GDEV Inc.

Revenue in Q3 2024 was $111 million, up 5% quarter-over-quarter and down 9% year-over-year. Bookings were $93 million, down 8% year-over-year. Net profit was $15 million versus $24 million in Q3 2023, and adjusted EBITDA was $16 million, down $13 million year-over-year. Cash flows from operating activities increased to $12 million from $8 million a year ago. On costs, platform commissions declined 13% year-over-year or $4 million, game operation costs were $13 million, G&A was $7 million versus $8 million, and marketing spend was $52 million, up $9 million year-over-year. For Q4, management said it expects marketing to be more or less at the same level as Q3, bookings to remain within consensus, and revenue to be within consensus, with the possibility of spending a bit more if opportunities arise.

Andrey Fadeev framed the quarter as part of a transformation toward sustainable, long-term growth rather than quick wins. He said the company is making thoughtful product changes across gameplay, meta progression, monetization, marketing, and art direction to improve retention, lifetime value, and marketing efficiency. He also highlighted the addition of Olga Loskutova as COO and said the goal is to unlock the potential of key titles and make them top-tier in their genres.

Alexander Karavaev said Q3 performance was within expectations despite the transformation phase and highlighted the company’s disciplined cost approach. He cited $111 million of revenue, $93 million of bookings, $16 million of adjusted EBITDA, $15 million of net profit, and $12 million of operating cash flow, while noting marketing spend rose to $52 million as part of the growth plan. He also said the balance sheet has a substantial cash cushion, the ATM is mainly to bolster liquidity, and the company does not currently have anything specific on the M&A table.

Analysts asked about Pixel Gun on Steam, and management said the launch was a “huge success,” with concurrent users stabilized around 2,500 to 3,000 and still growing month over month. On capital allocation, management said the ATM was not driven by a cash need but by liquidity goals, while cash remains substantial and M&A is opportunistic rather than planned. On product and growth, management said UA efficiency has not improved materially since Q2, Q4 marketing should be roughly similar to Q3, and Hero Wars mobile remains the main focus versus the more efficiency-oriented web version.