HERZLIYA, Israel - Playtika Holding Corp. (NASDAQ: PLTK) today announced its financial results for the first quarter ending March 31, 2024.
The mobile gaming company reported adjusted earnings per share (EPS) of $0.14, falling short of the analyst consensus of $0.16. However, the company's revenue exceeded expectations, coming in at $651.2 million against analysts' predictions of $640.8 million.
The company's direct-to-consumer (DTC) platforms revenue showed robust growth, increasing by 6.1% sequentially and 13.2% YoY to $171.5 million. Despite the positive trend in DTC revenue, Playtika's overall revenue saw a slight YoY decline of 0.8%.
Net income for the quarter was $53.0 million, a significant sequential increase of 42.1% but a decrease of 37.0% YoY. The company's Credit Adjusted EBITDA also experienced a dip, decreasing by 1.7% sequentially and 16.7% YoY to $185.6 million.
Robert Antokol, Chief Executive Officer of Playtika, emphasized the company's commitment to growth and operational advancements.
"The actions we are taking, including restructuring our executive team and streamlining leadership, are designed to position us to return to growth in the mobile gaming sector, enhancing decision-making and creating potential for increased value for our players and shareholders," said Antokol.
Craig Abrahams, President and Chief Financial Officer, highlighted the strength of the company's direct-to-consumer business.
"Our direct-to-consumer business continues to show strength, driven by our focused efforts on player retention and the longevity of our players in our games," Abrahams stated.
Looking ahead, Playtika provided full-year 2024 guidance, expecting revenue to be within the range of $2.52 to $2.62 billion, which encompasses the analyst consensus of $2.57 billion. The midpoint of the guidance range, $2.57 billion, aligns with the consensus.
The company also anticipates Credit Adjusted EBITDA to be between $730 million and $770 million, with capital expenditures expected to range from $110 million to $115 million.
In addition to its financial results, Playtika announced an inaugural share repurchase program of up to $150 million and declared a quarterly cash dividend of $0.10 per share, payable on July 5, 2024, to stockholders of record as of June 21, 2024.
The company's stock movement in response to the earnings release was not provided, and therefore, the market's reaction to these results cannot be determined from the information given.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.