Jordan Bevan
Mobile games powerhouse Playtika is setting the stage for further expansion, earmarking between $300 million and $450 million for strategic mergers and acquisitions over the next three years. This initiative underscores the company’s commitment to reinforcing its market presence through selective, “bolt-on” acquisitions that complement its existing portfolio.
The announcement came during Playtika’s latest investor call, where President and CFO Craig Abrahams outlined the firm’s approach to sustainable growth. Notably, the company completed the acquisition of SuperPlay last November in a deal valued at up to $1.95 billion. Despite prior speculation that Playtika might bid for AppLovin’s gaming assets at a reported price of $900 million, the latest financial statements suggest the company is focusing on other opportunities.
A core pillar of Playtika’s success has been its direct-to-consumer (D2C) approach, which continues to show impressive growth. In 2024, revenue from the company’s D2C channels surged by 8.6% year-over-year, reaching $694 million. This model has been a consistent performer, typically generating roughly a quarter of the company’s overall income.
In Q4 2024, Playtika reported D2C revenue of $174.6 million, marking an 8% year-over-year increase, though it remained relatively stable compared to the previous quarter. The decline in the percentage of total revenue attributed to D2C—from 28.1% in Q3 to 26.8% in Q4—was attributed to the SuperPlay acquisition, as its titles, Dice Dreams and Domino Dreams, currently operate outside these direct channels.
Playtika closed 2024 with total revenue of $2.5 billion, representing a slight 0.7% year-over-year decline. Meanwhile, net income dropped significantly by 31% to $162.2 million, and credit-adjusted EBITDA saw a 9% dip to $832.2 million.
In Q4 alone, revenue grew by 1.9% year-over-year to $650.3 million. However, net income took a sharp downturn, posting a $16.7 million loss—marking a 144.8% year-over-year decrease. Credit-adjusted EBITDA also slipped, falling 2.6% to $183.9 million for the quarter.
Despite these financial fluctuations, Playtika reported a rise in average daily paying users, reaching 339,000—a 10.8% increase year-over-year. The performance of individual game segments varied; casual gaming revenue saw an 11.3% uptick, while social casino revenue declined by 10%. Among Playtika’s top-performing titles, Bingo Blitz posted a 5.8% year-over-year increase, reaching $159.1 million in Q4. In contrast, Slotomania sales fell 13.5% to $118.4 million, and Solitaire Grand Harvest dipped 4.3% to $72.5 million.
Looking ahead, Playtika remains focused on leveraging its M&A strategy to enhance its gaming portfolio and drive future profitability. CEO Robert Antokol expressed optimism about the company’s trajectory, stating, “We are thrilled with our progress in executing our return-to-growth strategy, as highlighted by our successful SuperPlay acquisition. Moving forward, we are excited about our pipeline of new games and ongoing M&A opportunities, which we believe will fuel consistent top-line growth and create long-term value for our shareholders.”
Echoing this sentiment, CFO Craig Abrahams noted that Playtika is navigating a transitional phase, investing in newly acquired studios to bolster long-term earnings. “As we continue refining our portfolio, we anticipate that 2025 will be a year of investment and adaptation. However, these strategic moves will set the stage for renewed EBITDA growth in 2026 and beyond.”
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