Playtika shares plunge 14.7% as Q4 earnings miss overshadows revenue beat

Published 27/02/2025, 17:32
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HERZLIYA, Israel - Playtika Holding Corp . (NASDAQ:PLTK) saw its shares tumble 14.7% after the mobile gaming company reported a significant earnings miss for the fourth quarter, despite beating revenue expectations.

The Israel-based firm posted a loss of $0.04 per share for Q4, falling short of analysts’ estimates of $0.18 in earnings per share. This represents a sharp decline from the same period last year when the company reported positive earnings. However, Playtika’s revenue came in at $650.3 million, surpassing the consensus estimate of $617.66 million and marking a 1.9% increase YoY.

Playtika’s Direct-to-Consumer (DTC) platforms revenue grew 8% YoY to $174.6 million, while casual games revenue jumped 11.3% YoY. However, social casino-themed games revenue declined 10% compared to the previous year.

"We are thrilled with the progress we have made in executing our return to growth strategy, highlighted by our successful acquisition of SuperPlay," said Robert Antokol, Chief Executive Officer.

Looking ahead, Playtika provided guidance for fiscal year 2025, projecting revenue between $2.80 billion and $2.85 billion, above the analyst consensus of $2.75 billion. However, the company expects 2025 to be a transitional year as it invests in newly acquired studios.

Craig Abrahams, President and Chief Financial Officer, stated, "As we continue to evolve our portfolio mix, we anticipate this year to be transitional as we invest in newly acquired studios in their early stages."

The company’s board declared a quarterly cash dividend of $0.10 per share, payable on April 4, 2025, to stockholders of record as of March 21, 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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