LIMASSOL, Cyprus, March 05, 2026 (GLOBE NEWSWIRE) -- GDEV Inc. $(GDEV)$, an international gaming and entertainment company ("GDEV" or the "Company") released its preliminary, unaudited financial and operational results for the fourth quarter and twelve months ended December 31, 2025.
Fourth quarter 2025 financial highlights:
-- Revenue of $90 million decreased by 8% year-over-year.
-- Selling and marketing expenses of $35 million decreased by 25%
year-over-year.
-- Profit for the period, net of tax, of $14 million in Q4 2025 increased
vs. $2 million in Q4 2024.
-- Adjusted EBITDA1 of $15 million in Q4 2025 increased vs. $9 million in Q4
2024.
Fourth quarter and twelve months 2025 financial performance in comparison
Change Change
US$ million Q4 2025 Q4 2024 (%) 12M 2025 12M 2024 (%)
---------------------- ------- ------- ------- -------- -------- -------
Revenue 90 98 (8%) 404 421 (4%)
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Platform commissions (18) (21) (13%) (85) (91) (7%)
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Game operation cost (15) (13) 13% (57) (51) 12%
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Selling and
marketing expenses (35) (47) (25%) (159) (209) (24%)
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General and
administrative
expenses (9) (8) 14% (35) (32) 10%
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Profit/loss for the
period, net of tax 14 2 N/M 69 26 N/M
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Adjusted EBITDA(2) 15 9 66% 79 42 87%
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Cash flows (used
in)/generated from
operating
activities 18 5 N/M 29 29 3%
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Fourth quarter 2025 financial performance
In the fourth quarter of 2025 our revenue decreased by $8 million (or 8%) year-over-year and amounted to $90 million, reflecting a decline in recognition of revenue from both current-period and prior-period bookings. This was mainly due to declining consumer spending levels in the current and preceding years, which reduced the amount of revenue recognized during the quarter. The decrease is consistent with our strategy to pursue more disciplined marketing spending and focus on attracting higher-quality, better-paying users rather than maximizing short-term volume.
Platform commissions decreased by $3 million (or 13%) in the fourth quarter of 2025 to reach $18 million, generally proportionate to the decrease in revenues.
Game operation cost increased by $2 million in the fourth quarter of 2025 and amounted to $15 million, mainly driven by an increase in investments in our IT infrastructure.
Selling and marketing expenses decreased by $12 million in the fourth quarter of 2025, amounting to $35 million. This decrease was driven by our continued focus on improving the efficiency of user acquisition activities. The decrease reflects a more selective approach to performance marketing, prioritizing channels that attract players with higher long-term value over broadscale campaigns aimed at short-term growth.
General and administrative expenses remained relatively stable at $9 million in the fourth quarter of 2025 vs. $8 million in the fourth quarter of 2024.
We recorded a profit for the period, net of tax, of $14 million in the fourth quarter of 2025 compared with $2 million in the same period of 2024, driven primarily by the factors above and i.) decrease of net financial expenses in Q4 2025 vs Q4 2024 in the amount of $3 million and ii.) decrease of share of loss of equity accounted associates by $6 million in Q4 2025 as compared with the same period of prior year. Adjusted EBITDA amounted to $15 million in the fourth quarter of 2025, an increase of $6 million compared with the same period in 2024 driven primarily by the same factors as those affecting the profit, except for the decrease of share of loss of equity accounted associates, which does not impact Adjusted EBITDA.
Cash flows generated from operating activities were positive $18 million in the fourth quarter of 2025 compared with positive $5 million in the same period in 2024.
Twelve months 2025 financial performance
In the year ended December 31, 2025, our revenue decreased by $17 million (or 4%) year-over-year and amounted to $404 million, reflecting a decline in recognition of revenue from both current-period and prior-period bookings. This was mainly due to declining consumer spending levels in the current and preceding years, which reduced the amount of revenue recognized during the year. The decrease is consistent with our strategy to pursue more disciplined marketing spending and focus on attracting higher-quality, better-paying users rather than maximizing short-term volume.
Platform commissions decreased by $7 million (or 7%) in the year ended December 31, 2025 to reach $85 million, generally proportionate to the decrease in revenues.
Game operation cost increased by $6 million in the year ended December 31, 2025 and amounted to $57 million, mainly driven by an increase in investments in our IT infrastructure.
Selling and marketing expenses decreased by $50 million in the year ended December 31, 2025, amounting to $159 million. This decrease was driven by our continued focus on improving the efficiency of user acquisition activities. The decrease reflects a more selective approach to performance marketing, prioritizing channels that attract players with higher long-term value over broadscale campaigns aimed at short-term growth.
General and administrative expenses increased by $3 million in the year ended December 31, 2025 and amounted to $35 million vs. $32 million in the year ended December 31, 2024. The increase was primarily driven by higher salary and related personnel expenses, reflecting the expansion of development activities and increased scale of operations across our game development studios.
We recorded a profit for the period, net of tax, of $69 million in the year ended December 31, 2025 compared with $26 million in the same period of 2024, driven primarily by the factors above and i.) decrease of net financial expenses in the year ended December 31 2025 vs the same period in 2024 in the amount of $7 million, ii.) increase in gain resulted from the change in fair value of share warrant obligation and other financial instruments by $3 million in the year ended December 31 2025 as compared with the same period of prior year and iii.) decrease of share of loss of equity accounted associates by $4 million in the year ended December 31, 2025 as compared with the same period of prior year. Adjusted EBITDA amounted to $79 million in the year ended December 31, 2025, an increase $37 million compared with the same period in 2024 driven primarily by the same factors as those affecting the profit, except for the increase in gain resulted from the change in fair value of share warrant obligation and other financial instruments and the decrease of share of loss of equity accounted associates, which do not impact Adjusted EBITDA.
Cash flows generated from operating activities remained the same, at $29 million, in the year ended December 31, 2025 vs. the same period of 2024. The divergence in earnings and cash flow dynamics reflects the significant impact of deferred revenue recognition on current-period income, which did not have a material effect on current-period cash flows.
Fourth quarter and twelve months 2025 operational performance comparison
Q4 2025 Q4 2024 Change (%) 12M 2025 12M 2024 Change (%)
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Bookings ($
million) 88 94 (7%) 351 404 (13%)
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Bookings from
in-app
purchases 83 89 (6%) 331 377 (12%)
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Bookings from
advertising 4 5 (18%) 20 27 (25%)
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Share of
advertising 5.1% 5.8% (0.7) p.p 5.7% 6.7% (1.0) p.p.
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MPU (thousand) 262 292 (10%) 281 342 (18%)
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ABPPU ($) 106 102 4% 98 92 7%
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Bookings declined in the fourth quarter and twelve months of 2025 to reach $88 million and $351 million, respectively, compared with $94 million and $404 million in the same period in 2024. The decline is primarily due to a decline in monthly paying users by 10% in the fourth quarter of 2025 vs. the same period in 2024 and by 18% in the year ended December 31, 2025 vs. the same period in 2024, which we attribute to the decrease of the user acquisition investments throughout 2024 and 2025, partially offset by an increase in ABPPU.
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