Q3 2025 Interim Report: Modern Times Group MTG AB

Modern Times Group achieved robust financial results in the third quarter of 2025, characterized by 15% organic growth and a 23% adjusted EBITDA margin. Net sales reached SEK 2,987 million, representing a 126% increase in constant currency, largely propelled by the strategic acquisition of Plarium Global Ltd for $659 million. This integration has significantly bolstered the company’s mid-core mobile gaming portfolio and live-ops capabilities, with key titles such as RAID: Shadow Legends and Warhammer 40,000: Tacticus serving as primary revenue drivers despite rising user acquisition costs.

The company maintains a solid financial position, reporting an adjusted EBITDA of SEK 675 million for the quarter. While net debt stands at SEK 4,411 million with a leverage ratio of 1.64x, the group remains well-positioned to meet its raised 2025 outlook, which targets total revenues between SEK 11.4 and 11.7 billion. Cash reserves have been impacted by acquisition-related investments and earn-out payments, yet the overall trajectory remains positive as the firm scales its operations globally.

Looking toward future efficiency, a comprehensive transformation program is underway, projected to generate over $20 million in annualized cost savings. Furthermore, a strategic restructuring into dedicated Midcore and Casual districts will take effect in 2026 to streamline operations and sharpen focus across these distinct market segments. While these projections are subject to inherent industry risks and competitive pressures, the current performance underscores a successful transition toward a more integrated and scalable mobile gaming enterprise.