DoubleUGames (192080) Q4 2025 earnings summary

Executive summary

• Achieved record high annual revenue of KRW 719.9 billion in 2025, up 13.6% YoY, with strong profitability and a more diversified revenue structure driven by growth in iGaming and casual games.

• Fourth quarter revenue reached KRW 199.8 billion, the highest in company history, up 28.3% YoY and 7.3% QoQ, marking five consecutive quarters of growth and accelerated by the WHOW acquisition.

• EBITDA for 2025 was KRW 252.2 billion (35% margin); Q4 EBITDA was KRW 70.5 billion (35.3% margin), reflecting improved marketing efficiency and DTC channel expansion.

• Structural changes, including portfolio diversification and cost improvements, were clearly reflected in financial performance.

• Net income for FY2025 was KRW 44.6 billion in Q4, with full-year net income showing volatility due to non-operating items.

Financial highlights

• Annual revenue: KRW 719.9 billion (+13.6% YoY); Q4 revenue: KRW 199.8 billion (+28.3% YoY, +7.3% QoQ).

• Annual EBITDA: KRW 252.2 billion (35% margin); Q4 EBITDA: KRW 70.5 billion (35.3% margin).

• Variable costs declined to 27% of revenue in Q4; platform fees down 3.5% QoQ to KRW 41.0 billion.

• Fixed costs rose to 41% of revenue due to increased marketing for casual games; marketing expenses up 34% QoQ to KRW 44.7 billion.

• Cash and cash equivalents at year-end 2025 totaled KRW 569.9 billion, with total assets at KRW 1,847.8 billion.

Outlook and guidance

• Targeting double-digit annual top-line growth and aiming for over 30% of revenue from non-casino genres in 2026.

• 2026 strategy focuses on organic growth (DTC expansion, efficiency, AI-driven game development) and inorganic growth (synergy-driven M&A in familiar markets), with four cross-border M&A deals targeted.

• iGaming and casual segments aim for 5%-10% margin in 2026.

• Plan to test over 50 AI-driven games in 2026, seeking new hit titles.

• Targeting higher profitability through DTC expansion and operational efficiency in core segments.