DoubleDown Interactive Co Ltd (DDI) 2025 Q1 法說會逐字稿

Good afternoon, and welcome to DoubleDown Interactive earnings conference call for the first quarter ended March 31, 2025. My name is Michelle, and I will be your operator this afternoon.

下午好，歡迎參加 DoubleDown Interactive 2025 年 3 月 31 日結束的第一季財報電話會議。我叫米歇爾，今天下午我將擔任您的接線生。

Prior to this call, DoubleDown issued its financial results for the first quarter of 2025 in a press release, a copy of which is available in the Investor Relations section of the company's website at www.doubledowninteractive.com. You can find the link to the Investor Relations section at the top of the home page.

在本次電話會議之前，DoubleDown 在一份新聞稿中發布了其 2025 年第一季度的財務業績，該新聞稿的副本可在公司網站 www.doubledowninteractive.com 的投資者關係部分找到。您可以在主頁頂部找到投資者關係部分的連結。

Joining us on today's call are DoubleDown's CEO, Mr. In Keuk Kim and its CFO, Mr. Joe Sigrist, following their remarks, we will open the call for your questions. Before we begin, Richard Land, the company's Investor Relations adviser will make a brief introductory statement. Mr.Land?

參加今天電話會議的有 DoubleDown 執行長 In Keuk Kim 先生和財務長 Joe Sigrist 先生，在他們發言之後，我們將開始回答大家的問題。在我們開始之前，公司投資者關係顧問理查德·蘭德 (Richard Land) 將做一個簡短的介紹性演講。蘭德先生？

Thank you, Michelle. Before management begins their formal remarks, we need to remind everyone that some of management's comments today will be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended, and we hereby claim the protection of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

謝謝你，米歇爾。在管理階層開始正式發言之前，我們需要提醒大家，管理階層今天的部分評論將屬於經修訂的 1933 年證券法第 27A 節和經修訂的 1934 年證券交易法第 21E 節所定義的前瞻性陳述，我們在此要求受到 1995 年私人證券訴訟改革法案安全港條款的保護。

Forward-looking statements or statements about future events and include expectations and projections, not present or historical facts and can be identified by the use of words such as may, might, will, expect, assume, believe, intend, estimate, continue, should, anticipate, or other similar terms.

前瞻性陳述或關於未來事件的陳述包括期望和預測，而非現在或歷史事實，可以透過使用諸如可能、也許、將、預期、假設、相信、打算、估計、繼續、應該、預期或其他類似術語來識別。

Forward-looking statements include and are not limited to those regarding the company's future plans, mergers and acquisition strategy, strategic and financial objectives, expected performance and financial outlook. Forward-looking statements are subject to numerous risks and uncertainties that could cause actual results to differ materially and adversely from what the company expects.

前瞻性陳述包括但不限於有關公司未來計劃、併購策略、策略和財務目標、預期業績和財務前景的陳述。前瞻性陳述受多種風險和不確定性的影響，可能導致實際結果與公司預期有重大不利差異。

Therefore, you should exercise caution in interpreting and relying on them. We refer you to DoubleDown's annual report on Form 20-F filed with the SEC on April 21, 2025, and and other SEC filings for a more detailed discussion of the risks that could impact future operating results and financial condition.

因此，您在解釋和依賴它們時應謹慎。我們請您參閱 DoubleDown 於 2025 年 4 月 21 日向美國證券交易委員會提交的 20-F 表年度報告以及其他美國證券交易委員會文件，以更詳細地討論可能影響未來經營業績和財務狀況的風險。

These forward-looking statements are made only as of the date of this call. The company does not undertake and expressly disclaims any obligation to update or alter the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

這些前瞻性陳述僅截至本次電話會議之日作出。本公司不承擔並明確否認任何更新或修改前瞻性聲明的義務，無論是由於新資訊、未來事件或其他原因，除非法律要求。

As noted in this afternoon's press release, beginning with the 2024 fourth quarter, DoubleDown is reporting its financial results in accordance with IFRS. As such, the financial results for the 2024 first quarter reflect IFRS and as the comparable period for 2024. Previously, the company reported its financial results in accordance with GAAP accounting standards, the change to IFRS aligns DoubleDown's financial reporting with the financial reporting standards of its controlling shareholder in Korea.

如同今天下午的新聞稿所述，從 2024 年第四季開始，DoubleDown 將按照 IFRS 報告其財務表現。因此，2024 年第一季的財務表現反映了 IFRS 並作為 2024 年的可比時期。此前，該公司按照 GAAP 會計準則報告其財務業績，而採用 IFRS 則使 DoubleDown 的財務報告與其韓國控股股東的財務報告準則保持一致。

During today's call, management will discuss non-IFRS financial measures, which are believed by management to be useful in evaluating the company's operating performance. These measures should not be considered superior to in isolation or as a substitute for the financial results prepared in accordance with IFRS. A full reconciliation of these measures to the most directly comparable IFRS measure is available in the earnings release issued this afternoon.

在今天的電話會議上，管理階層將討論非國際財務報告準則的財務指標，管理階層認為這些指標有助於評估公司的營運表現。這些措施不應被視為優於單獨的措施或取代根據國際財務報告準則所編製的財務結果。今天下午發布的收益報告中提供了這些指標與最直接可比較的 IFRS 指標的完整對帳。

I would like to remind everyone that this call is being recorded and will be made available for replay via a link in the Investor Relations section of DoubleDown's website.

我想提醒大家，本次通話將被錄音，並將透過 DoubleDown 網站投資者關係部分的連結提供重播。

With that, it's now my pleasure to turn the call over to DoubleDown CEO, In Keuk Kim?

現在我很高興將電話轉給 DoubleDown 執行長 In Keuk Kim？

Thank you, Rich. Good afternoon, everyone. Thank you for joining us on our 2025 first quarter earnings call. This afternoon, we reported first quarter results with consolidated revenue of $83.5 million and adjusted EBITDA of $30.8 million. Q1 revenue was comprised of $17.3 million generated by our social casino free play games and $13.2 million generated by our iGaming business SuperNation.

謝謝你，里奇。大家下午好。感謝您參加我們的 2025 年第一季財報電話會議。今天下午，我們公佈了第一季業績，綜合收入為 8,350 萬美元，調整後 EBITDA 為 3,080 萬美元。問題 1收入包括我們的社交賭場免費遊戲產生的 1730 萬美元和我們的 iGaming 業務 SuperNation 產生的 1320 萬美元。

In Q1, we again executed on our key operating priority of driving a high conversion of revenue to profit and cash flow as cash flow from operations were $41.1 million, up more than $5 million from Q1 2024. This strong conversion of revenue to cash flow is a hallmark for DoubleDown, and we will continue to focus on the year. Even as we comp against the strong social casino performance we had last year, and we also continue to expect strong cash flow conversion even as we continue to increase marketing to acquire new players at SuperNation.

在第一季度，我們再次執行了我們的關鍵營運重點，即推動收入向利潤和現金流的高轉化，因為營運現金流為 4,110 萬美元，比 2024 年第一季度增加了 500 多萬美元。收入向現金流的強勁轉化是 DoubleDown 的標誌，我們將繼續關註今年的情況。即使與去年強勁的社交賭場表現相比，我們仍然預計現金流轉換將保持強勁，儘管我們將繼續加強行銷以吸引 SuperNation 的新玩家。

Despite the decline in revenue from our social casino business, our reflected DoubleDown casino app continues to be the engine for profit and cash flow generation. In Q1, while average DAUs and MAUs were down from last year, we continue to have strong performance in our most important monetization including ARPDAU and payer conversion rate, which both increased compared to Q1 of 2024 and were in line with Q4 2024.

儘管我們的社交賭場業務收入有所下降，但我們所反映的 DoubleDown 賭場應用程式仍然是利潤和現金流的引擎。在第一季度，雖然平均 DAU 和 MAU 較去年有所下降，但我們在最重要的貨幣化方面繼續表現強勁，包括 ARPDAU 和付費者轉換率，這兩個指標均較 2024 年第一季度有所增長，與 2024 年第四季度持平。

And while average monthly revenue per payer was down slightly year-over-year and sequentially, it remains at the level we believe is at or near the top of the industry. The key driver of our strong monetization metrics continues to be our consistent focus on enhancing the entertainment value of DoubleDown Casino to drive player and payer retention.

儘管每位付款人的平均月收入同比和環比略有下降，但我們認為仍處於或接近行業最高水平。我們強勁的貨幣化指標的關鍵驅動力仍然是我們始終致力於提高 DoubleDown Casino 的娛樂價值，以推動玩家和付款人的保留。

And we continue to invest in marketing activities focused on the retention of existing players and reactivation of left payers. We also continue to focus on increasing direct-to-consumer revenue in our social casino operations, which further enhances profitability as we offer players in different ways to make purchases. In Q1, direct-to-consumer revenue was over 10% of our social casino business as we work to achieve our target for 2025, which is to exceed 15%.

我們將繼續投資行銷活動，重點是留住現有玩家並重新啟動剩餘付費玩家。我們也持續致力於增加社交賭場營運中的直接面向消費者的收入，透過為玩家提供不同的購買方式，進一步提高獲利能力。在第一季度，直接面向消費者的收入占我們社交賭場業務的 10% 以上，我們正​​在努力實現 2025 年的目標，超過 15%。

Turning to SuperNation. Q1 revenues of $13.2 million represents the highest quarterly performance of the business since our acquisition in late 2023 and was up over $4 million from the first quarter of 2024. SuperNation continues to see success in both the UK and Sweden, driven by increases in our new player application investment.

轉向 SuperNation。第一季的營收為 1,320 萬美元，這是我們自 2023 年底收購以來的最高季度業績，比 2024 年第一季成長了 400 多萬美元。由於我們對新玩家應用程式投資的增加，SuperNation 在英國和瑞典繼續取得成功。

The success we have had to date with scaling SuperNation confirms our rationale for the acquisition, and we see additional significant opportunity to further scale in existing markets given as we look to expand in other regulated European iGaming market.

到目前為止，我們在擴大 SuperNation 規模方面的成功證實了我們收購的理由，而且，隨著我們尋求在其他受監管的歐洲 iGaming 市場擴張，我們看到了在現有市場進一步擴大規模的更多重大機會。

Our experience in owning and operating SuperNation over the last 18 months, and our success with integrating the operations and more recently, driving very healthy results of top line growth makes us increasingly confident that we can leverage our core strengths, financial discipline and strong balance sheet to further diversify our company into new gaming categories that have highly addressable market opportunity.

我們在過去 18 個月中擁有和經營 SuperNation 的經驗，以及我們在整合營運方面的成功以及最近推動的非常健康的營收成長，使我們越來越有信心，我們可以利用我們的核心優勢、財務紀律和強大的資產負債表，進一步使我們的公司多元化，進入具有高度可尋址市場機會的新遊戲類別。

Along those lines, we continue to engage in discussions regarding potential acquisitions that meet our criteria for expanding our operations into new markets while further diversifying our revenue and cash flow sources to create new value for shareholders.

沿著這一思路，我們將繼續討論符合我們標準的潛在收購，以將我們的業務擴展到新市場，同時進一步實現收入和現金流來源多元化，為股東創造新的價值。

Regarding our internal game development efforts, after extensive testing, we have decided to not move forward with the commercial launch of our new match-three-style game. Given our metro of focusing on ensuring we can deliver strong player engagement and monetization to ensure we drive cash flow generation.

關於我們內部的遊戲開發工作，經過廣泛的測試後，我們決定不再繼續推出我們的新三消類遊戲的商業版本。鑑於我們的重點是確保我們能夠提供強大的玩家參與度和貨幣化，以確保我們推動現金流的產生。

We will be very disciplined around the launch of new games in new categories and will do so only ran our extended testing provides the evidence that a new game it our broader business priorities. We continue to develop new game concepts and look forward to evaluating them in trials over the next several months.

我們將非常嚴格地推出新類別的新遊戲，並且只會進行擴展測試以證明新遊戲符合我們更廣泛的業務重點。我們將繼續開發新的遊戲概念，並期待在接下來的幾個月內對其進行試驗評估。

Now I will turn it over to our CFO, Joe Sigrist to walk us through our financial providing my closing remarks. Joe?

現在，我將把時間交給我們的財務長喬·西格里斯特 (Joe Sigrist)，讓他向我們介紹我們的財務狀況，並做最後的總結發言。喬？

Thank you, Ike, and good afternoon, everyone. As Rich mentioned earlier, beginning with the fourth quarter of 2024, we are now reporting our financial results in accordance with IFRS and the comparisons of our 2025 first quarter results to 2024 first quarter results reflect that change for the prior year period under IFRS.

謝謝你，艾克，大家下午好。正如 Rich 先前所提到的，從 2024 年第四季開始，我們將按照 IFRS 報告我們的財務業績，而 2025 年第一季業績與 2024 年第一季業績的比較反映了 IFRS 下去年同期的變化。

The financial statement implications and switching to IFRS from GAAP are generally insignificant. With the biggest change being how our leases are treated as some amounts are now included in depreciation and amortization under IFRS. This generally makes our reported adjusted EBITDA slightly higher.

從 GAAP 到 IFRS 的財務報表影響通常不大。最大的變化在於我們的租賃如何處理，因為根據國際財務報告準則，現在某些金額已包含在折舊和攤提中。這通常會使我們報告的調整後 EBITDA 略高。

Our revenues for the first quarter of 2025, as IK mentioned, were $83.5 million and were comprised of $70.3 million in revenues from our social casino free-to-play games and $13.2 million of revenues from SuperNation. This compares to total company revenues of $88.1 million last year. On a year-over-year basis, as expected, given our strong social casino performance in Q1 last year, social casino revenues declined 12% and while our iGaming revenues increased 59%.

正如 IK 所提到的，我們 2025 年第一季的收入為 8350 萬美元，其中包括來自社交賭場免費遊戲的 7030 萬美元收入和來自 SuperNation 的 1320 萬美元收入。相比之下，去年公司總收入為 8,810 萬美元。與去年同期相比，正如預期的那樣，鑑於我們去年第一季社交賭場的強勁表現，社交賭場收入下降了 12%，而我們的 iGaming 收入增長了 59%。

As IK noted, we continue to generate strong monetization in the business with several KPI metrics for our social casino business, improving again compared to the year ago period, including average revenue per daily active user, or ARPDAU, increased to $1.29 in Q1 2025 from $1.26 and in Q1 2024. Payer conversion, which is the percentage of players who pay within the social casino apps, increased to 6.9% in Q1 2025 compared to 6.4% in Q1 2024. And average monthly revenue per payer continued to be strong at $276 in Q1 2025, which is down just slightly from $281 in the prior year period.

正如 IK 所指出的，我們繼續透過社交賭場業務的幾個 KPI 指標實現強勁的業務盈利，與去年同期相比再次有所改善，包括每日活躍用戶平均收入（ARPDAU）從 2024 年第一季度的 1.26 美元增至 2025 年第一季度的 1.29 美元。付款人轉換率（即在社群賭場應用程式內付款的玩家百分比）從 2024 年第一季的 6.4% 上升至 2025 年第一季的 6.9%。2025 年第一季度，每位付款人的平均月收入持續保持強勁，達到 276 美元，較去年同期的 281 美元略有下降。

As noted on the fourth quarter call, industry revenues were forecast to decline in 2025. These industry forecasts, combined with our strong performance throughout 2024 and will make year-over-year social casino growth a challenge in 2025.

正如第四季度電話會議上所指出的，預計 2025 年行業收入將下降。這些行業預測，加上我們在 2024 年全年的強勁表現，將使 2025 年社交賭場的同比增長成為一項挑戰。

However, we have the right strategies in place, including our focus on product development improvements, live operation enhancements and marketing initiatives to support player retention and monetization to help us maintain our industry position. And as is our hallmark, our operating priorities for the social casino business will emphasize our focus on generating attractive margins and strong free cash flow.

然而，我們制定了正確的策略，包括專注於產品開發改進、即時營運增強和行銷舉措，以支持玩家保留和貨幣化，幫助我們保持行業地位。正如我們的標誌一樣，我們對社交賭場業務的營運重點將強調創造有吸引力的利潤率和強勁的自由現金流。

Operating expenses were $53.9 million for the first quarter of 2025 compared to $67.0 million in the first quarter of 2024. We had lower research and development expenses for our social casino free-to-play operations and a decline in the cost of revenue reflecting the lower revenue in the period which were partially offset by higher general and administrative expenses.

2025 年第一季的營運費用為 5,390 萬美元，而 2024 年第一季的營運費用為 6,700 萬美元。我們的社交賭場免費遊戲業務的研發費用較低，收入成本下降反映了本期收入的降低，但部分被一般及行政費用的增加所抵消。

Sales and marketing expenses for the first quarter of 2025 were $14.3 million, compared to $15.1 million in the first quarter of 2024. In Q1, we continue to focus on optimizing spending to acquire new players for our flagship social casino app, DoubleDown Casino. This focus helps us maintain margins in the business as the cost to acquire new players continues to rise due to, we believe, the large investments now being made by sweepstakes, games publishers.

2025 年第一季的銷售和行銷費用為 1,430 萬美元，而 2024 年第一季為 1,510 萬美元。在第一季度，我們繼續專注於優化支出，為我們的旗艦社交賭場應用程式 DoubleDown Casino 吸引新玩家。我們認為，由於抽獎活動和遊戲發行商的巨額投資，獲取新玩家的成本持續上升，因此這種關注有助於我們維持業務利潤率。

At the same time, we continued to increase sales and marketing spending for super nation focused on the acquisition of new players, primarily in the UK and Sweden, and you can see the positive impact in the recent results we've seen with SuperNation.

同時，我們繼續增加超級國家的銷售和行銷支出，重點是招募新球員，主要是在英國和瑞典，您可以從我們最近看到的 SuperNation 的業績中看到積極的影響。

Profit, excluding noncontrolling interest for the first quarter of 2025 was $23.9 million or $9.65 per diluted share and $0.48 per ADS compared to profit excluding noncontrolling interest of $30.3 million or $12.24 per diluted share and $0.61 per ADS in the first quarter of 2024.

2025 年第一季不包括非控股權益的利潤為 2,390 萬美元，即每股攤薄收益 9.65 美元，每股美國存託憑證收益為 0.48 美元，而 2024 年第一季不包括非控股權益的利潤為 3,030 萬美元，即每股攤薄收益 12.24 美元，每股盈餘美國 12.60.100.12 美元。

Adjusted EBITDA for the first quarter of 2025 was $30.8 million compared to $32.7 million for the prior year quarter. Adjusted EBITDA margin was 36.9% for Q1 2025 as compared to 37.1% in Q1 2024. Net cash flows provided by operating activities in Q1 2025 were $41.1 million compared to $35.7 million in Q1 2024.

2025 年第一季調整後 EBITDA 為 3,080 萬美元，而去年同期為 3,270 萬美元。2025 年第一季調整後 EBITDA 利潤率為 36.9%，而 2024 年第一季為 37.1%。2025 年第一季經營活動提供的淨現金流為 4,110 萬美元，而 2024 年第一季為 3,570 萬美元。

And finally, turning to our balance sheet. As of March 31, 2025, we had $455.7 million in cash, cash equivalents and short-term investments with a net cash position at quarter end of approximately $422 million or approximately $8.51 per ADS. That completes my financial summary.

最後，來看看我們的資產負債表。截至 2025 年 3 月 31 日，我們擁有 4.557 億美元的現金、現金等價物和短期投資，季末的淨現金狀況約為 4.22 億美元，或每股 ADS 約 8.51 美元。我的財務摘要到此結束。

Now I'll turn the call back to IK for closing remarks.

現在我將把電話轉回給 IK，請他作最後發言。

Thank you, Joe. As highlighted in our Q1 results, our data plan in investing as appropriate in our two main business allows DoubleDown to continue generating strong profitability and free cash flow. We will maintain our capital efficiency discipline going forward as we focus on both product improvements and live-up enhancements in DoubleDown Casino to maintain its strong competitive position.

謝謝你，喬。正如我們第一季業績所強調的那樣，我們對兩大主要業務進行適當投資的數據計劃使 DoubleDown 能夠繼續產生強勁的盈利能力和自由現金流。我們將繼續保持資本效率紀律，同時專注於 DoubleDown Casino 的產品改進和現場增強，以保持其強大的競爭地位。

For SuperNation, we will continue to selectively increase our investments in new player acquisition as we target additional top line growth this year. It is important to note that at scale, iGaming businesses can be highly profitable and our execution today is moving us closer and closer towards achieving that needed level of scale.

對於 SuperNation，我們將繼續有選擇地增加對新球員招募的投資，因為我們今年的目標是實現額外的收入成長。值得注意的是，從規模來看，iGaming 業務可以帶來高額利潤，而我們今天的執行力正使我們越來越接近實現所需的規模水準。

In closing, we expect to expand our track record of consistently generating attractive free cash flow this year. As we do so, we will further strengthen our balance sheet and the foundation we have established to pursue growth by exploring opportunities in adjacent gaming categories through our in-house development efforts and through potential M&A opportunities.

最後，我們預計今年我們將進一步擴大持續產生有吸引力的自由現金流的記錄。在此過程中，我們將透過內部開發努力和潛在的併購機會探索相鄰遊戲類別的機會，進一步加強我們的資產負債表和為追求成長而建立的基礎。

We are now happy to take your questions. Michelle. Operator?

我們現在很高興回答您的問題。米歇爾。操作員？

Hi Michelle, are you there?

嗨，米歇爾，你在嗎？

No, Michelle, we cannot hear you. Just ask if you want to stand by the operators just having trouble with her phone. So we'll just give her a minute to try and fix that and then we'll get to Q&A.

不，米歇爾，我們聽不到你說話。只需詢問您是否願意支援遇到電話問題的接線員。因此，我們只需給她一分鐘時間來嘗試解決這個問題，然後我們再進行問答。

Okay, thanks, Rich.

好的，謝謝，Rich。

(Operator Instructions) Aaron Lee, Macquarie.

（操作員指示）麥格理的 Aaron Lee。

Hey, good afternoon, thanks for taking my question. Nice job on the SuperNation growth this quarter. Can you just speak to what trends you're seeing in SuperNations markets? And are there any major sporting events we should be mindful of that are important from either a handle or a customer acquisition standpoint?

嘿，下午好，感謝您回答我的問題。本季 SuperNation 的成長表現良好。您能談談您在 SuperNations 市場看到的趨勢嗎？那麼，從交易或客戶獲取的角度來看，有哪些重要的大型運動賽事值得我們關注呢？

Well, I mean the continued benefit of the quick ROI attributed to the investment in acquiring new players has been what's allowed us to continue to feel good about investing in marketing and to scale that. We spent quite a bit of money from a marketing perspective in Q1 on SuperNation. And you'll actually see that sequentially the sales and marketing spend for the company went up quite a bit. And the bulk of that increase from Q4 was in what we spent with SuperNation.

嗯，我的意思是，透過投資獲取新玩家而獲得的快速投資回報的持續收益讓我們能夠繼續對投資行銷感到滿意並擴大規模。從行銷角度來看，我們在第一季在 SuperNation 上花費了相當多的資金。實際上你會發現，公司的銷售和行銷支出連續大幅增加。第四季的成長大部分來自於我們在 SuperNation 上的支出。

But again, the really good news is the very rapid payback that we've seen with that, and that includes both in Sweden and in the UK. And given that they're really a very small fishing in both those markets, gives them kind of room to run relative to growing market share from a very small current number. And so from that standpoint, I think we're just really, really pleased with the execution of the monetization of new players.

但真正好消息是，我們看到了非常迅速的回報，包括瑞典和英國。考慮到他們在這兩個市場上的份額都非常小，相對於從目前很小的數量中擴大市場份額，他們有一定的發展空間。因此從這個角度來看，我認為我們對新玩家貨幣化的執行情況非常非常滿意。

I'm sorry, Aaron, could you repeat your question about sporting events?

抱歉，Aaron，你能重複一下關於體育賽事的問題嗎？

Yes. Just wondering if there's any major events we should be mindful of that are coming up that are either important from a handle or a customer acquisition standpoint. Thanks.

是的。只是想知道是否有任何重大事件值得我們注意，這些事件從處理或客戶獲取的角度來看都很重要。謝謝。

Actually, our revenue portion is lots of portion of the slots.

實際上，我們的收入很大一部分來自老虎機。

It's all iGaming. So yes, there's no event-based I don't know from a marketing promotion standpoint, there may be some time in from an advertising perspective, but this is all slots. So it's just really the engagement of our players and their excitement to be playing slot games.

一切都是 iGaming。所以是的，沒有基於事件的我不知道從行銷推廣的角度來看，從廣告的角度來看可能會有一些時間，但這都是時段。所以這其實只是我們玩家的參與度以及他們玩老虎機遊戲的興奮感。

Got you. Okay. That makes sense. And then just looking for an update from an M&A perspective, has anything changed in terms of the opportunities or your focus, especially given all the experience you have now growing SuperNation, and can you speak to the dynamics of the M&A environment? Has the current macro uncertainty changed anything there?

明白了。好的。這很有道理。然後從併購的角度來看最新情況，就機會或關注點而言，有什麼變化嗎，特別是考慮到您現在發展 SuperNation 的所有經驗，您能談談併購環境的動態嗎？當前的宏觀不確定性是否改變了什麼？

Yes. No, I think the flow of opportunities continues. And that is inclusive of both free-to-play or kind of mobile, call it, mobile gaming, if you will, as well as iGaming. And we've had a few iGaming opportunities across our desk recently, albeit small ones, but there's been interest. And I think as we get our name a SuperNation and DoubleDown gets its name more more well known in the iGaming space, I think we're going to see potentially even more opportunities on the iGaming side.

是的。不，我認為機會還在繼續出現。這包括免費遊戲或行動遊戲，如果你願意的話，可以稱之為行動遊戲，以及 iGaming。最近，我們遇到了一些 iGaming 機會，雖然規模不大，但人們還是很感興趣。我認為，隨著我們的名字變成 SuperNation，而 DoubleDown 在 iGaming 領域越來越出名，我們將在 iGaming 方面看到更多潛在的機會。

But as we've said in the past, we're not only looking at iGaming, although we do now have, I think, with SuperNation, a really nice platform to build from, especially in Western Europe. But we're also obviously looking at the casual games opportunities as well, and those continue. So I don't think anything has changed recently. I don't see a drop off in either interest or certainly in people pitching us, which I think is always a good thing.

但正如我們過去所說的那樣，我們關注的不僅僅是 iGaming，儘管我認為我們現在有了 SuperNation，這是一個非常好的平台，尤其是在西歐。但我們顯然也在關注休閒遊戲的機會，而這些機會仍在繼續。所以我認為最近沒有任何變化。我沒有看到人們的興趣下降，當然也沒有看到人們向我們推銷產品的數量下降，我認為這始終是一件好事。

Okay, thank you. Appreciate the color.

好的，謝謝。欣賞色彩。

Josh Nichols, B. Riley.

喬許·尼可斯、B·萊利。

Yeah, thanks for taking my question. Just to dig a little bit deeper on the SuperNation, iGaming piece of the business, again, pretty phenomenal growth of almost 60%. Do you feel that this level of north of $13 million for the quarter is kind of like a base, and you would expect to expand that and commensurate with that, you expect that this like elevated level of sales and marketing to kind of persist for the foreseeable future? Effectively, do you think that the SuperNationnation business is going to be growing throughout the rest of the year from this current base that you just hit in 1Q. That's a new record.

是的，感謝您回答我的問題。深入挖掘 SuperNation 的 iGaming 業務，你會發現其成長率相當驚人，接近 60%。您是否認為本季 1300 萬美元以上的水平有點像一個基礎，並且您希望擴大這一水平並與之相稱，您是否預計這種高水平的銷售和營銷將在可預見的未來持續下去？實際上，您是否認為 SuperNationnation 業務將在今年剩餘時間內以第一季達到的當前基礎為基礎繼續成長？這是一個新紀錄。

Well, as I said, we are excited about what the returns have been in our investment in acquiring new players. And and frankly, haven't seen a drop from that more recently. So we would expect, unless something changes, to continue to be investing at or even above this level and to be seeing the requisite revenue result from that investment.

嗯，正如我所說的，我們對在招募新球員方面的投資所獲得的回報感到非常興奮。坦白說，最近並沒有看到下降。因此，除非發生某些變化，否則我們預計將繼續以這一水平甚至更高的水平進行投資，並看到該投資帶來必要的收入。

And that's still running to your point, I think, like EBITDA breakeven this year and then looking to EBITDA positive? Or is this higher revenue base going to push you to EBITDA profitability a little bit earlier than previously anticipated?

我認為這仍然符合您的觀點，例如今年的 EBITDA 盈虧平衡，然後期待 EBITDA 為正？或者更高的收入基礎是否會推動您比之前預期更早實現 EBITDA 盈利？

Well, and as we said in our remarks, I mean, we know that iGaming businesses at some point can be quite profitable at scale. We're not there yet to your point on being kind of at or even at this point at least slightly below EBITDA breakeven, but the way to both grow revenue and get to EBITDA positive is to continue to scale the business, and that's what we're really excited about doing the rest of the year.

嗯，正如我們在評論中所說的那樣，我的意思是，我們知道 iGaming 業務在某種程度上可以大規模地實現相當可觀的利潤。我們還沒有達到您所說達到或至少略低於 EBITDA 盈虧平衡點，但增加收入和實現 EBITDA 正增長的方法是繼續擴大業務規模，這也是我們在今年剩餘時間真正興奮的事情。

Yes. And then just touching on the social casino, I think you were pretty tough comp, right? Looking at this for like the first half of the year. They get a bit better in the second half. Any color on the expectations for what you're thinking in terms of like the rate of decline for that business? I know you said it would be difficult to grow, right, year-over-year given that it was expected to shrink.

是的。然後談到社交賭場，我認為你們的對手相當強，對嗎？看看今年上半年的狀況。下半場他們表現稍微好了一些。您對於該業務的下滑速度有何預期？我知道您說過，考慮到預計會萎縮，同比成長將會很困難。

But overall, is this 12% decline that you saw in 1Q expected to kind of abate a little bit and ultimately, in the back half gets to kind of like low single-digit decline or maybe even growth by the time we get to like 4Q?

但總體而言，您在第一季看到的 12% 的下降是否預計會有所減弱，並最終在下半年出現低個位數下降，或者到第四季度甚至出現增長？

Well, there's no doubt you've got it exactly right, Josh. There's no doubt that the first half of the year is the toughest comp for us and specifically the first quarter. And so I think that lends itself to the 12% compare with the most recently concluded quarter. The comps definitely do get easier in the second half of the year.

嗯，毫無疑問你的回答完全正確，喬希。毫無疑問，今年上半年對我們來說是最艱難的一年，尤其是第一季。因此，我認為與最近結束的季度相比，這一數字達到了 12%。今年下半年的競爭肯定會變得更容易。

I mean given what we've seen in the results of our peers even more recently. I think it's going to be a challenge to grow even in the second half of the year quarter-over-quarter. But I do think the compares do get better as we look to Q3 and certainly Q4.

我的意思是，根據我們最近看到的同行的結果。我認為，即使下半年實現季度環比成長也將是一個挑戰。但我確實認為，當我們展望第三季和第四季時，情況會變得更好。

And just last question for me. You mentioned it on the prepared remarks. The user acquisition cost has been getting a little bit more expensive on the social casino side, presumably because of elevated investments being made by some of the like six competitors.

這是我的最後一個問題。您在準備好的發言中提到了這一點。社交賭場方面的用戶獲取成本變得越來越高，大概是因為六家競爭對手中的一些公司加大了投資。

Are you seeing that -- is it really just impacting new user acquisition costs? Or are you seeing a little bit more churn of some of the existing legacy base that you guys have moving over to sweep stakes as opposed to social casino? Or is it just more on user acquisition costs, we're trying to bring new users into the funnel?

您是否看到了這一點——它真的只影響新用戶獲取成本嗎？或者您看到一些現有的傳統基礎的流失率有所增加，您已經將一些基礎轉移到了抽獎遊戲而不是社交賭場？或者這只是關於用戶獲取成本，我們正試圖將新用戶帶入通路？

Well, it's really hard -- I mean, it's a really good question, Josh. I mean it's really hard for us to tell what we may be losing from a player perspective. to sweepstakes. We just know that there's been no abatement in the aggressiveness that advertisers are are using to price, especially for social casino companies because they know how well we monetize and they, frankly, use that to set their pricing.

嗯，這真的很難——我的意思是，這是一個非常好的問題，喬希。我的意思是，從玩家的角度來看，我們很難判斷我們可能會失去什麼。參加抽獎活動。我們只知道廣告商在定價方面的動機沒有減弱，特別是對於社交賭場公司來說，因為他們知道我們的盈利能力如何，坦白說，他們利用這一點來設定價格。

And although it can't be scientifically confirmed, we do believe that part of that is because we are competing with those that are also doing sweepstakes. So that's really our theory around the impact of the sweepstakes apps on the pricing for new user acquisition.

儘管無法得到科學證實，但我們確實相信，部分原因是我們正在與那些同樣進行抽獎活動的人競爭。這就是我們關於抽獎應用對新用戶獲取定價的影響的理論。

Thank you.

謝謝。

(Operator Instructions) Greg Gibas, Northland Securities.

（操作員指示） Greg Gibas，Northland Securities。

Hey, good afternoon, IK and joe. Congrats on the strong SuperNation results. Thanks for taking the questions here. If I could just follow up on that, given that's nice strength, nice year-over-year growth, you spoke to liking the spend efficiency.

嘿，IK 和 joe，下午好。恭喜 SuperNation 取得優異成績。感謝您在這裡回答問題。如果我可以繼續跟進的話，考慮到這是一個很好的實力，很好的同比增長，你說過喜歡支出效率。

Would you say it's improving or kind of leveled out here? And I guess I would just ask, other than kind of the attractive return on your spend for player acquisition. Could you just maybe speak to any of the other drivers of the strength of SuperNation?

您認為這裡的情況正在改善還是趨於平穩？我想我只是想問一下，除了你在球員招募上花費的資金所帶來的誘人回報之外。您能否談談 SuperNation 實力的其他驅動因素？

Sure. Yeah, listen, I think the marketing story is such a good story and such a short-term driver that I appreciate you asking about other things that are going well at SuperNation, including product and some of the continued good work the team in Malta are doing from a product development standpoint. We've also really benefited from the fact that the company has three brands. And I know when we acquired the company, we talked about duals, there's a lot -- there is and continues to be a lot of excitement around duals.

當然。是的，聽著，我認為行銷故事是一個很好的故事，也是一個短期驅動力，我很感謝你詢問 SuperNation 進展順利的其他事情，包括產品以及馬耳他團隊從產品開發的角度所做的一些持續良好的工作。公司擁有三個品牌這一事實也讓我們受益匪淺。我知道，當我們收購這家公司時，我們談到了雙重技術，人們對雙重技術一直非常感興趣，而且這種興趣還在持續增長。

But they have two other brands that have shown to be quite strong as well. They're kind of more -- I don't want to use the term legacy brands, but brands that have been around and associated with the company for a little longer. And that the life of those brands has not dissipated frankly.

但他們另外兩個品牌也表現得相當強勁。它們更像是——我不想使用「傳統品牌」這個詞，而是已經存在並與公司關聯較長的品牌。並且坦白說這些品牌的生命力並未消散。

And so we've been able to lean in as we apply additional marketing dollars lean into those brands as well as the Duals brand. And so we're continuing to do product improvements and of course, refreshes and the various things that we do from a live op standpoint to as I said, to lean into all three of those brands.

因此，當我們將額外的行銷資金投入這些品牌以及 Duals 品牌時，我們就能夠做到這一點。因此，我們將繼續進行產品改進，當然還有更新，以及從現場運營的角度所做的各種事情，正如我所說的，傾向於這三個品牌。

Got it. Very helpful. If I could follow up to in your prepared remarks, you talked about not moving forward with the commercial launch of the new game. Maybe could you discuss what you're not happy with there? And do you have any other kind of in-house developments over the foreseeable future? And how should we maybe think about the time line of kind of new development?

知道了。非常有幫助。如果我可以跟進您準備好的發言，您談到了不再推進新遊戲的商業發布。也許您可以討論一下您不滿意的地方？在可預見的未來，您還有其他類型的內部發展嗎？我們該如何思考新發展的時間表？

Yes, correct. We currently have several new game concepts in development, and we've been expanding our capabilities, particularly in casual downness by incorporating AI-assisted products and pipelines. These tools allow us to iterate better and tap more ideas, which is especially valuable in today's environment. where user acquisition costs remain elevated.

是的，正確。我們目前正在開發幾個新的遊戲概念，並且我們一直在擴展我們的能力，特別是透過結合人工智慧輔助產品和管道在休閒娛樂方面的能力。這些工具使我們能夠更好地迭代並挖掘更多的想法，這在當今的環境中尤其有價值。用戶獲取成本仍然很高。

As said, we continue to take a very disciplined approach to greenlighting new titles. As we saw within recent Backstreet project, even well-developed concept may not meet our internal threshold for player engagement or monetization. We believe that long-term success in new categories is hire patients rigorous testing and our willingness to walk away when the data doesn't support a commercial launch.

正如我們所說，我們將繼續採取非常嚴謹的方式來批准新作品。正如我們在最近的 Backstreet 專案中看到的那樣，即使是完善的概念也可能無法滿足我們對玩家參與度或貨幣化的內部門門檻。我們相信，新領域的長期成功在於聘請患者進行嚴格的測試，當數據不支援商業發佈時，我們願意放棄。

So while we are optimistic about the tools and things, we are building we remain cautious and metrics driven in our execution. Our goal is not just to launch games. It's two large games that can sell profitably. Thank you.

因此，雖然我們對這些工具和事物持樂觀態度，但我們在執行過程中仍保持謹慎並以指標為導向。我們的目標不僅僅是推出遊戲。這是兩款能夠獲利的大型遊戲。謝謝。

Understood, thanks.

明白了，謝謝。

And this is going to conclude today's question-and-answer session. This is also going to conclude today's conference call. Thank you for participating, and you may now disconnect. Everyone, have a great day.

今天的問答環節到此結束。今天的電話會議也將到此結束。感謝您的參與，您現在可以斷開連接了。祝大家有個愉快的一天。

Thank you, Michelle. Thanks, everyone.

謝謝你，米歇爾。謝謝大家。