DoubleDown revenue and profit decline in Q1
Revenue for social casino game developer DoubleDown fell to $85.5m in Q1 2022 (£69.2m/€81m), a decrease that had a knock-on effect for the quarter's remaining results.
Revenue fell year-on-year by 11.5%, from $96.7m in Q1 2021. DoubleDown attributed this to stay-at-home orders - which were enforced due to the Covid-19 pandemic - being lifted throughout Q1 2022.
Operating expenses totaled at $60.8m, falling by 14.3% year-on-year. This was linked to the decrease in revenue. Revenue costs made up most of the expenses, at $28.8m, a decrease of 14.7%.
Sales and marketing costs made up $19.7m, remaining steady from Q1 2021, while general and administrative expenses rose by 22.4% to $5.2m.
Research and development costs fell to $4.6m from $5.6m, while depreciation and amortisation costs decreased significantly by 70.4% to $2.2m.
After considering this, the operating income for the quarter totaled at $24.6m, down by 3.6%.
Interest income and gain on foreign currency transactions and remeasurement added $2m to income. However, this was offset by a $1.7m loss in short-term investments, $470,000 in interest expenses and $35,000 in other costs.
The pre-tax income amounted to $24.5, down by 6%. After income tax expenses of $6m, the total net income for the quarter was $18.4m, a fall of 19.4%.
Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) came to $29.6m.