Increased depreciation and amortization expenses have pulled down Philippine-listed game technology provider DFNN Inc.’s net income by almost 30 percent in the first half of 2018.

In a disclosure to the Philippine Stock Exchange, DFNN reported a net income of PHP86.9 million ($1.63 million) in the first six months of 2018, down 29.9 percent from PHP101.8 million ($1.9 million) in the same period last year.

DFNN attributed the net income drop to the rise of its depreciation and amortization expenses which grew almost two-fold to PHP22.2 million ($415,328.70) during January to June 2018 period.

“The increase in the account was due to the depreciation of newly acquired transportation and vehicles, computer hardware & peripherals, and amortization of software costs installed in the company’s data center facilities located in Cavite, Philippines,” the company stated in its financial report.