DoubleDown Interactive Third Quarter 2025 Revenue Rises 15.5% and Earnings per Fully Diluted Common Share Increases 30.8%

Core Insights - DoubleDown Interactive Co., Ltd. reported strong financial results for Q3 2025, with a revenue increase of 15.5% year-over-year to $95.8 million, driven by growth in social casino games and contributions from the WHOW Games acquisition [2][4][3]. Financial Performance - Revenue for Q3 2025 was $95.8 million, up from $83.0 million in Q3 2024, marking a 15.5% increase [4][6]. - Operating expenses rose to $60.9 million in Q3 2025 from $47.6 million in Q3 2024, primarily due to increased costs associated with the WHOW Games operations and revenue growth from SuprNation [4][6]. - Profit for the interim period increased by 30.8% to $32.7 million, or $13.21 per fully diluted common share, compared to $25.0 million, or $10.10 per share, in Q3 2024 [4][6]. - Adjusted EBITDA for Q3 2025 was $37.5 million, slightly up from $36.5 million in Q3 2024, with an adjusted EBITDA margin of 39.1% [4][6]. Operational Highlights - The SuprNation iGaming business achieved record revenue of $16.2 million in Q3 2025, reflecting a 108% increase from Q3 2024 [4][6]. - Revenue from social casino/free-to-play games, including partial results from WHOW Games, was $79.6 million, a 5.9% increase from the previous year [4][6]. - Average Revenue Per Daily Active User (ARPDAU) for social casino/free-to-play games increased to $1.39 in Q3 2025 from $1.30 in Q3 2024 [4][6]. Strategic Initiatives - The company is focused on driving high conversion of revenue to cash flow, resulting in $33.4 million in cash flow from operations during Q3 2025 [3][4]. - The acquisition of WHOW Games is expected to enhance European revenue, although the company is still assessing its operational impact [3][4]. - The company ended Q3 2025 with a net cash position of approximately $404 million, providing flexibility for future growth and acquisitions [5][4].