Playtika Posts Q1 Report, Unveils Share Buyback Program

Playtika, an Israeli digital entertainment company specializing in the development and publication of mobile games, has posted its results for the period ended March 31, 2024. The company reported a slight decrease in revenue and published its FY 2024 guidance.

Playtika’s revenue for the period increased by 2.1% sequentially to $651.2 million. However, this figure represents a decrease of 0.8% year-on-year. DTC platforms revenue, meanwhile, stood at $171.5 million, representing an increase of 6.1% sequentially and an increase of 13.2% year-on-year.

In the meantime, Playtika reported a net income of $53 million, representing an increase of 42.1% sequentially. However, this income figure also represents a decrease of 37% year-on-year.  

Credit adjusted EBITDA, on the other hand, decreased 1.7% sequentially and 16.7% year-on-year to $185.6 million.

Playtika concluded the quarter with $1 billion in cash and cash equivalents.

Playtika also published its financial outlook, saying that it expects FY 2024 revenue to hit $2.52-2.62 billion. The company added that it projects credit adjusted EBITDA of $730-770 million and capital expenditures of $110-115 million.

Playtika also listed a number of Q1 highlights and additional metrics, announcing that the number of average daily paying users in Q1 stood at 309,000. This marks an increase of 1% sequentially and a decrease of 5.2% year-on-year. Average player conversion stood at 3.5%.

In the meantime, casual games revenue increased 2.9% sequentially and 1.3% year-on-year. Social casino games revenue, on the other hand, experienced a 1.4% sequential increase and a decrease of 3.5% year-on-year. Bingo Blitz revenue stood at $157.5 million, while Solitaire Grand Harvest and Slotomania revenue reached $77.8 million and $135.4 million respectively.

Playtika’s board also declared a quarterly dividend of $0.10 and unveiled a $150 million share buyback program.

Robert Antokol, Playtika’s chief executive officer, commented on the company’s achievements, saying that the company is poised to return to growth in the mobile gaming sector, enhance decision-making and generate more value for players and shareholders.

Craig Abrahams, the company’s chief financial officer and president, added that the share buyback program aligns with the company’s previously announced capital allocation principles.