In total, Q1 saw Playtika produce nearly $677m in revenue, an almost $40m increase from the first quarter of last year. In addition, net income rose by 133%, from $35.7m to $83.2m.
However, Adjusted EBITDA declined, dropping from $258m to $220.5m. This is largely attributable to increased expenses, most likely related to marketing as touched on by Craig Abrahams, Playtika’s President and Chief Financial Officer.
He remarked: “We continue to lay the groundwork for future growth by making investments in the business to support new game development, recent acquisitions, offline marketing campaigns and investments in our workforce.
“These investments in marketing are weighted more heavily to the start of the year and will position the company well for sustainable growth.”
Playtika’s Q1 financial performance reflected broader operational growth. It saw average daily payer conversion rise to 3.2%, up from the prior-year period’s 2.8%.
Moreover, direct-to-consumer channel grew by 31.5% and now accounts for 22.5% of all revenue.
For 2022 as a whole, Playtika expects to generate $2.73bn in revenue and $940m in adjusted EBITDA.
“We delivered strong revenue growth as a result of our continual efforts to improve and refine our monetisation program and increase retention of our players,” said Robert Antokol, Playtika CEO.
“The year began with investment in our product roadmaps and new marketing campaigns to secure our foundation for ongoing growth.
“I want to thank our employees who have remained resilient through the war in Ukraine. I am forever grateful for their sacrifice and dedication to helping Playtika become a market leader in mobile gaming entertainment.”
