GDEV (GDEV) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 was $97 million, a 9% year-over-year decline, mainly due to lower bookings and reduced revenue recognition from prior periods.

• Net profit reached $14 million, reversing a $5 million loss in Q1 2024, driven by lower selling and marketing expenses.

• Adjusted EBITDA improved to $16 million from a $0.9 million loss year-over-year.

• Bookings dropped 25% to $81 million, primarily due to a 26% decrease in monthly paying users following a shift in user acquisition strategy.

• Cash flows from operating activities were $6 million, supporting a liquidity position of $102 million.

Financial highlights

• Revenue declined by $10 million year-over-year, mainly from lower bookings and reduced recognition from prior periods.

• Selling and marketing expenses fell 33% to $42 million, reflecting a focus on higher-margin audiences.

• Game operation costs remained stable at $14 million.

• Platform commissions decreased 13% to $20 million, aided by a higher share of PC bookings.

• General and administrative expenses were steady at $8 million.

Outlook and guidance

• Forward-looking statements highlight risks and uncertainties, with caution advised regarding projections and assumptions.