DoubleUGames (192080) Q2 2025 earnings summary

Executive summary

• Consolidated Q2 2025 revenue reached KRW 171.9 billion, up 5.4% YoY and 6.2% QoQ, marking the highest quarterly revenue since Q1 2023.

• EBITDA was KRW 58.6 billion with a margin of 34%, up 1.3% QoQ but down 16.5% YoY.

• Net income was KRW 33.0 billion, a 48.6% YoY decrease, impacted by non-cash FX losses.

• Whow Games acquisition completed in July, expected to boost global ranking, expand European revenue, and immediately contribute to earnings.

• New businesses, including SuprNation and Paxie Games, contributed 20% of total revenue, with SuprNation revenue doubling YoY to KRW 21.8 billion.

Financial highlights

• Social casino revenue fell 9.2% YoY to KRW 138.1 billion, while iGaming revenue doubled to KRW 21.8 billion.

• Marketing expenses increased to KRW 31.9 billion (19% of revenue), mainly for SuprNation and Merge 2 market expansion.

• Personnel expenses were KRW 22.4 billion, down 5.3% QoQ, with consolidated headcount at 640.

• Cash and cash equivalents stood at KRW 700 billion, supporting M&A and shareholder returns.

• Operating cost increased 22.4% YoY to KRW 117.6 billion, driven by higher marketing and fixed costs.

Outlook and guidance

• Whow Games consolidation from Q3 expected to accelerate growth and improve operating income.

• Targeting DTC revenue share of 20% in social casino, leveraging favorable regulatory and market trends.

• SuprNation aims for continued growth with a fourth brand launch and mobile-only app, targeting 5% operating income in H2 2025 and 10–15% in 2026.

• Paxie Games plans to launch a new title in 2H25, targeting broader user demographics and leveraging growth in building-renovation games.

• Ongoing focus on new game launches and further M&A to diversify revenue.