenience Translation Safe Harbor Statement and Currency Convenience Translation Safe Harbor Statement Statements in this slide presentation contain "forward-looking" statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended, and as defined in the Private Securities
Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates" and similar statements and among others, include our continued efforts to successfully develop and launch our new games and expand our distribution and marketing network. These forward-looking statements are not historical facts but instead represent only our belief
regarding future events, many of which, by their nature, are inherently uncertain and
outside of our control. The financial information contained in this slide presentation
should be read in conjunction with the consolidated financial statements and notes
thereto included in our prospectus filed with the Securities and Exchange Commission on
November 1, 2007, and is available on the Securities and Exchange Commission's website
at www.sec.gov. For additional information on these and other important factors that could adversely affect our business, financial condition, results of operations and prospects, see
"Risk Factors" beginning on page 12 of our prospectus. Our actual results of
operations for the first quarter of 2008 are not necessarily indicative of our operating results for any future periods. Any projections in this slide presentation are based on limited
information currently available to us, which is subject to change. Although such
projections and the factors influencing them will likely change, we undertake no obligation to update or revise these forward-looking statements, whether as a result of new
information, future events or otherwise, after the date of this slide presentation. Such
information speaks only as of the date of this slide presentation. Currency Convenience
Translation This slide presentation contains translations of certain Renminbi (RMB) amounts into US dollars (US$) at the rate of US$1.00 to RMB7.012, which was the noon buying rate as of March 31, 2008 in the City of New York for cable transfers in Renminbi per US dollar as certified for customs purposes by the Federal Reserve Bank of New York. We make no
representation that the Renminbi or US dollar amounts referred to in this slide presentation could have been, or could be, converted
into US dollars at such rate or at all. |
Giant Interactive
Group A Leading Online Game Developer & Operator Giant Interactive Group A Leading Online Game Developer & Operator © 2008 Giant Interactive Group, Inc. All Rights Reserved |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 4 Giant: NYSE Listed Giant: NYSE Listed Shanghai, China Headquarters: Over 4,000 including 3,000+ liaison personnel Employees: www.ga-me.com Investor Information: About Giant: Approximately 240M Outstanding Shares: US$3.9B
May 15, 2008 Market Cap: GA Ticker: November 1, 2007 NYSE IPO: |
© 2008 Giant Interactive Group, Inc. All Rights Reserved Business Operation Updates Business Operation Updates © 2008 Giant Interactive Group, Inc. All Rights Reserved |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 6 Completed Rollout of Expansion Pack Neighboring Friends Giant Online commenced Open Beta, PCU of 237K on March 28, 2008 King of Kings III undergoing Engineering Testing 1 1 3 3 4 4 ZT Online reached PCU of over 1.5 million 2 2 Q1 2008 Business Highlights Q1 2008 Business Highlights Empire of Sports commenced European Private Launch 5 5 6 6 Expanded sales and marketing network |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 7 800,000 1,000,000 1,200,000 1,400,000 1,600,000 1,800,000 Q4/07 Q1/08 Q1 2008 1.64 Million PCU Q1 2008 R&D Focus Q1 2008 R&D Focus January 2008 Congee boosts Exp points 2x Exp points after server maintenance Take over enemy train station, teammates respawn there for 30min Foot race for lovers Car insurance from four insurance companies for each country Destroy enemy train station and recover computer chip Golden Egg for sale to multiply virtual currency Boss invasions with rewards Chat Box radar and guide Increase Exp points for missions Higher rank limit for roles Mining quests for items Skill books available for free Capture enemy power sources to increase train speed Lower level players can request apprenticeship from higher level players Valentines Day lottery to receive real flowers sent to significant other Dance battle to the death Outfits can be upgraded to give players speed New motorcycle parts to upgrade performance PK with allies now punished like teamkill Cross shard secret chat More support for commanders Eight foreign country invasion More skill books for free Chinese New Year lottery Q4 2007 983,000 PCU February 2008 March 2008 Year of the Rat treasure More Exp points for car quests Join war to earn badges New map Lottery in every new shard post open beta PCU for Online Games¹ Horse carriage race Virtual red envelopes for Chinese New Year, free costumes Introduce naval battles Raise max level to 170 1 Online games include ZT Online, ZT Online PTP and Giant Online. Complete roll out of ZT Online: Neighboring Friends Lock car quest colors Continuous Enhancements During Q1 2008 |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 8 Expanded Marketing Penetration in Q108 ? Over 530 liaison offices ? Over 3,000 dedicated liaison personnel ? Over 270 distributors ? 116,500 retail outlets ? Penetration of all large cities and almost all provinces in China ? Focus on penetrating medium / small cities with continued internet and on-site promotional events ? Expanded advertising initiatives Q1 2008 Marketing and Distribution Network Q1 2008 Marketing and Distribution Network Maximize Maximize Player Player Awareness Awareness and and Game Game Recognition Recognition to to Improve Improve Penetration Penetration |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 9 325 309 305 295 320 0 50 100 150 200 250 300 350 400 1Q07 2Q07 3Q07 4Q07 1Q08 1,405 1,447 986 1,248 1,318 0 200 400 600 800 1,000 1,200 1,400 1,600 1,800 1Q07 2Q07 3Q07 4Q07 1Q08 Key Quarterly Operating Metrics Key Quarterly Operating Metrics Average Revenue per User (ARPU) Active Paying Accounts (APA) Peak Concurrent Users (PCU) Average Concurrent Users (ACU) 512 450 546 481 515 0 100 200 300 400 500 600 1Q07 2Q07 3Q07 4Q07 1Q08 1,073 888 983 1,646 874 0 200 400 600 800 1,000 1,200 1,400 1,600 1Q07 2Q07 3Q07 4Q07 1Q08 Q407 figures onward include ZT Online, ZT Online PTP and Giant Online; before Q407, all figures are ZT Online only |
© 2008 Giant Interactive Group, Inc. All Rights Reserved Key Financial Highlights Key Financial Highlights © 2008 Giant Interactive Group, Inc. All Rights Reserved |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 11 59.6 48.6 54.1 67.3 41.7 0 10 20 30 40 50 60 70 80 1Q07 2Q07 3Q07 4Q07 1Q08 Profitable Growth and High Margins Profitable Growth and High Margins Net Revenue Net Income 45.8 32.6 48.3 38.7 34.7 0 10 20 30 40 50 60 1Q07 2Q07 3Q07 4Q07 1Q08 Net Income Margin Gross Profit Margin 85.70% 89.60% 88.80% 89.20% 91.20% 80% 85% 90% 95% 1Q07 2Q07 3Q07 4Q07 1Q08 76.80% 71.40% 71.60% 71.80% 78.20% 65% 70% 75% 80% 1Q07 2Q07 3Q07 4Q07 1Q08 |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 12 Q1 2008 Key Financial Highlights Q1 2008 Key Financial Highlights 0.20 48.3 45.8 14.2 60.0 7.2 67.3 Q1 2008 US$ 1.38 338.7 321.0 99.8 420.8 50.8 471.6 Q1 2008 RMB 11.6% 36.5% 29.7% 139.5% 45.5% 81.5% 48.7% Y-o-Y% (0.3%) 1.39 1.24 Basic EPS 1.5% 333.8 248.1 Net Income 15.1% 278.9 247.6 Income from Operations 6.3% 93.9 41.7 Operating Expenses 12.9% 372.8 289.2 Gross Profit (18.1%) 62.0 28.0 Cost of Services 8.5% 434.8 317.2 Total Net Revenue Q-o-Q % Q4 2007 RMB Q1 2007 RMB (In millions, except EPS data) |
© 2008 Giant Interactive Group, Inc. All Rights Reserved 13 Solid Balance Sheet Solid Balance Sheet 7,587.7 6,305.5 1,282.2 1,282.2 7,587.7 7,373.5 7,295.5 December 31, 2007 RMB 909.3 738.0 171.3 171.3 909.3 877.1 832.1 March 31, 2008 US$ 6,376.1 5,175.1 1,201.0 1,201.0 6,376.1 6,150.2 5,835.0 March 31, 2008 RMB 504.4 Shareholders Equity 795.0 Total Liability and Shareholders Equity 290.6 Total Liabilities 274.7 Current Liabilities 795.0 Total Assets 735.4 Current Assets 205.0 Cash March 31, 2007 RMB (In millions) |