DoubleUGames (192080) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenue reached KRW 163.1 billion, up 13.3% YoY and 1.6% QoQ, marking the highest since Q1 2021 and the third consecutive quarter of growth.

• Record-high operating income, EBITDA, and net income, driven by cost efficiency and stable operations in social casino and iGaming.

• Maintains a strong global presence with 15 consolidated subsidiaries, including recent acquisitions and new entity establishments.

• Main revenue drivers are mobile and web-based casino games, with a growing iGaming segment following the SuprNation AB acquisition.

• Strong cash generation and net cash reserves support future growth and M&A opportunities.

Financial highlights

• Q2 2024 revenue: KRW 163.1 billion (+13.3% YoY, +1.6% QoQ); H1 2024 revenue: KRW 323.6 billion.

• Operating income: KRW 67.1 billion in Q2 2024 (+33.4% YoY, margin 41.1%); H1 2024: KRW 128.8 billion.

• EBITDA: KRW 70.2 billion in Q2 2024 (+34.5% YoY, margin 43.0%); H1 2024: KRW 135.2 billion.

• Net income: KRW 64.2 billion in Q2 2024 (+44.5% YoY, margin 39.3%); H1 2024: KRW 96.1 billion.

• Basic EPS for H1 2024: KRW 4,848.

Outlook and guidance

• Plans to increase marketing investment in iGaming in H2, focusing on the U.K., aiming for top-line growth.

• New games in development and soft launch, with further investment contingent on retention and profitability metrics.

• Continued focus on M&A, diversification into casual and non-gaming sectors, and new business opportunities, especially in North America.