Q3 2024 Playtika Holding Corp Earnings Call Transcript
Key Points
- Playtika Holding Corp (PLTK) reported a sequential increase in credit adjusted EBITDA by 3.2%, indicating improved operational efficiency.
- The direct-to-consumer business segment outperformed, with revenue up 0.4% sequentially and 8.3% year over year.
- Bingo Blitz achieved its highest revenue month in history in July, showcasing strong execution and growth potential.
- Cost of revenue decreased by 3.3% year over year, reflecting effective cost management strategies.
- The company has a strong cash position with approximately $1.2 billion in cash, cash equivalents, and short-term investments, providing financial stability.
- Overall revenue for the quarter was down 1% sequentially and 1.5% year over year, indicating a decline in sales performance.
- Net income decreased by 54.6% sequentially, highlighting challenges in maintaining profitability.
- Slotomania's revenue declined by 3.8% sequentially and 9.3% year over year, underperforming expectations.
- Average Daily Active Users (DAU) decreased by 6.2% sequentially and 9.5% year over year, reflecting a decline in user engagement.
- Sales and marketing expenses increased by 5% year over year, driven by higher performance marketing costs, which could impact margins.
(Technical difficulty)
In summary, we have the potential to super play acquisition brings and confident in our ability to enhance our growth profile, all while maintaining a firm focus on financial discipline. With that, let us dive into our Q3 financial performance. For the quarter, we generated $620.8 million of revenue, down 1% sequentially and down 1.5% year over year. Credit Adjusted EBITDA margins improved over Q2 as we generated credit adjusted EBITDA of $197.2million, up 3.2% sequentially and down 4.1% year over year. Net income was $39.3 million, down 54.6% sequentially and up 3.7% year over year. Our direct-to-consumer business continues to outperform the overall business as we generated $174.4million, which was up 0.4% sequentially and up 8.3% year over year.
Turning now to our business results in the quarter. Revenue across our top three games was up 1.1% sequentially and down 20% year over year. Bingo Blitz revenue was $159.9 million, up 2.7% sequentially and up 6.8% year over year. Bingo continued strong execution
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
