It’s hard to believe that we are already well into the second half of what has been a completely unprecedented and unpredictable year. As schools in the Northern Hemisphere are going back in session (albeit mostly virtually), families are preparing to supplement learning at home, and organizations are bracing for several more months of remote work, Kahoot! has been providing the resources for all these groups to make their jobs easier.
2020 started just like any other year but soon turned into the most challenging year of our journey. However, we took the challenge head on, and I am happy to share that Kahoot! has delivered stellar growth, as reported in our Q2 financial results and half-yearly report today.
Highlights from H1 2020
In Q2 2020, the Kahoot! Group grew invoiced revenue to $9.6 million, a 317% increase from Q2 2019 and 49% growth quarter over quarter. Q2 2020 was the third consecutive quarter with positive cash flow from operations, reaching more than 270K paid subscriptions in the quarter.
Kahoot! reported invoiced revenue for the first half year 2020 at $16.1 million, compared to $4.3 million for the same period last year, representing 273% year-on-year growth.
The user growth on the Kahoot! platform continued with more than 20 million active accounts in the last twelve months (44% YoY growth). The number of hosted games in the last twelve months was 210 million (7% YoY growth) with 1.25 billion participants (12% YoY growth).
In Q3 2020, invoice revenue for the Kahoot! Group is expected to be on the same level as for Q2 2020, representing approximately 180% growth compared to $3.4 million in Q3 2019. For the full year 2020, Kahoot! Group expected invoiced revenue in the range of $35-38 million.
The number of active accounts for financial year 2020 are expected to exceed 21 million and paid subscriptions are expected to exceed 340K by the end of 2020.
Key initiatives in the first half of 2020
Kahoot! had a string of new initiatives and launches in the first half of 2020, responding quickly to the needs of our customers as they were dealing with new scenarios at school, home or work.
We secured additional capital in June to help fuel the next phase of Kahoot!’s growth, allowing us to further invest in product innovation, as well as consider new strategic partnerships and acquisitions to further strengthen our platform.
We had our first-ever Kahoot! EDU Summit in June — an all-day virtual professional development event for teachers and educators globally, with sessions from the Kahoot! team, our partners, ambassadors and change-makers within education. More than 35,000 educators from all over the world, spanning K-12 and higher education, signed up for the EDU Summit making it one of the largest gatherings for teachers this year.
Kahoot! Academy, a knowledge portal, content platform and marketplace, connecting the global educator community to high-quality content, was launched in June.
For organizations, Kahoot! recently launched Kahoot! 360, the next generation solution for corporate learning which involves everyone within an organization in engaging learning experiences — whether it’s audience engagement, team collaboration or building company culture. More recently, we have secured key customers such as Salesforce, Bayer, Ralph Lauren, T-Mobile and many more who are using Kahoot! to make learning awesome in their organizations.
We are excited to launch several new offerings in the second half of the year, some of which will be:
Kahoot! in Spanish: We will be launching a brand new Spanish language version of the Kahoot! mobile app very soon, the first step in our strategy towards speaking the native languages of our global user community.
Kahoot! EDU: an enhanced, premium Kahoot! experience for entire schools, districts and higher education institutions will be launched soon as part of our Back to School 2020 initiatives.
Kahoot! Family: a combo pack offering families a set of tools and apps to learn at home for Back to School 2020. This pack will include subscription to the premium version of the Kahoot! app as well as our other learning apps, covering math and reading and chess.
For brands and publishers, Kahoot! will be launching a new tailor-made offering later this year, to help them distribute their high-quality content and reach more relevant audiences through the power and reach of the Kahoot! platform.
Once again, I am proud of what the team has delivered under the very unique and challenging conditions in the first half of 2020 and I hope that we will continue our momentum in the coming months and years, being able to continuously improve our services for all our users and customers around the world.