DoubleDown Interactive Co., Ltd.

Second-quarter 2026 consolidated revenue was $94.3 million, up approximately 11% year over year from $84.8 million in Q2 2025 and roughly flat versus $94.1 million in Q1 2026. Adjusted EBITDA was $39.3 million, up 17% year over year from $33.5 million, with adjusted EBITDA margin at 41.6% versus 39.5% last year. Profit excluding noncontrolling interest increased 50% to $32.9 million, or $0.66 per ADS, versus $21.8 million, or $0.44 per ADS, in Q2 2025. Social casino revenue grew 11.5% to $77.3 million and iGaming revenue grew 10% to $17 million. Operating cash flow was $24.6 million in Q2 and $71 million in the first half of 2026. The company ended the quarter with $554 million in cash equivalents and short-term investments, and net cash of approximately $521 million, or approximately $10.52 per ADS. Management did not issue formal quantitative forward guidance on the call; instead, it said marketing spend should stay around recent run-rate levels, DTC should continue to grow, and the company aims to keep balancing revenue growth with profit in iGaming after the UK tax increase.

CEO In Keuk Kim framed the quarter as evidence that DoubleDown's model is delivering both resilience and diversification, citing strong contributions from social casino and iGaming, a record DTC mix, and continued profitability and free cash flow. His tone was confident and execution-focused, emphasizing operational discipline, innovation, and high-ROI investment. He also said DTC capabilities, owned-channel CRM, and payment infrastructure are being expanded to deepen user trust and sustain leadership.

CFO Joseph Sigrist focused on the numbers and the operating levers behind them: revenue of $94.3 million, adjusted EBITDA of $39.3 million, margin of 41.6%, operating expenses of $57.8 million, and cash from operations of $24.6 million in the quarter. He highlighted higher payer conversion at 9.4% versus 7.0% a year ago, ARPDAU of $1.42 versus $1.33, and the DTC mix rising to 52% from 15% last year and 44% in Q1. On capital and liquidity, he pointed to $554 million in cash equivalents and short-term investments and a net cash position of approximately $521 million, while noting Q2 is typically a lower cash-flow quarter because tax payments are due then.

Analysts pressed on the impact of the UK gambling tax increase on SuprNation and whether the company would pull back or re-accelerate marketing; management said it reduced player-acquisition spend, adjusted products and bonuses, and is trying to balance revenue growth with profit, while keeping marketing at roughly recent run-rate levels for the rest of the year. Questions also focused on DTC reaching above 50%; Kim said the company still sees room for growth and is investing in owned-channel CRM and payment infrastructure, while Sigrist said DTC growth has not come from simply giving away more benefits and has not hurt revenue in a meaningful way. On the special committee and WGames proposal, management declined to provide timeline or substantive updates, saying the committee is working diligently and that any progress will be communicated when appropriate.