Playtika has recently released its Q4 2023 financial results with a revenue increase to $637.9 million, showing a sequential increase of 1.2% and a year-over-year increase of 1.1%. Revenue from DTC platforms reached $161.6 million, with a 0.4% growth and a year-over-year increase of 7.6%.
The company has decided to end its “strategic alternatives process,” taking itself off the table for potential buyers, citing global unrest in Israel and Ukraine as the reason for pausing the evaluation of strategic alternatives. The focus will now shift towards reinvestment and pursuing M&A opportunities.
In light of this, Playtika announced a cash dividend of $0.10 per share of outstanding common stock payable on April 5, 2024. The company also plans to allocate $600 million to $1.2 billion for M&A over the next three years and explore alternative avenues to enhance shareholder returns.
Despite recent layoffs, Playtika remains optimistic about its future, especially in the mobile gaming industry. The net income for the company dropped to $37.3 million, with Credit Adjusted EBITDA decreasing to $188.9 million as of December 31, 2023.
In FY2024, Playtika expects revenue to range from $2.520 to $2.620 billion, with Credit Adjusted EBITDA estimated between $730 and $770 million. The company also plans for capital expenditures to be between $110 and $115 million, with $17 million in accrued capital expenditures from Q4 FY2023 to be disbursed in FY2024.
