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Modern Times Group
Game Co.
49 documents
Documents
Report
Conference Call: Q1 2023
Modern Times Group’s first-quarter 2023 performance reflects a period of stabilization and strategic adjustment within its global gaming portfolio. The company reported revenues of SEKm 1,306, representing a 4% year-on-year decline in reported revenue and an 11% decrease in organic revenue. This contraction is primarily attributed to challenging year-over-year comparisons, specifically regarding post-pandemic demand for InnoGames and platform incentive payments received by PlaySimple in the first quarter of 2022. Despite these headwinds, the company maintained an adjusted EBITDA of SEKm 263, achieving a 20% margin that remained stable on a like-for-like basis. The portfolio demonstrates divergent performance across segments. PlaySimple and Ninja Kiwi delivered strong underlying growth, with Word Games maintaining its position as the company’s strongest franchise for the fifth consecutive quarter. Conversely, the Strategy and Simulation segment experienced a difficult start to the year, though it showed signs of gradual improvement toward the end of the quarter. User engagement metrics indicate that growth in the Word Games category successfully offset challenges in acquiring new players for the Strategy and Simulation titles during the early months of the period. Financially, the company retains a robust balance sheet, characterized by a strong cash position and significant debt capacity. This liquidity supports ongoing operational requirements and provides flexibility for future mergers, acquisitions, and shareholder value initiatives. While free cash flow was impacted by earnout payments, the underlying cash conversion rate remains healthy at 51% for the quarter. The company continues to leverage its diverse intellectual property across multiple genres to navigate shifting market conditions and stabilize performance across its international gaming operations.
Modern Times Group
Report
Conference Call: Q2 2025
Modern Times Group’s Q2 2025 performance reflects significant expansion, primarily driven by the strategic consolidation of Plarium. The company reported a 103% year-over-year increase in reported revenue, reaching 2,911 million SEK, with constant currency growth reaching 117%. This surge is complemented by 9% organic growth, fueled by strong performance across key franchises, including Word Games, Heroes of History, Warhammer 40,000: Tacticus, and F1 Clash. Profitability remains robust, with adjusted EBITDA rising 50% year-over-year to 640 million SEK, maintaining a healthy 22% margin despite ongoing investments in marketing and growth initiatives. The integration of Plarium has notably impacted user metrics, contributing to an increase in Daily Active Users (DAU) and supporting continued growth in Average Revenue Per Daily Active User (ARPDAU). The company’s financial position remains stable, supported by strong underlying cash flows and a disciplined approach to capital expenditure and leverage. The scope of these results covers the global gaming operations of Modern Times Group, with specific data points reflecting the impact of the Plarium acquisition as of February 2025. Looking ahead, the company maintains its full-year 2025 outlook, projecting organic sales growth of 3% to 7% and an adjusted EBITDA margin between 21% and 24%. Management intends to sustain this momentum by balancing disciplined marketing investments with the continued scaling of both established and new game titles.
Modern Times Group
