But posts a net loss of $2.7m.
Mobile games publisher Glu Mobile generated $17.3 million of revenues in the first quarter of 2010 - down 16.8% year-on-year.
The company narrowed its GAAP net loss from $5.8 million to $3.7 million in the same time period though, thanks to its cost-cutting measures.
Glu says it generated positive cash flows from operations for the fourth quarter in a row though, making $1.6 million from its Q1 operations.
The company remains in transition, and doesn't expect to see a big upswing from its new focus on smartphone games until late this year, when it will have launched four 'persistent franchises' for smartphones.
Currently just 9% of its revenues come from smartphones - by contrast, 21% of Gameloft's are coming from iPhone alone. Although Glu's free and paid games have been downloaded more than 22 million times on iPhone, 18% of its revenues come from US operator Verizon Wireless.
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"We anticipate the shift to fewer and larger titles to limit smartphone revenue growth over the next two quarters and expect increasing momentum from the fourth quarter of 2010 as our transition begins to gain traction," says CEO Niccolo de Masi.
The publisher ended Q1 with a cash and cash equivalents balance of $10.5 million, with $3.1 million outstanding on its line of credit.
Glu also says it has now paid the $2.4 million plus interest owed to the former shareholders of MIG, a Chinese firm it bought in November 2007.
The publisher is predicting Q2 revenues of between $13.6 million and $14 million, and a net loss of between $4.4 million and $4.7 million.
De Masi says he's going to be even more hands-on in an effort to pilot Glu's turnaround. "I have decided to run closer to the controls with our R&D, sales, game operations, and product functions reporting to me directly," he said during Glu's financial call last night.
