Playtika Holding Corp. Q2 FY2025 earnings call

• Acknowledged team resilience despite mobile gaming headwinds. - Q2 '25 revenue $696M, adjusted EBITDA $167M. - Disney Solitaire successful with $100M annual run rate, boosting SuperPlay portfolio. - Bingo Blitz had strong engagement, D2C ramp-up. - Increased long-term D2C target to 40% from 30% to offset margin pressure. - Slotomania working to stabilize game economy, new slot game on track for Q4 launch. - June's Journey saw sequential stability, focus on deeper monetization after leadership change, and discontinued Claire's Chronicles.

For Q2 '25, revenue was $696 million. Key segments: - Bingo Blitz: Revenue $160.2 million, down 1.3% sequentially and up 2.9% year-over-year; strong D2C ramp-up. - Slotomania: Revenue $86.5 million, down 22.7% sequentially and 35.4% year-over-year; facing challenges with game economy and monetization. - June's Journey: Revenue $69.1 million, up 0.3% sequentially and down 7.4% year-over-year; focus on deeper monetization after leadership change. - Disney Solitaire: Hit $100 million annual run rate revenue, driving growth in the SuperPlay portfolio.

• Revised revenue range for the year: $2.7 billion to $2.75 billion (down from $2.8 billion to $2.85 billion). - Maintained adjusted EBITDA range: $715 million to $740 million, offsetting EBITDA losses from Slotomania via D2C efforts and efficiencies.

• Mobile gaming headwinds. - Mature titles declining, newer acquired titles transitioning from EBITDA negative to positive. - Slotomania's monetization issues and game economy stabilization challenges. - Impact of App Store fee changes and payment landscape dynamics.

Q: Arthur Chu asked about learnings from stabilizing older titles like Slotomania.

A: Craig J. Abrahams said dealing with game economy issues in old games is complex, learned a lot with Slotomania, seeing benefits of changes.

Q: Colin Sebastian asked about Disney Solitaire's economics and legacy portfolio.

A: Craig J. Abrahams said terms with Disney not disclosed, title scaling fast; focused on category-leading games, investing in recently acquired titles, growing advertising business.

Q: Eric Handler asked about sweepstakes impact and moving into that area.

A: Robert Antokol said no straight answer on sweepstakes impact, not planning to move into that area.

Q: Aaron Lee asked about IP/licensing for games and Jackpot Tour.

A: Craig J. Abrahams said open to right IP partnerships; Robert Antokol said Jackpot Tour will make a difference, excited about launch.

Q: Albert Kim asked about App Store fee changes impact and D2C timeline.

A: Craig J. Abrahams said App Store changes are positive tailwind, D2C target 40% but timeline not specified.