PLAYSTUDIOS Inc (MYPS)

PLAYSTUDIOS, Inc. Announces First Quarter ResultsMay 11, 2026 4:30 PM
Business Wire First Quarter Revenue of $58.4 million Net loss of $10.7 million Consolidated AEBITDA of $3.6 million PLAYSTUDIOS, Inc. (NASDAQ: MYPS) (“PLAYSTUDIOS” or the “Company”), a developer and publisher of free-to-play mobile and social games and the creator of the playAWARDS loyalty platform, today announced financial results for the first quarter ended March 31, 2026. Andrew Pascal, Chairman and Chief Executive Officer of PLAYSTUDIOS, said, “Our first quarter results reflected continued pressure on our legacy portfolio, particularly within social casino, but they also reflected meaningful progress in repositioning PLAYSTUDIOS for the future. Over the past several quarters, we have touched virtually every aspect of the Company, simplifying the organization, lowering our cost structure, recomposing leadership teams, integrating new talent in key roles, and focusing our capital and creative energy on the opportunities we believe offer the greatest potential to restore stability and growth. This is far from business as usual, and we believe the Company that is emerging is more focused, more resilient, and better positioned to execute.” Pascal continued, “Our core portfolio continues to generate positive contribution margins and cash flow, as we focus on efficiency, margin, and reinvestment. We continue to benefit from Reinvention, our earlier cost-savings program, while also advancing Renewal, our broader redesign of the business intended to simplify operations, improve our cost structure, and better align the Company around its most compelling growth opportunities.” He added, “That progress is also evident in the advancement of our key growth drivers. Tetris Block Party has continued to scale and demonstrate its potential as an important new casual puzzle product. The Win Zone is now live in all currently permissible jurisdictions and continues to evolve into a more complete operating platform. While it remains early, we are encouraged by the progress we are seeing and believe PLAYSTUDIOS is becoming a simpler, sharper, and more growth-oriented company.” First Quarter Financial Highlights Revenue was $58.4 million during the first quarter of 2026, compared to $62.7 million during the first quarter of 2025. Net loss was $10.7 million during the first quarter of 2026, representing a net loss margin of 18.3%, compared to net loss of $2.9 million during the first quarter of 2025, representing a net loss margin of 4.6%. Consolidated AEBITDA, a non-GAAP financial measure defined below, was $3.6 million during the first quarter of 2026, representing a margin of 6.1%, compared to $12.5 million during the first quarter of 2025, representing a margin of 19.9%. User acquisition expense increased $6.5 million during the first quarter of 2026 compared to the first quarter of 2025, attributed to the investments in our growth initiatives, net of savings in the core business. Direct-to-consumer revenue was $12.4 million during the first quarter of 2026, compared to $5.0 million during the first quarter of 2025, representing an increase of 150%. Average DAU was 2.1 million, Average MAU was 9.4 million, and ARPDAU was $0.31 during the first quarter of 2026. Players purchased approximately 169,000 rewards with a retail value of $15 million through the playAWARDS platform during the first quarter of 2026. Cash and cash equivalents were $103.7 million as of March 31, 2026. Management Commentary Snapshot Legacy social casino revenue remained under pressure, consistent with broader category softness and the challenges facing many of the scaled publishers. Direct-to-consumer revenue continued to grow and represented a significantly larger percentage of total IAP revenue, supporting improved platform economics and reinforcing the importance of owned-channel monetization. The Company continues to manage its core portfolio for contribution, margin, and cash generation while selectively investing in initiatives intended to restore growth. Tetris Block Party remains one of the Company’s primary growth priorities, with encouraging monetization, engagement, and payback characteristics. The Win Zone continues to improve across key operating metrics, supported by product, segmentation, and monetization enhancements. POP! Slots sweepstakes integration remains targeted for late Q22026. Renewal is expected to generate an additional $33 million to $39 million of annualized savings once fully implemented. The Company intends to adopt a Rule 10b5-1 trading plan and repurchase shares under its remaining authorization. Market and Operating Update The consumer gaming market remains challenging and less predictable. Across the mobile gaming ecosystem, publishers continue to operate in a more difficult user acquisition environment, as the adoption of more restrictive data privacy policies by the major platforms has reduced targeting efficiency and put pressure on acquisition cost-to-lifetime value relationships. These dynamics continue to affect the performance in parts of our legacy portfolio. Within social casino, our focus remains clear: manage the portfolio with discipline, preserve profitability and cash generation where possible, and continue evolving our products to better serve players and improve long-term economics. Within casual gaming, we continue to view our card and puzzle portfolio as an important strategic asset, representing approximately 75% of the Company’s audience and approximately 29% of revenue. We launched Tetris Block Party in December, and it has since scaled its audience to more than 135,000 daily active users while delivering encouraging engagement and monetization. More broadly, we believe the work underway across the Company is creating a more stable foundation for the business. We have simplified the organization, sharpened strategic priorities, refreshed key parts of the leadership structure, and continued integrating new talent in important roles. Taken together, these actions are intended to improve execution and position the Company more effectively for its next phase. Cost Structure and Margin Improvement First quarter results reflect the continued benefits of the Company’s Reinvention program, initiated in the fourth quarter of 2024 and implemented more fully during the first half of 2025. That program generated approximately $29.0 million of annualized operating expense cost savings and helped improve efficiency while enabling reinvestment in strategic growth initiatives. More specifically, these savings enabled over $11 million of increased investment year-over-year in user acquisition and new product development. The Company is also advancing Renewal, a broader refactoring of the business designed to simplify operations, improve long-term profitability, and reposition the Company for future growth. Renewal includes the closing of 4 of 9 studios, the elimination of 177 positions, the consolidation of products and development teams, the unification of select technologies and tools, reductions in cost of sales, and lower marketing spend. Once fully implemented, management expects these actions to generate an additional $33.0 million to $39.0 million of annualized savings. Growth Initiatives PLAYSTUDIOS continues to invest in what it believes are its two primary growth drivers: Tetris Block Party and playSWEEPS. Tetris Block Party is designed as a more casual and accessible Tetris experience supported by a richer meta-layer designed to improve retention, engagement, and monetization. The game launched in December 2025 and, after four months in market, reached more than 135,000 DAU, with encouraging conversion and monetization characteristics. The Company continues to view Tetris Block Party as one of its most important growth opportunities within casual puzzle and expects to continue investing in the product as resources are reallocated from its restructuring efforts. PLAYSTUDIOS also continued advancing playSWEEPS, including The Win Zone, which is now live in all currently permissible jurisdictions. The initiative has evolved substantially and now consists of the direct web offering, iOS mobile game, operating tools, and the suite of services needed to operate the program with control and integrity. Management continues to report improvement in certain early engagement and monetization indicators as marketing activities ramp, although it remains too early to forecast the pace or magnitude of growth. In addition, the Company advanced the development of its planned POP! Slots sweepstakes integration, which will introduce this new value proposition to its long-standing and dedicated players. The beta launch is currently targeted for late Q2 2026, supported by a feature roadmap that will be executed over the balance of the year. Management believes this initiative has the potential to materially enhance the product’s appeal and resulting economics. AI Enablement As part of Renewal, PLAYSTUDIOS is continuing to invest in AI infrastructure and adoption. The Company has been an early and active adopter of AI across its development and operating processes and believes broader use of AI-enabled tools and workflows can improve productivity, execution quality, growth, and margins over time. Share Repurchase Plan As of March 31, 2026, the Company had $103.7 million of cash and cash equivalents. At recent trading prices, the Company believes its shares imply a negative enterprise value, presenting a compelling opportunity to repurchase stock. Accordingly, the Company intends to adopt a Rule 10b5-1 trading plan during the upcoming open trading window and repurchase shares of its Class A common stock under its remaining $40.0 million of authorization, subject to market conditions, applicable legal requirements, and other considerations. Outlook Given the evolving performance of its legacy portfolio and the early-stage nature of its newer initiatives, PLAYSTUDIOS is not providing formal financial guidance at this time. Management remains committed to transparency and intends to continue engaging with investors and analysts regarding the Company’s progress and priorities. Summary Operating Results ? Three Months Ended March 31, (in thousands, except percentages) 2026   2025 Net revenues $ 58,410     $ 62,709   Total operating costs and expenses   71,715       65,450   Loss from operations   (13,305 )     (2,741 ) Net loss   (10,676 )     (2,880 ) Consolidated AEBITDA   3,571       12,487   Net loss margin   (18.3 )%     (4.6 )% Consolidated AEBITDA margin   6.1 %     19.9 % About PLAYSTUDIOS, Inc. PLAYSTUDIOS (Nasdaq: MYPS), creator of the groundbreaking myVIP loyalty program, is a publisher and developer of award-winning mobile games, including the iconic Tetris® mobile app, Tetris Block Party, Solitaire, Spider Solitaire, Sudoku, and its casino-style games such as POP! Slots, myVEGAS Slots, myVEGAS Blackjack, myKONAMI Slots, and myVEGAS Bingo. The myVIP loyalty platform offers its members the richest rewards in gaming and enables them to earn real-world rewards from a global collection of iconic hospitality, entertainment, and leisure brands. playAWARDS partners include MGM Resorts International, Norwegian Cruise Lines, Royal Caribbean Cruise Lines, Virgin Voyages, Topgolf, and Cirque du Soleil, among others. Founded by a team of veteran gaming, hospitality, and technology entrepreneurs, PLAYSTUDIOS apps combine the best elements of popular casual games with compelling real-world benefits. To learn more about PLAYSTUDIOS, visit playstudios.com. Performance Indicators We manage our business by regularly reviewing several key operating metrics to track historical performance, identify trends in player activity, and set strategic goals for the future. Our key performance metrics are impacted by several factors that could cause them to fluctuate on a quarterly basis, such as platform providers’ policies, seasonality, player connectivity, and the addition of new content to games. We believe these measures are useful to investors for the same reasons. The key performance indicators may differ from similarly titled measures presented by other companies. For more information on our key performance indicators, please refer to the definitions below and the “Supplemental Data—playGAMES Key Performance Indicators” and “Supplemental Data—playAWARDS Key Performance Indicators”sections of this press release. Average Daily Active Users (“Average DAU”): Daily Active Users ("DAU") is defined as the number of individuals who played a game on a particular day. For Tetris and our free-to-play social casino games, we track DAU by the player ID, which is assigned for each game installed by an individual. As such, an individual who plays two of these games on the same day is counted as two DAU while an individual who plays the same game on two different devices is counted as one DAU. For our Brainium suite of casual games, we track DAU by app instance ID, which is assigned to each installation of a game on a particular device. As such, an individual who plays two different Brainium games on the same day is counted as two DAU and an individual who plays the same Brainium game on two different devices is also counted as two DAU. The term "Average DAU" is defined as the average of the DAU, determined as described above, for each day during the period presented. We use DAU and Average DAU as measures of audience engagement to help us understand the size of the active player base engaged with our games on a daily basis. Average Monthly Active Users (“Average MAU”): Monthly Active Users ("MAU") is defined as the number of individuals who played a game in a particular month. As with DAU, an individual who plays two different non-Brainium games in the same month is counted as two MAU while an individual who plays the same non-Brainium game on two different devices is counted as one MAU, and an individual who plays two different Brainium games on the same month is counted as two MAU while an individual who plays the same Brainium game on two different devices is also counted as two MAU. The term "Average MAU" is defined as the average of the MAU, determined as described above, for each calendar month during the period presented. We use MAU and Average MAU as measures of audience engagement to help us understand the size of the active player base engaged with our games on a monthly basis. Because DAU and MAU are calculated at the game or app-instance level, they reflect engagement at the title level rather than unique individuals across our entire portfolio, and a single individual may be counted multiple times if they engage with multiple games. In addition, these metrics are derived from a combination of internal tracking systems and third-party platform data, which may be subject to technical limitations, data discrepancies, or changes in platform reporting methodologies. Average Daily Paying Users (“Average DPU”): Daily Paying Users ("DPU") is defined as the number of individuals who made a purchase of virtual currency or digital items within a game during a particular day. As with DAU and MAU, we track DPU based on account activity. As such, an individual who makes a purchase in two different games in a particular day is counted as two DPU while an individual who makes purchases in the same game on two different devices is counted as one DPU. The term "Average DPU" is defined as the average of the DPU, determined as described above, for each day during the period presented. We use DPU and Average DPU to help us understand the size of our active player base that makes in-game purchases and to assess monetization trends within our active player base. Consistent with DAU and MAU, DPU is calculated at the game level and may reflect multiple purchases by a single individual across different titles. Daily Payer Conversion: Daily Payer Conversion is defined as DPU as a percentage of DAU on a particular day. Daily Payer Conversion is also sometimes referred to as "Percentage of Paying Users" or "PPU". The term "Average Daily Payer Conversion" is defined as the Average DPU divided by Average DAU for a given period. We use Daily Payer Conversion and Average Daily Payer Conversion to help us understand the monetization of our active players. Average Daily Revenue Per DAU (“ARPDAU”): ARPDAU is defined for a given period as the average daily revenue per Average DAU, and is calculated as game-related revenue and advertising revenue attributable to the applicable period, divided by the number of days in the period, divided by the Average DAU during the period. We use ARPDAU as a measure of overall monetization of our active players. ARPDAU may fluctuate based on changes in pricing, player mix, advertising demand, and promotional activity. playAWARDS Platform Metrics Available Rewards: Available Rewards is defined as the monthly average number of unique rewards available in our applications’ rewards stores. A reward appearing in more than one application’s reward store is counted only once. A reward is counted only once irrespective of the inventory available through that reward. For example, one reward for a free night in a hotel room with ten rooms available for such free night is counted as one reward. Available Rewards only include real-world partner rewards and exclude PLAYSTUDIOS digital rewards. We use Available Rewards as a measure of the value and potential impact of the program for an interested player. We use Available Rewards as one indicator of the breadth of our loyalty offering. Purchases: Purchases is defined as the total number of rewards purchased for the period identified in which a player exchanges loyalty points for a reward. Purchases are net of refunds. Purchases only include purchases of real-world partner rewards and exclude any PLAYSTUDIOS digital rewards. Purchases are redeemed by the player directly with the rewards partner within the specified terms and conditions of the reward. The Company does not recognize revenue from Purchases, as players redeem loyalty points rather than making cash payments. We use Purchases as a measure of audience interest and engagement with our playAWARDS platform. Retail Value of Purchases: Retail Value of Purchases is defined as the cumulative retail value of all rewards listed as Purchases for the period identified. The retail value of each reward listed as Purchases is the retail value as determined by the partner upon creation of the reward. In the case where the retail value of a reward adjusts depending on time of redemption, the average retail value is used. Retail Value of Purchases only include the retail value of real-world partner rewards and exclude the cost of any PLAYSTUDIOS branded merchandise. Retail values are based on partner-provided estimates and may not reflect actual transaction prices or redemption experience. Retail value also does not represent revenue recognized by the Company. We use Retail Value of Purchases to help us understand the real-world value of the rewards that are purchased by our players in a particular period. Retail Value of Daily Rewards Inventory: Retail Value of Daily Rewards Inventory is defined as the cumulative retail value of all rewards listed as available for the period divided by the number days in the period. For rewards with unlimited inventory, the maximum of number of rewards used in the calculation is 50. The retail value of each reward listed as available is the retail value as specified by the rewards partner upon creation of the reward. Retail Value of Daily Rewards Inventory only includes the retail value of real-world partner rewards and excludes the cost of any PLAYSTUDIOS branded merchandise. We use Retail Value of Daily Rewards Inventory to help us understand the real-world value of the rewards within our playAWARDS platform. Use of Non-GAAP Financial Measures This press release includes certain non-GAAP financial measures, including Consolidated AEBITDA. These measures are intended to supplement, and should not be considered in isolation from, or as a substitute for, the Company’s GAAP results. A reconciliation of the non-GAAP measures to the most directly comparable GAAP measures is included in the accompanying financial tables. To provide investors with information in addition to results as determined by GAAP, the Company discloses Consolidated Adjusted Earnings Before Interest Taxes Depreciation and Amortization (“Consolidated AEBITDA”) as a non-GAAP measure that management believes provides useful information to investors. This measure is not a financial measure calculated in accordance with GAAP and should not be considered as a substitute for revenue, net income or any other operating performance measure calculated in accordance with GAAP. We define Consolidated AEBITDA as net income (loss) before interest, income taxes, depreciation and amortization, restructuring and related costs (consisting primarily of severance and other restructuring related costs), stock-based compensation expense, and other income and expense items (including special infrequent items, foreign currency gains and losses, and other non-cash items). We also present Consolidated AEBITDA Margin, a non-GAAP measure, which we calculate as Consolidated AEBITDA as a percentage of net revenue. We believe that the presentation of Consolidated AEBITDA provides useful information to investors regarding the Company’s results of operations because the measure assists both investors and management in analyzing and benchmarking the performance and value of our business. Consolidated AEBITDA provides an indicator of performance that is not affected by fluctuations in certain costs or other items. Accordingly, management believes that this measure is useful for comparing general operating performance from period to period, and management relies on this measure for planning and forecasting of future periods. Additionally, this measure allows management to compare results with those of other companies that have different financing and capital structures. However, other companies may define Consolidated AEBITDA differently, and as a result, our measure of Consolidated AEBITDA may not be directly comparable to that of other companies. For further information regarding these non-GAAP measures, including the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, please refer to the “Reconciliation of Net Loss to Consolidated AEBITDA” section of this press release. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements regarding the Company’s strategy, market opportunities, cost savings initiatives, restructuring initiatives and anticipated benefits, margin improvement, growth initiatives, product launches, sweepstakes opportunities, regulatory developments (including developments relating to sweepstakes and promotional gaming), AI adoption, stock repurchases, and future operating performance. These statements are based on current expectations and assumptions and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Factors that could cause actual results to differ materially include, among others, changes in market conditions, competitive pressures, regulatory developments, platform policy changes, user acquisition challenges, product performance, consumer demand, and other risks described in the Company’s filings with the Securities and Exchange Commission. The Company undertakes no obligation to update any forward-looking statements except as required by law.   PLAYSTUDIOS, INC. CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited and in thousands, except per share data)   ? Three Months Ended March 31, ?   2026       2025   Net revenue $ 58,410     $ 62,709   Operating expenses:       Cost of revenue(1)   12,045       15,779   Selling and marketing   21,025       13,169   Research and development   14,724       13,674   General and administrative   9,436       11,861   Depreciation and amortization   9,833       9,632   Restructuring and related   4,652       1,335   Total operating costs and expenses   71,715       65,450   Loss from operations   (13,305 )     (2,741 ) Other income (expense), net:       Change in fair value of warrant liabilities   18       101   Change in fair value of contingent consideration   2,780       (325 ) Interest income, net   722       906   Other loss, net   (281 )     (473 ) Total other income, net   3,239       209   Loss before income taxes   (10,066 )     (2,532 ) Income tax expense   (610 )     (348 ) Net loss $ (10,676 )   $ (2,880 )         Net loss per share attributable to Class A and Class B common stockholders:       Basic $ (0.08 )   $ (0.02 ) Diluted $ (0.08 )   $ (0.02 ) Weighted average shares of common stock outstanding:       Basic   127,660       125,253   Diluted   127,660       125,253     (1) Amounts exclude depreciation and amortization.   PLAYSTUDIOS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited and in thousands, except par value amounts)   ? March 31,
2026   December 31,
2025 ASSETS ?   ? Current assets: ?   ? Cash and cash equivalents $ 103,677     $ 104,935   Receivables, net   22,852       22,818   Prepaid expenses and other current assets   7,328       7,018   Total current assets   133,857       134,771   Property and equipment, net   12,434       13,426   Operating lease right-of-use assets   6,292       7,533   Intangible assets and internal-use software, net   71,643       76,430   Goodwill   52,222       52,222   Deferred income taxes   4,090       4,140   Other long-term assets   1,887       2,096   Total non-current assets   148,568       155,847   Total assets $ 282,425     $ 290,618   LIABILITIES AND STOCKHOLDERS’ EQUITY       Current liabilities:       Accounts payable   11,104       7,808   Operating lease liabilities, current   3,685       3,656   Minimum guarantee liability, current   8,419       9,469   Contingent consideration, current   2,535       5,561   Accrued and other current liabilities   18,309       16,684   Total current liabilities   44,052       43,178   Operating lease liabilities, noncurrent   3,220       4,070   Minimum guarantee liability, noncurrent   12,000       12,000   Contingent consideration, noncurrent   2,993       2,747   Deferred income taxes   776       617   Other long-term liabilities   58       140   Total non-current liabilities   19,047       19,574   Total liabilities $ 63,099     $ 62,752   Stockholders’ equity:       Preferred stock, $0.0001 par value (100,000 shares authorized, no shares issued and outstanding as of March 31, 2026 and December 31, 2025)   —       —   Class A common stock, $0.0001 par value (2,000,000 shares authorized, 133,596 and 131,823 shares issued, and 111,857 and 110,084 shares outstanding as of March 31, 2026 and December 31, 2025, respectively)   11       11   Class B common stock, $0.0001 par value (25,000 shares authorized, and 16,457 and 16,457 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively.   2       2   Additional paid-in capital   342,945       340,802   Accumulated deficit   (70,639 )     (59,963 ) Accumulated other comprehensive income   1,799       1,806   Treasury stock, at cost, 21,739 and 21,739 shares at March 31, 2026 and December 31, 2025, respectively   (54,792 )     (54,792 ) Total stockholders’ equity   219,326       227,866   Total liabilities and stockholders’ equity $ 282,425     $ 290,618     PLAYSTUDIOS, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited, in thousands)   ? Three Months Ended
March 31, ?   2026       2025   Cash flows from operating activities:   3,718       3,300   Cash flows from investing activities:       Purchase of property and equipment   (66 )     (118 ) Additions to internal-use software   (4,006 )     (3,461 ) Other   (46 )     (30 ) Net cash used in investing activities   (4,118 )     (3,609 ) Cash flows from financing activities:       Proceeds from stock option exercises   —       122   Payments for tax withholding of stock-based compensation   (378 )     (740 ) Payment of minimum guarantee liabilities   (347 )     (284 ) Repurchases of treasury stock   —       (1,554 ) Net cash used in financing activities   (725 )     (2,456 ) Foreign currency translation   (130 )     84   Net change in cash, cash equivalents, and restricted cash   (1,255 )     (2,681 ) Cash, cash equivalents, and restricted cash at beginning of period   105,555       110,386   Cash, cash equivalents, and restricted cash at end of period $ 104,300     $ 107,705     PLAYSTUDIOS, INC. RECONCILIATION OF NET LOSS TO CONSOLIDATED AEBITDA (Unaudited and in thousands, except percentages)   The following table sets forth the reconciliation of net loss and net loss margin to Consolidated AEBITDA and Consolidated AEBITDA Margin, respectively, which we calculate as Consolidated AEBITDA as a percentage of net revenue. Net loss and net loss margin are the most directly comparable GAAP measures.   ? Three Months Ended March 31, ? 2026 ? 2025 Revenue $ 58,410     $ 62,709           Net loss $ (10,676 )   $ (2,880 ) Net loss margin   (18.3 )%     (4.6 )% Adjustments:       Depreciation & amortization   9,833   ?   9,632   Income tax expense   610   ?   348   Stock-based compensation expense   2,384   ?   4,258   Change in fair value of warrant liability   (18 )     (101 ) Change in fair value of contingent consideration   (2,780 )     325   Restructuring and related(1)   4,652   ?   1,335   Other, net(3)   (434 ) ?   (430 ) Consolidated AEBITDA   3,571   ?   12,487   Consolidated AEBITDA Margin   6.1 % ?   19.9 % (1) Amounts reported during the three months ended March 31, 2026 and March 31, 2025 relate to internal reorganization costs, including severance-related costs, fees related to evaluating various merger and acquisition opportunities, and non-recurring legal costs. (2) Amounts reported in “Other, net” include interest expense, interest income, gains/losses from equity investments, foreign currency gains/losses, and non-cash gains/losses on the disposal of assets.   PLAYSTUDIOS, INC. SUPPLEMENTAL DATA - SEGMENT INFORMATION (Unaudited and in thousands, except percentages)   The following table sets forth the financial data for our reportable segments:     Three Months Ended March 31, 2026   Three Months Ended March 31, 2025   playGAMES   playAWARDS   Total   playGAMES   playAWARDS   Total Net revenue                       Virtual currency $ 44,705   $ 543     $ 45,248     $ 50,692   $ 148     $ 50,840   Advertising   13,157     —       13,157       11,863     —       11,863   Other   —     5       5       —     6       6       57,862     548       58,410       62,555     154       62,709   Segment expenses                       Cost of sales   11,991     54       12,045       15,763     16       15,779   Payroll & related   10,011     1,488       11,499       9,175     1,567       10,742   User acquisition   16,693     —       16,693       10,157     —       10,157   Other   10,493     498       10,991       9,151     860       10,011       49,188     2,040       51,228       44,246     2,443       46,689                           Reportable segment AEBITDA $ 8,674   $ (1,492 )   $ 7,182     $ 18,309   $ (2,289 )   $ 16,020                           Other operating expense                       Corporate and other           3,611               3,533   Restructuring expenses           4,652               1,335   Other reconciling items           7               3   Stock-based compensation           2,384               4,258   Special infrequent           —               —   Depreciation and amortization           9,833               9,632               20,487               18,761   Non-operating income (expense)                       Change in fair value of warrant liabilities           18               101   Interest income, net           722               906   Other expense           (281 )             (473 )             3,239               209                           Loss before income taxes           (10,066 )             (2,532 ) Income tax expense           (610 )             (348 ) Net loss         $ (10,676 )           $ (2,880 )   PLAYSTUDIOS, INC. SUPPLEMENTAL DATA - NET REVENUE (Unaudited and in thousands, except percentages)   The following tables summarizes the Company’s virtual currency revenue disaggregated by type and by platform:   ? Three Months Ended March 31,   ?   ? ?   2026       2025     Change   % Change Net revenue               Virtual currency $ 45,248     $ 50,840     $ (5,592 )   (11.0 )% Advertising   13,157       11,863       1,294     10.9 % Other revenue   5       6       (1 )   (16.7 )% Total net revenue $ 58,410     $ 62,709       (4,299 )   (6.9 )%                 Virtual currency revenue               Third party platforms $ 32,845     $ 45,870       (13,025 )   (28.4 )% Direct-to-consumer (DTC) platforms   12,403       4,970       7,433     149.6 % Total virtual currency revenue $ 45,248     $ 50,840       (5,592 )   (11.0 )%                 DTC revenue as a percentage of virtual currency revenue   27.4 %     9.8 %     17.6 %   179.6 %   PLAYSTUDIOS, INC. SUPPLEMENTAL DATA – PLAYGAMES KEY PERFORMANCE INDICATORS (Unaudited and in thousands, except percentages and ARPDAU)   ? Three Months Ended March 31, ? ? ? ? ?   2026       2025   ? Change ? % Change Average DAU   2,094       2,632   ?   (538 ) ? (20.4 )% Average MAU   9,418       11,422   ?   (2,004 ) ? (17.5 )% Average DPU   21       21   ?   —   ? — % Average Daily Payer Conversion   1.0 %     0.8 % ? 0.2 pp ? 25.0 % ARPDAU (in dollars) $ 0.31     $ 0.26   ? $ 0.05   ? 19.2 % pp = percentage points ? ? ? ? ? ? ?   PLAYSTUDIOS, INC. SUPPLEMENTAL DATA – PLAYAWARDS KEY PERFORMANCE INDICATORS (Unaudited and in thousands, except percentages and Available Rewards)   ? Three Months Ended March 31, ? ? ? ? ?   2026     2025 ? Change ? % Change Available Rewards (in units)   327     367     (40 )   (10.9 )% Purchases (in units)   169     281     (112 )   (39.8 )% Retail Value of Purchases $ 14,827   $ 16,984   $ (2,157 )   (12.7 )% Retail Value of Daily Rewards Inventory $ 2,173   $ 2,005   $ 168     8.4 %   View source version on businesswire.com: https://www.businesswire.com/news/home/20260511385198/en/ PLAYSTUDIOS CONTACTS
Investor Relations
ir@playstudios.com Original: PLAYSTUDIOS, Inc. Announces First Quarter Results

PLAYSTUDIOS, Inc. Announces Fourth Quarter and Full Year 2025 ResultsMarch 16, 2026 5:10 PM
Business Wire
Fourth Quarter 2025 Revenue of $55.4 million


Full Year Revenue of $235.1 million


Continued Execution on Cost Reduction Initiatives and Strategic Investments in Sweepstakes and Casual Puzzle Growth Opportunities


PLAYSTUDIOS, Inc. (Nasdaq: MYPS) (“PLAYSTUDIOS” or the “Company”), a developer and publisher of free-to-play mobile and social games and the creator of the playAWARDS loyalty platform, today announced financial results for the fourth quarter and full year ended December 31, 2025.


Management Commentary Snapshot



Legacy portfolio continues to face industry-wide pressure, particularly in social casino.



Reinvention program delivered approximately $29.0 million of annualized operating expense cost savings.



Second stage of Reinvention program initiated, and is expected to generate $33.0 million to $39.0 million of additional annualized savings from further operating expense, marketing, and cost of sales initiatives.



Tetris Block Party and playSWEEPS initiatives remain the Company’s primary growth priorities.



The Win Zone is now live in all currently permissible jurisdictions.



POP! Slots sweepstakes integration targeted for late Q2 2026.



“2025 was an important and consequential year for PLAYSTUDIOS,” said Andrew Pascal, Chairman and Chief Executive Officer of PLAYSTUDIOS. “While our financial results continued to reflect pressure on our legacy portfolio, we also took decisive actions to improve our cost structure, sharpen our strategic focus, and invest in what we believe are our most compelling future growth opportunities.”


Pascal continued, “The consumer gaming market remains challenging and less predictable than it once was. Mobile publishers across the industry have faced increasing difficulty acquiring and retaining players at scale in the wake of more restrictive platform data privacy policies, which have disrupted user acquisition economics. These market dynamics have affected both our social casino and casual portfolios, and much like others in social casino, we continue to experience period-over-period declines in our scaled legacy businesses.”


“Even so, our core portfolio continues to generate positive cash flow, and we are managing it accordingly, optimizing for efficiency, margin, and disciplined reinvestment. At the same time, we are positioning PLAYSTUDIOS to participate in two attractive and high-growth categories: social casino promotional sweepstakes and casual puzzle. We believe both of these opportunities can play an important role in restoring growth and increasing long-term shareholder value.”


Fourth Quarter Financial Highlights



Revenue was $55.4 million during the fourth quarter of 2025, compared to $67.8 million during the fourth quarter of 2024.



Net loss was $13.7 million during the fourth quarter of 2025, compared to a net loss of $22.4 million during the fourth quarter of 2024.



Consolidated AEBITDA, a non-GAAP financial measure defined below, was $5.1 million during the fourth quarter of 2025, compared to $12.5 million during the fourth quarter of 2024.



Consolidated AEBITDA Margins were 9.3% in the quarter, a 910 basis point decrease versus the fourth quarter of 2024.



KPIs playGAMES. During the fourth quarter of 2024, PLAYSTUDIOS had Average DAU and Average MAU of 2.0 million and 8.5 million, respectively. ARPDAU was $0.30.



Direct to Consumer revenue was $8.3 million during the fourth quarter, compared to $4.7 million during the fourth quarter of 2024, representing an increase of 76.7%.



KPIs playAWARDS. During the fourth quarter of 2025, players purchased 169,000 rewards with a retail value of $15.0 million.



Liquidity. As of December 31, 2025, cash and cash equivalents on the balance sheet was $104.9 million.



Shares outstanding. As of December 31, 2025, the Company had 126.5 million shares of common stock outstanding.



Full Year 2025 Financial Highlights



Revenue was $235.1 million during 2025, compared to $289.4 million in prior year.



Net loss was $28.6 million during 2025, compared to a net loss of $28.7 million in prior year.



Consolidated AEBITDA, was $35.6 million during 2025, compared to $56.5 million in prior year.



Consolidated AEBITDA Margins were 15.1% during 2025, compared to 19.5% in prior year.



KPIs playGAMES. During 2025, PLAYSTUDIOS had Average DAU and Average MAU of 2.3 million and 9.9 million, respectively. ARPDAU was $0.28.



Direct to Consumer revenue was $27.6 million during 2025, compared to $15.5 million during 2024, representing an increase of 78.7%.



KPIs playAWARDS. During 2025, players purchased 0.9 million rewards with a retail value of $59 million.



Strategic and Operating Update


During 2025, PLAYSTUDIOS continued to navigate a difficult operating backdrop for mobile gaming. Across the sector, publishers have been contending with a more challenging and less efficient user acquisition environment, contributing to greater volatility in player acquisition, engagement, and monetization trends.


Within the Company’s social casino business, these dynamics continued to pressure performance. Like many other scaled publishers in the category, PLAYSTUDIOS experienced continued contraction in its legacy social casino portfolio. In response, the Company remained focused on offsetting that pressure through further efficiency measures, tighter operating discipline, and targeted product efforts intended to improve player value and optimize profitability.


A central element of the Company’s revitalization strategy is the thoughtful integration of sweepstakes mechanics. PLAYSTUDIOS believes the sweepstakes-enabled gaming category represents a significant opportunity and expects that, over time, the market will continue to mature through the development of clearer regulatory frameworks. The Company believes its operating capabilities, product experience, and commitment to quality and compliance, position it well to become a scaled, best-of-breed provider as the category evolves.


Within casual gaming, PLAYSTUDIOS’ portfolio of card and puzzle titles continues to represent an important strategic asset. These products account for approximately 75% of the Company’s audience and approximately 20% of its revenue. From Solitaire and Sudoku to its collection of Tetris titles, the Company believes it has assembled a compelling and diversified portfolio of durable, engaging products with attractive margin characteristics.


Cost Structure Transformation and Margin Improvement


The Company’s fourth quarter and full year results reflect the fully realized benefits of its Reinvention program, which was initiated in the fourth quarter of 2024 and more fully implemented throughout the first half of 2025. That initiative included comprehensive structural reforms and organizational changes that collectively generated approximately $29.0 million of annualized operating expense cost savings, allowing the Company to both improve operating efficiency and reinvest in strategic growth initiatives.


While those actions allowed the Company to partially offset revenue erosion and remain profitable, PLAYSTUDIOS has continued to take further steps to simplify the business and improve its long-term operating profile.


More recently, the Company initiated a second stage of its Reinvention plans consisting of a comprehensive refactoring of the business, which includes:



Closing 4 of its 9 studios,



Eliminating 177 positions,



Consolidating products and development teams,



Unifying select technologies and tools,



Reducing cost of sales, and



Cutting back on marketing spend.



When fully implemented, the Company expects these actions to generate an additional $33.0 million to $39.0 million of annualized savings, improving operating efficiency and providing additional capacity to reinvest in strategic growth initiatives.


It is also worth noting that the Company’s Direct-to-Consumer (DTC) channel continued to perform well. DTC revenue represented 18.9% of total virtual currency revenue in the fourth quarter of 2025, up from 8.6% in the prior-year quarter. For the full year, DTC was 14.6% of virtual currency revenue, compared to 6.8% in 2024, a nearly 8-percentage-point improvement.


Pascal added, “These actions are not simply about reducing costs. They are about redesigning the Company to be more focused, more productive, and better aligned around the opportunities that we believe offer the greatest potential for growth, margin expansion, and shareholder value creation.”


Investment in Future Growth Drivers


PLAYSTUDIOS is using this improved cost structure to continue investing in what it believes are the Company’s two primary future growth drivers: Tetris Block Party and playSWEEPS.


Tetris Block Party


Tetris Block Party is a more casual and accessible Tetris game format designed with a richer meta-layer intended to support long-term retention and engagement. The game launched in December 2025 and, in its first six weeks, achieved daily active users (“DAU”) scale of more than 125,000, while also demonstrating healthy conversion and monetization characteristics.


The Company believes Tetris Block Party represents an important new growth opportunity within casual puzzle and expects to continue investing in the product as resources are reallocated from its Reinvention cost-savings efforts.


playSWEEPS and The Win Zone


PLAYSTUDIOS also continued advancing its playSWEEPS initiatives, including the rollout of The Win Zone. The Company reported that the service went live in all currently permissible jurisdictions during the fourth quarter of 2025. Management indicated that key product and operating criteria have now been satisfied, bringing into focus marketing efficacy and audience growth.


While it remains early and the Company is not yet prepared to forecast the pace or magnitude of growth, management is encouraged by the early performance of the offering.


In addition to The Win Zone, PLAYSTUDIOS has initiated development on the introduction of a sweepstakes proposition within its POP! Slots mobile application. The Company believes this will represent a significant enhancement to the game’s overall structure, player value proposition, and economic model. Current plans call for a late second quarter 2026 introduction, followed by a rich collection of feature enhancements over the balance of the year.


AI Enablement


As part of Reinvention’s second stage agenda, PLAYSTUDIOS is also continuing to invest in its AI infrastructure and adoption. The Company has been an active adopter of AI across its production pipelines and believes there are significant additional opportunities to improve productivity, enhance quality, stimulate growth, and expand margins through broader AI-first operating practices.


Pascal said, “We believe PLAYSTUDIOS must increasingly become AI-first in its thinking and applications. Over time, this should enable us to move faster, operate more efficiently, improve the quality of our execution, and ultimately generate greater profitability.”


Liquidity and Capital Allocation


As of December 31, 2025, the Company had cash and cash equivalents of $104.9 million. The Company maintains a very strong liquidity position, which provides the flexibility to invest in its strategic priorities, manage through this period of business transition, and potentially return capital to shareholders.


PLAYSTUDIOS also noted that it has approximately $40 million remaining under its existing stock repurchase authorization and may consider additional repurchases once its trading window reopens following the release of its first quarter 2026 financial results.


Outlook


Given the evolving performance of its legacy portfolio and the early-stage nature of its newer initiatives, the Company is not providing formal financial guidance at this time.


The Company noted, however, that it remains committed to transparency and accessibility. Management remains fully open to engaging with investors and analysts who wish to discuss the business in greater depth and will continue to provide updates on the Company’s progress as appropriate.


About PLAYSTUDIOS


PLAYSTUDIOS (Nasdaq: MYPS), creator of the groundbreaking myVIP loyalty program, is a publisher and developer of award-winning mobile games, including the iconic Tetris® mobile app, Tetris Block Party, Solitaire, Spider Solitaire, Sudoku, and its casino-style games such as POP! Slots, myVEGAS Slots, myVEGAS Blackjack, myKONAMI Slots, and myVEGAS Bingo. The myVIP loyalty platform offers its members the richest rewards in gaming and enables them to earn real-world rewards from a global collection of iconic hospitality, entertainment, and leisure brands. playAWARDS partners include MGM Resorts International, Norwegian Cruise Lines, Royal Caribbean Cruise Lines, Virgin Voyages, Topgolf, and Cirque du Soleil, among others. Founded by a team of veteran gaming, hospitality, and technology entrepreneurs, PLAYSTUDIOS apps combine the best elements of popular casual games with compelling real-world benefits. To learn more about PLAYSTUDIOS, visit playstudios.com.


Performance Indicators


We manage our business by regularly reviewing several key operating metrics to track historical performance, identify trends in player activity, and set strategic goals for the future. Our key performance metrics are impacted by several factors that could cause them to fluctuate on a quarterly basis, such as platform providers’ policies, seasonality, player connectivity, and the addition of new content to games. We believe these measures are useful to investors for the same reasons. The key performance indicators may differ from similarly titled measures presented by other companies. For more information on our key performance indicators, please refer to the definitions below and the “Supplemental Data—playGAMES Key Performance Indicators” and “Supplemental Data—playAWARDS Key Performance Indicators” sections of this press release.


Average Daily Active Users (“Average DAU”): Daily Active Users ("DAU") is defined as the number of individuals who played a game on a particular day. For Tetris and our free-to-play social casino games, we track DAU by the player ID, which is assigned for each game installed by an individual. As such, an individual who plays two of these games on the same day is counted as two DAU while an individual who plays the same game on two different devices is counted as one DAU. For our Brainium suite of casual games, we track DAU by app instance ID, which is assigned to each installation of a game on a particular device. As such, an individual who plays two different Brainium games on the same day is counted as two DAU and an individual who plays the same Brainium game on two different devices is also counted as two DAU. The term "Average DAU" is defined as the average of the DAU, determined as described above, for each day during the period presented. We use DAU and Average DAU as measures of audience engagement to help us understand the size of the active player base engaged with our games on a daily basis.


Average Monthly Active Users (“Average MAU”): Monthly Active Users ("MAU") is defined as the number of individuals who played a game in a particular month. As with DAU, an individual who plays two different non-Brainium games in the same month is counted as two MAU while an individual who plays the same non-Brainium game on two different devices is counted as one MAU, and an individual who plays two different Brainium games on the same month is counted as two MAU while an individual who plays the same Brainium game on two different devices is also counted as two MAU. The term "Average MAU" is defined as the average of the MAU, determined as described above, for each calendar month during the period presented. We use MAU and Average MAU as measures of audience engagement to help us understand the size of the active player base engaged with our games on a monthly basis.


Because DAU and MAU are calculated at the game or app-instance level, they reflect engagement at the title level rather than unique individuals across our entire portfolio, and a single individual may be counted multiple times if they engage with multiple games. In addition, these metrics are derived from a combination of internal tracking systems and third-party platform data, which may be subject to technical limitations, data discrepancies, or changes in platform reporting methodologies..


Average Daily Paying Users (“Average DPU”): Daily Paying Users ("DPU") is defined as the number of individuals who made a purchase of virtual currency or digital items within a game during a particular day. As with DAU and MAU, we track DPU based on account activity. As such, an individual who makes a purchase in two different games in a particular day is counted as two DPU while an individual who makes purchases in the same game on two different devices is counted as one DPU. The term "Average DPU" is defined as the average of the DPU, determined as described above, for each day during the period presented. We use DPU and Average DPU to help us understand the size of our active player base that makes in-game purchases and to assess monetization trends within our active player base. Consistent with DAU and MAU, DPU is calculated at the game level and may reflect multiple purchases by a single individual across different titles.


Daily Payer Conversion: Daily Payer Conversion is defined as DPU as a percentage of DAU on a particular day. Daily Payer Conversion is also sometimes referred to as "Percentage of Paying Users" or "PPU". The term "Average Daily Payer Conversion" is defined as the Average DPU divided by Average DAU for a given period. We use Daily Payer Conversion and Average Daily Payer Conversion to help us understand the monetization of our active players.


Average Daily Revenue Per DAU (“ARPDAU”): ARPDAU is defined for a given period as the average daily revenue per Average DAU, and is calculated as game-related revenue and advertising revenue attributable to the applicable period, divided by the number of days in the period, divided by the Average DAU during the period. We use ARPDAU as a measure of overall monetization of our active players. ARPDAU may fluctuate based on changes in pricing, player mix, advertising demand, and promotional activity.


playAWARDS Platform Metrics


Available Rewards: Available Rewards is defined as the monthly average number of unique rewards available in our applications’ rewards stores. A reward appearing in more than one application’s reward store is counted only once. A reward is counted only once irrespective of the inventory available through that reward. For example, one reward for a free night in a hotel room with ten rooms available for such free night is counted as one reward. Available Rewards only include real-world partner rewards and exclude PLAYSTUDIOS digital rewards. We use Available Rewards as a measure of the value and potential impact of the program for an interested player. We use Available Rewards as one indicator of the breadth of our loyalty offering.


Purchases: Purchases is defined as the total number of rewards purchased for the period identified in which a player exchanges loyalty points for a reward. Purchases are net of refunds. Purchases only include purchases of real-world partner rewards and exclude any PLAYSTUDIOS digital rewards. Purchases are redeemed by the player directly with the rewards partner within the specified terms and conditions of the reward. The Company does not recognize revenue from Purchases, as players redeem loyalty points rather than making cash payments. We use Purchases as a measure of audience interest and engagement with our playAWARDS platform.


Retail Value of Purchases: Retail Value of Purchases is defined as the cumulative retail value of all rewards listed as Purchases for the period identified. The retail value of each reward listed as Purchases is the retail value as determined by the partner upon creation of the reward. In the case where the retail value of a reward adjusts depending on time of redemption, the average retail value is used. Retail Value of Purchases only include the retail value of real-world partner rewards and exclude the cost of any PLAYSTUDIOS branded merchandise. Retail values are based on partner-provided estimates and may not reflect actual transaction prices or redemption experience. Retail value also does not represent revenue recognized by the Company. We use Retail Value of Purchases to help us understand the real-world value of the rewards that are purchased by our players in a particular period


Retail Value of Daily Rewards Inventory: Retail Value of Daily Rewards Inventory is defined as the cumulative retail value of all rewards listed as available for the period divided by the number days in the period. For rewards with unlimited inventory, the maximum of number of rewards used in the calculation is 50. The retail value of each reward listed as available is the retail value as specified by the rewards partner upon creation of the reward. Retail Value of Daily Rewards Inventory only includes the retail value of real-world partner rewards and excludes the cost of any PLAYSTUDIOS branded merchandise. We use Retail Value of Daily Rewards Inventory to help us understand the real-world value of the rewards within our playAWARDS platform.


Use of Non-GAAP Financial Measures


This press release includes certain non-GAAP financial measures, including Consolidated AEBITDA. These measures are intended to supplement, and should not be considered in isolation from, or as a substitute for, the Company’s GAAP results. A reconciliation of the non-GAAP measures to the most directly comparable GAAP measures is included in the accompanying financial tables.


To provide investors with information in addition to results as determined by GAAP, the Company discloses Consolidated Adjusted Earnings Before Interest Taxes Depreciation and Amortization (“Consolidated AEBITDA”) as a non-GAAP measure that management believes provides useful information to investors. This measure is not a financial measure calculated in accordance with GAAP and should not be considered as a substitute for revenue, net income or any other operating performance measure calculated in accordance with GAAP.


We define Consolidated AEBITDA as net income (loss) before interest, income taxes, depreciation and amortization, restructuring and related costs (consisting primarily of severance and other restructuring related costs), stock-based compensation expense, and other income and expense items (including special infrequent items, foreign currency gains and losses, and other non-cash items). We also present Consolidated AEBITDA Margin, a non-GAAP measure, which we calculate as Consolidated AEBITDA as a percentage of net revenue.


We believe that the presentation of Consolidated AEBITDA provides useful information to investors regarding the Company’s results of operations because the measure assists both investors and management in analyzing and benchmarking the performance and value of our business. Consolidated AEBITDA provides an indicator of performance that is not affected by fluctuations in certain costs or other items. Accordingly, management believes that this measure is useful for comparing general operating performance from period to period, and management relies on this measure for planning and forecasting of future periods. Additionally, this measure allows management to compare results with those of other companies that have different financing and capital structures. However, other companies may define Consolidated AEBITDA differently, and as a result, our measure of Consolidated AEBITDA may not be directly comparable to that of other companies. For further information regarding these non-GAAP measures, including the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, please refer to the “Reconciliation of Net Loss to Consolidated AEBITDA” section of this press release.


Forward-Looking Statements


This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements regarding the Company’s strategy, market opportunities, cost savings initiatives, restructuring initiatives and anticipated benefits, margin improvement, growth initiatives, product launches, sweepstakes opportunities, regulatory developments (including developments relating to sweepstakes and promotional gaming), AI adoption, stock repurchases, and future operating performance. These statements are based on current expectations and assumptions and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Factors that could cause actual results to differ materially include, among others, changes in market conditions, competitive pressures, regulatory developments, platform policy changes, user acquisition challenges, product performance, consumer demand, and other risks described in the Company’s filings with the Securities and Exchange Commission. The Company undertakes no obligation to update any forward-looking statements except as required by law.


SOURCE: PLAYSTUDIOS, Inc.




PLAYSTUDIOS, INC.




CONSOLIDATED STATEMENTS OF OPERATIONS




(Unaudited and in thousands, except per share data)








 






 






 






 








?






Three Months Ended December 31,






 






Year Ended December 31,








?






 






2025






 






 






 






2024






 






 






 






2025






 






 






 






2024






 








Net revenue






$






55,402






 






 






$






67,782






 






 






$






235,097






 






 






$






289,429






 








Operating expenses:






 






 






 






 






 






 






 








Cost of revenue(1)






 






13,496






 






 






 






17,865






 






 






 






57,467






 






 






 






72,716






 








Selling and marketing






 






15,012






 






 






 






13,867






 






 






 






55,475






 






 






 






64,623






 








Research and development






 






15,674






 






 






 






16,265






 






 






 






58,376






 






 






 






67,683






 








General and administrative






 






10,597






 






 






 






11,116






 






 






 






45,859






 






 






 






46,121






 








Depreciation and amortization






 






9,617






 






 






 






10,627






 






 






 






38,360






 






 






 






45,440






 








Restructuring and related






 






834






 






 






 






20,462






 






 






 






3,482






 






 






 






25,710






 








Total operating costs and expenses






 






65,230






 






 






 






90,202






 






 






 






259,019






 






 






 






322,293






 








Loss from operations






 






(9,828






)






 






 






(22,420






)






 






 






(23,922






)






 






 






(32,864






)








Other income (expense), net:






 






 






 






 






 






 






 








Change in fair value of warrant liabilities






 






119






 






 






 






(73






)






 






 






156






 






 






 






856






 








Change in fair value of contingent consideration






 






(2,946






)






 






 






(85






)






 






 






(4,968






)






 






 






(85






)








Interest income, net






 






174






 






 






 






981






 






 






 






2,943






 






 






 






4,902






 








Other (expense) income, net






 






(125






)






 






 






529






 






 






 






(910






)






 






 






(97






)








Total other (loss) income, net






 






(2,778






)






 






 






1,352






 






 






 






(2,779






)






 






 






5,576






 








Loss before income taxes






 






(12,606






)






 






 






(21,068






)






 






 






(26,701






)






 






 






(27,288






)








Income tax expense






 






(1,087






)






 






 






(1,344






)






 






 






(1,938






)






 






 






(1,399






)








Net loss






$






(13,693






)






 






$






(22,412






)






 






$






(28,639






)






 






$






(28,687






)








Net loss attributable to common stockholders per share:






 






 






 






 






 






 






 








Basic






$






(0.11






)






 






$






(0.18






)






 






$






(0.23






)






 






$






(0.22






)








Diluted






$






(0.11






)






 






$






(0.18






)






 






$






(0.23






)






 






$






(0.22






)








Weighted average shares of common stock outstanding:






 






 






 






 






 






 






 








Basic






 






126,312






 






 






 






124,794






 






 






 






125,679






 






 






 






129,438






 








Diluted






 






126,312






 






 






 






124,794






 






 






 






125,679






 






 






 






129,438






 






















 



(1) Amounts exclude depreciation and amortization.









PLAYSTUDIOS, INC.




CONSOLIDATED BALANCE SHEETS




(Unaudited and in thousands, except par value amounts)








 






 








 






December 31,








?






 






2025






 






 






 






2024






 








ASSETS






 






 






 








Current assets:






 






 






 








Cash and cash equivalents






$






104,935






 






 






$






109,179






 








Receivables, net






 






22,818






 






 






 






30,767






 








Prepaid expenses and other current assets






 






7,018






 






 






 






7,156






 








Total current assets






 






134,771






 






 






 






147,102






 








Property and equipment, net






 






13,426






 






 






 






16,118






 








Operating lease right-of-use assets






 






7,533






 






 






 






9,703






 








Intangibles assets and internal-use software, net






 






76,430






 






 






 






90,996






 








Goodwill






 






52,222






 






 






 






52,222






 








Other long-term assets






 






6,236






 






 






 






6,814






 








Total non-current assets






 






155,847






 






 






 






175,853






 








Total assets






$






290,618






 






 






$






322,955






 








LIABILITIES AND STOCKHOLDERS’ EQUITY






 






 






 








Current liabilities:






 






 






 








Accounts payable






 






1,493






 






 






 






1,518






 








Operating lease liabilities, current






 






3,656






 






 






 






3,405






 








Contingent consideration, current






 






5,561






 






 






 






—






 








Accrued and other current liabilities






 






32,468






 






 






 






44,495






 








Total current liabilities






 






43,178






 






 






 






49,418






 








Minimum guarantee liability






 






12,000






 






 






 






18,000






 








Operating lease liabilities, noncurrent






 






4,070






 






 






 






6,659






 








Contingent consideration, noncurrent






 






2,747






 






 






 






3,340






 








Other long-term liabilities






 






757






 






 






 






823






 








Total non-current liabilities






 






19,574






 






 






 






28,822






 








Total liabilities






$






62,752






 






 






$






78,240






 








Commitments and contingencies (Note 17)






?






 






?








Stockholders’ equity:






?






 






?








Preferred stock, $0.0001 par value (100,000 shares authorized, 0 shares issued and outstanding as of December 31, 2025 and December 31, 2024)






 






—






 






 






 






—






 








Class A common stock, $0.0001 par value (2,000,000 shares authorized, 131,823 and 127,734 shares issued, and 110,084 and 108,287 shares outstanding as of December 31, 2025 and December 31, 2024, respectively)






 






11






 






 






 






11






 








Class B common stock, $0.0001 par value (25,000 shares authorized, 16,457 and 16,457 shares issued and outstanding as of December 31, 2025 and December 31, 2024, respectively).






 






2






 






 






 






2






 








Additional paid-in capital






 






340,802






 






 






 






327,951






 








Accumulated deficit






 






(59,963






)






 






 






(31,324






)








Accumulated other comprehensive income (loss)






 






1,806






 






 






 






(632






)








Treasury stock, at cost, 21,739 and 19,450 shares at December 31, 2025 and December 31, 2024, respectively






 






(54,792






)






 






 






(51,293






)








Total stockholders’ equity






 






227,866






 






 






 






244,715






 








Total liabilities and stockholders’ equity






$






290,618






 






 






$






322,955






 









PLAYSTUDIOS, INC.




CONSOLIDATED STATEMENTS OF CASH FLOWS




(unaudited, in thousands)








 






 








?






Years Ended December 31,








?






 






2025






 






 






 






2024






 








Cash flows from operating activities:






$






26,340






 






 






$






45,740






 








Cash flows from investing activities:






 






 






 








Purchase of property and equipment






 






(968






)






 






 






(3,980






)








Additions to internal-use software






 






(15,525






)






 






 






(18,624






)








Assets acquired from business combination






 






—






 






 






 






(3,400






)








Other






 






(409






)






 






 






(290






)








Net cash used in investing activities






 






(16,902






)






 






 






(26,294






)








Cash flows from financing activities:






 






 






 








Proceeds from stock option exercises






 






122






 






 






 






287






 








Payments for tax withholding of stock-based compensation






 






(1,983






)






 






 






(2,705






)








Payment of minimum guarantee liabilities






 






(9,547






)






 






 






(8,295






)








Repurchases of treasury stock






 






(3,499






)






 






 






(31,200






)








Net cash used in financing activities






 






(14,907






)






 






 






(41,913






)








Foreign currency translation






 






1,240






 






 






 






(638






)








Net change in cash, cash equivalents, and restricted cash






 






(4,229






)






 






 






(23,105






)








Cash, cash equivalents, and restricted cash at beginning of period






 






109,784






 






 






 






132,889






 








Cash, cash equivalents, and restricted cash at end of period






$






105,555






 






 






$






109,784






 









PLAYSTUDIOS, INC.




RECONCILIATION OF NET LOSS TO CONSOLIDATED AEBITDA




(Unaudited and in thousands, except percentages)











The following table sets forth the reconciliation of net loss and net loss margin to Consolidated AEBITDA and Consolidated AEBITDA margin, respectively, which we calculate as Consolidated AEBITDA as a percentage of net revenue. Net loss is the most directly comparable GAAP measure.










 



?






Three Months Ended December 31,






 






Year Ended December 31,








?






 






2025






 






 






 






2024






 






 






 






2025






 






 






 






2024






 








Net revenue






$






55,402






 






 






$






67,782






 






 






$






235,097






 






 






$






289,429






 








 






 






 






 






 






 






 






 








Net loss






 






(13,693






)






 






 






(22,412






)






 






 






(28,639






)






 






 






(28,687






)








Net loss margin






 






(24.7






)%






 






 






(33.1






)%






 






 






(12.2






)%






 






 






(9.9






)%








Adjustments:






 






 






 






 






 






 






 








Depreciation & amortization






 






9,617






 






 






 






10,627






 






 






 






38,360






 






 






 






45,440






 








Income tax expense






 






1,087






 






 






 






1,344






 






 






 






1,938






 






 






 






1,399






 








Stock-based compensation expense






 






2,247






 






 






 






3,805






 






 






 






14,143






 






 






 






18,113






 








Change in fair value of warrant liability






 






(119






)






 






 






73






 






 






 






(156






)






 






 






(856






)








Change in fair value of contingent consideration






 






2,946






 






 






 






85






 






 






 






4,968






 






 






 






85






 








Restructuring and related(1)






 






834






 






 






 






20,462






 






 






 






3,482






 






 






 






25,710






 








Special infrequent(2)






 






2,274






 






 






 






—






 






 






 






3,524






 






?






 






—






 








Other(3)






 






(45






)






 






 






(1,511






)






 






 






(2,025






)






 






 






(4,655






)








Consolidated AEBITDA






 






5,148






 






 






 






12,473






 






 






 






35,595






 






 






 






56,549






 








Consolidated AEBITDA Margin






 






9.3






%






 






 






18.4






%






 






 






15.1






%






 






 






19.5






%









(1)







Amounts reported include internal reorganization costs, including severance-related costs, fees related to evaluating various merger and acquisition opportunities, and non-recurring legal costs.








(2)







Amount reported consists of a charitable contribution and a withholding tax assessment settlement.








(3)







Amounts reported in “Other, net” include interest expense, interest income, gains/losses from investments, foreign currency gains/losses, and non-cash gains/losses on the disposal of assets.









PLAYSTUDIOS, INC.




SUPPLEMENTAL DATA - SEGMENT INFORMATION




(Unaudited and in thousands, except percentages)











The following table sets forth the financial data for our reportable segments.








 






 






Three Months Ended December 31,






 






Year Ended December 31,








 






 






 






2025






 






 






 






2024






 






 






 






2025






 






 






 






2024






 








Net revenue






 






 






 






 






 






 






 






 








playGAMES






 






$






55,041






 






 






$






67,725






 






 






$






234,089






 






 






$






289,367






 








playAWARDS






 






 






361






 






 






 






57






 






 






 






1,008






 






 






 






62






 








Reportable segment net revenue






 






 






55,402






 






 






 






67,782






 






 






 






235,097






 






 






 






289,429






 








 






 






 






 






 






 






 






 






 








AEBITDA






 






 






 






 






 






 






 






 








playGAMES






 






 






10,459






 






 






 






16,470






 






 






 






58,641






 






 






 






85,074






 








playAWARDS






 






 






(1,645






)






 






 






(2,621






)






 






 






(8,700






)






 






 






(13,710






)








Reportable segment AEBITDA






 






 






8,814






 






 






 






13,849






 






 






 






49,941






 






 






 






71,364






 








 






 






 






 






 






 






 






 






 








Other operating expense






 






 






 






 






 






 






 






 








Corporate and other






 






 






3,665






 






 






 






1,375






 






 






 






14,346






 






 






 






14,815






 








Restructuring expenses






 






 






834






 






 






 






20,462






 






 






 






3,482






 






 






 






25,710






 








Other reconciling items






 






 






5






 






 






 






—






 






 






 






8






 






 






 






150






 








Stock-based compensation






 






 






2,247






 






 






 






3,805






 






 






 






14,143






 






 






 






18,113






 








Special infrequent






 






 






2,274






 






 






 






—






 






 






 






3,524






 






 






 






—






 








Depreciation and amortization






 






 






9,617






 






 






 






10,627






 






 






 






38,360






 






 






 






45,440






 








 






 






 






18,642






 






 






 






36,269






 






 






 






73,863






 






 






 






104,228






 








 






 






 






 






 






 






 






 






 








Non-operating income, net






 






 






 






 






 






 






 






 








Change in fair value of warrant liabilities






 






 






119






 






 






 






(73






)






 






 






156






 






 






 






856






 








Change in fair value of contingent consideration






 






 






(2,946






)






 






 






(85






)






 






 






(4,968






)






 






 






(85






)








Interest income, net






 






 






174






 






 






 






981






 






 






 






2,943






 






 






 






4,902






 








Other (expense) income, net






 






 






(125






)






 






 






529






 






 






 






(910






)






 






 






(97






)








 






 






 






(2,778






)






 






 






1,352






 






 






 






(2,779






)






 






 






5,576






 








 






 






 






 






 






 






 






 






 








Loss before income taxes






 






 






(12,606






)






 






 






(21,068






)






 






 






(26,701






)






 






 






(27,288






)








Income tax expense






 






 






(1,087






)






 






 






(1,344






)






 






 






(1,938






)






 






 






(1,399






)








Net loss






 






$






(13,693






)






 






$






(22,412






)






 






$






(28,639






)






 






$






(28,687






)








 






 






 






 






 






 






 






 






 








Segment AEBITDA margin:






 






 






 






 






 






 






 






 








playGAMES






 






 






19.0






%






 






 






24.3






%






 






 






25.1






%






 






 






29.4






%








playAWARDS






 






nm






 






nm






 






nm






 






nm








 






 






 






 






 






 






 






 






 








nm - not meaningful






 






 






 






 






 






 






 






 









PLAYSTUDIOS, INC.




SUPPLEMENTAL DATA - NET REVENUE




(Unaudited and in thousands, except percentages)











The following tables summarizes the Company’s virtual currency revenue disaggregated by type and by platform:









 






 






 






 






 






 






 






 






 






 






 








?






Three Months Ended December 31,






?






?






?






?






 






Year Ended December 31,






?






?






?






?








?






2025






 






2024






?






Change






?






% Change






 






2025






 






2024






?






Change






?






% Change








Net revenue






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








Virtual currency






43,933






 






 






54,643






 






 






(10,710






)






 






(19.6






%)






 






189,367






 






 






228,930






 






 






(39,563






)






 






(17.3






%)








Advertising






11,460






 






 






13,136






 






 






(1,676






)






 






(12.8






%)






 






45,708






 






 






60,197






 






 






(14,489






)






 






(24.1






%)








Other revenue






8






 






 






3






 






 






5






 






 






166.7






%






 






22






 






 






302






 






 






(280






)






 






(92.7






%)








Total net revenue






55,401






 






 






67,782






 






 






 






 






 






 






235,097






 






 






289,429






 






 






 






 






 








 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








Virtual currency revenue






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








Third party platforms






35,638






 






 






49,914






 






 






(14,276






)






 






(28.6






%)






 






161,737






 






 






213,467






 






 






(51,730






)






 






(24.2






%)








Direct-to-consumer (DTC) platforms






8,317






 






 






4,707






 






 






3,610






 






 






76.7






%






 






27,630






 






 






15,464






 






 






12,166






 






 






78.7






%








Total virtual currency revenue






43,955






 






 






54,621






 






 






 






 






 






 






189,367






 






 






228,931






 






 






 






 






 








 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








DTC revenue as a percentage of virtual currency revenue






18.9






%






 






8.6






%






 






10.3






%






 






119.8






%






 






14.6






%






 






6.8






%






 






7.8






%






 






114.7






%









PLAYSTUDIOS, INC.




SUPPLEMENTAL DATA – PLAYGAMES KEY PERFORMANCE INDICATORS




(Unaudited and in thousands, except percentages and ARPDAU)








 






 






 






 






 






 






 






 






 






 






 






 








?






Three Months Ended December 31,






?






?






?






?






 






Year Ended December 31,






?






?






?






?








?






 






2025






 






 






 






2024






 






?






Change






?






% Change






 






 






2025






 






 






 






2024






 






?






Change






?






% Change








Average DAU






 






2,035






 






 






 






2,723






 






 






 






(688






)






 






(25.3






%)






 






 






2,305






 






?






 






3,100






 






 






 






(795






)






 






(25.6






%)








Average MAU






 






8,521






 






 






 






11,472






 






 






 






(2,951






)






 






(25.7






%)






 






 






9,865






 






?






 






13,120






 






 






 






(3,255






)






 






(24.8






%)








Average DPU






 






18






 






 






 






22






 






 






 






(4






)






 






(18.2






%)






 






 






19






 






 






 






24






 






 






 






(5






)






 






(20.8






%)








Average Daily Payer Conversion






 






0.9






%






 






 






0.8






%






 






0.1 pp






 






12.5






%






 






 






0.8






%






?






 






0.8






%






 






— pp






 






—






%








ARPDAU (in dollars)






$






0.30






 






 






$






0.27






 






 






$






0.03






 






 






11.1






%






 






$






0.28






 






?






$






0.26






 






 






$






0.02






 






 






7.7






%








pp = percentage points






?






?






?






?






?






?






?






 






?






?






?






?






?






?






?









PLAYSTUDIOS, INC.




SUPPLEMENTAL DATA – PLAYAWARDS KEY PERFORMANCE INDICATORS




(Unaudited and in thousands, except percentages and available rewards)








 






 






 






 






 






 






 






 






 






 






 






 








?






Three Months Ended December 31,






?






?






?






?






 






Year Ended December 31,






?






?






?






?








?






2025






 






2024






?






Change






?






% Change






 






2025






 






2024






?






Change






?






% Change








Available Rewards (in units)






 






378






 






 






471






 






 






(93






)






 






(19.7






%)






 






 






350






 






 






525






 






 






(175






)






 






(33.3






%)








Purchases (in units)






 






169






 






 






301






 






 






(132






)






 






(43.9






%)






 






 






852






 






 






1,772






 






 






(920






)






 






(51.9






%)








Retail Value of Purchases (in dollars)






$






15,030






 






$






17,158






 






$






(2,128






)






 






(12.4






%)






 






$






59,372






 






$






114,135






 






$






(54,763






)






 






(48.0






%)








Retail Value of Daily Rewards Inventory






$






2,724






 






$






2,423






 






$






301






 






 






12.4






%






 






$






2,552






 






$






2,077






 






$






475






 






 






22.9






%







 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260316139008/en/
PLAYSTUDIOS CONTACTS


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Original: PLAYSTUDIOS, Inc. Announces Fourth Quarter and Full Year 2025 Results