Playtika allocates up to $450m for “bolt-on” M&A activity over next three years

Mobile games publisher Playtika has allocated $300 million to $450m for “bolt-on” M&A activity over the next three years.

That’s according to the company’s president and CFO Craig Abrahams, speaking during the it latest investor call for Q4 and 2024.

Playtika completed the acquisition of Dice Dreams and Domino Dreams developer SuperPlay in November, in a deal worth up to $1.95bn.

There had previously been some speculation that Playtika could be one of the suitors to buy AppLovin’s games portfolio for $900m, though this statement could rule it out of such a purchase.

Direct-to-consumer strategy

In its financials report, Playtika reported direct-to-consumer revenue from its mobile games portfolio rose 8.6% year-over-year to $694 million in 2024.

The publisher has long touted its D2C strategy in its financials, typically accounting for approximately a quarter of revenue. In Q4 2024, DTC revenue rose 8% Y/Y to $174.6m, and up just 0.1% from the previous quarter.

DTC sales accounted for 26.8% of revenue in Q4, down from 28.1% in Q3. Playtika said this was primarily due to the acquisition of SuperPlay, with Dice Dreams and Domino Dreams not using these channels for sales.

2024 and Q4 financials

Overall, the publisher generated $2.5 billion in revenue during 2024, down 0.7% Y/Y. Meanwhile, net income declined by 31% Y/Y to $162.2m, and credit adjusted EBITDA fell 9% Y/Y to $832.2m.

In Q4 alone, revenue increased 1.9% Y/Y to $650.3m. Net income decreased 144.8% Y/Y to a $16.7m loss. Credit adjusted EBITDA fell 2.6% Y/Y to $183.9.

During the last quarter, Playtika said it had 339,000 average daily paying users across its portfolio, a rise of 10.8% Y/Y. Casual games sales increased 11.3% Y/Y, while social casino revenue declined 10%.

Bingo Blitz revenue increased 5.8% Y/Y to $159.1m in Q4, while Slotomania sales dropped 13.5% Y/Y to $118.4m, and Solitaire Grand Harvest declined by 4.3% to $72.5m.

It should be noted that as of Q4, Playtika’s financials now include sales from the newly acquired SuperPlay.

"Continued M&A opportunities"

“We are thrilled with the progress we have made in executing our return to growth strategy, highlighted by our successful acquisition of SuperPlay,” said Playtika CEO Robert Antokol.

“Looking ahead, we are excited by our pipeline of new games and continued M&A opportunities, which we believe will drive consistent topline growth and create value for our shareholders.”

Playtika president and CFO Craig Abrahams added: “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. We believe these investments will position us for renewed EBITDA growth starting in 2026 and beyond.”