South Korea's DoubleDown Q2 revenue beats estimates, helped by WHOW Games contribution

DoubleDown Interactive

11/08/2026 21:23

Overview
South Korea digital games developer's Q2 revenue rose 11%, beating analyst expectations
Adjusted EBITDA for Q2 increased 17%, beating analyst expectations
Growth driven by WHOW Games acquisition and Direct-to-Consumer segment expansion

Outlook
Company says it is well positioned to build on success in the second half of 2026
DoubleDown highlights strong balance sheet and financial flexibility for strategic growth
Company continues to evaluate controlling shareholder's proposal; no assurance a transaction will occur

Result Drivers
WHOW GAMES ACQUISITION - Co said higher revenue and improved payer metrics were primarily due to contributions from WHOW Games, acquired in July 2025
DIRECT-TO-CONSUMER GROWTH - Co said DTC revenue rose sharply and accounted for over 50% of social casino revenue, improving margins and lowering cost of revenue
SUPRNATION MOMENTUM - Co said SuprNation iGaming revenue rose 9.8% year over year, driven by continued success of Los Vegas brand

Company press release: ID:nGNX8mGMkN

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$94.30 mln
$92.89 mln (6 Analysts)
Q2 Adjusted EBITDA
Beat
$39.30 mln
$36.88 mln (6 Analysts)
Q2 Adjusted EBITDA Margin
 
41.60%
 
Q2 Pretax Profit
 
$42.30 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the casinos & gaming peer group is "buy"
Wall Street's median 12-month price target for DoubleDown Interactive Co Ltd is $18.00, about 49.4% above its August 10 closing price of $12.05
The stock recently traded at 5 times the next 12-month earnings vs. a P/E of 5 three months ago

Reuters Recommended Reads
Aug 11 - Playstudios Q2 revenue misses estimates on legacy portfolio pressure 
Aug 10 - Galaxy Gaming Q2 revenue rises 5% on record recurring sales
Aug 10 - WEBTOON Q2 revenue slightly misses estimates on lower Paid Content and IP Adaptations

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)