DoubleDown Interactive Co., Ltd. · NASDAQ:DDI
DoubleDown Interactive — Investor Presentation (January 2024)
24 slides from DoubleDown Interactive's investor presentation, Jan 9, 2024
Slide 1: DoubleDown Interactive Investor Presentation January 2024
DOUBLEDOWN INTERACTIVE INVESTOR PRESENTATION January 2024 Exhibit 99.1
Slide 2: Disclaimer and Forward Looking Statements
This investor presentation (this “Presentation”) is for informational purposes only and does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation to purchase any equity, debt, or other securities of DoubleDown Interactive Co., Ltd. (“DDI,” the “Company,” “we,” “us”
Slide 3: A leading developer and publisher of digital games for mobile and web-based platforms
A leading developer and publisher of digital games for mobile and web-based platforms TTM Revenue $302 million (TTM a/o 9/30/23) TTM AEBITDA $107 million (TTM a/o 9/30/23) TTM AEBITDA Margin of 35% (TTM a/o 9/30/23) Net Cash & ST Investments ~$200 million (9/30/23) Leading mobile game developer with
Slide 4: Casual / Free-to-Play Business
Casual / Free-to-Play Business
Slide 5: Mobile Gaming Market Size Breakdown
Note: 1 IDC Worldwide Mobile and Handheld Gaming Forecast for 2023; 2 Eilers & Krejcik. Total projected global market in 2020 for social casino mobile games and other casual mobile games such as puzzles, cards, and match three games; 3 Eilers & Krejcik. Total estimated market in 2023 for social casi
Slide 6: Social Casino Highlights
Top 5 social casino game for the past several years1 250+ casino game titles Leading content portfolio 1.7 million MAU (Q3 2023) 0.7 million DAU (Q3 2023) 92% 2022 revenue generated by 2010-2022 cohorts High-value player base 5.9% Payer conversion (Q3 2023) $1.06 ARPDAU (Q3 2023) $245 ARMPU (Q3 2023
Slide 7: Access to multiple casino content development capabilities
Source: Company information Access to over 2,000 slot titles through our partnerships with IGT and DUG, and growing proprietary catalog of internally developed original slot titles Successful, authentic land-based casino content from IGT 2,000+ slot titles Proven online social casino content develop
Slide 8: Social casino player engagement & monetization processes
Views Ads or Searches Downloads App Given Free Chips Plays Player Engagement Process Player Monetization Purchases Chips Social casino player engagement & monetization processes --
Slide 9: Stable and Predictable Revenue Driven by Ability to Retain and Monetize Players
Our Stable and Predictable Revenue Driven by Our Ability to Retain and Monetize Players Over Time Revenue by user cohort (US$mm) 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 of 2022 revenue generated by 2010 – 2021 cohorts 92% 2022 Loyal and committed social casino players & payers So
Slide 10: Best-in-class player monetization
Best-in-class player monetization (US$) ARPDAU Payer Conversion Rate (%) Source: Company information Note: YTD as of 9/30/2023 +30% Average Monthly Revenue per Payer (US$) +23% +14% +4% +17%
Slide 11: Focus on Optimizing Product & Marketing Investments
Source: Company information Commentary Focus on Optimizing Product & Marketing Investments Deliver innovative & differentiated product enhancements to DoubleDown Casino players Frequent release of new slot games Exciting new “metagame” features (e.g., jackpots, quests, VIP rewards, etc.) Intelligent
Slide 12: Real-Money / iGaming Business
Real-Money / iGaming Business
Slide 13: Pursuing iGaming opportunity with SuprNation acquisition
Founded in 2015; based in Malta with approximately 50 employees “Fun first” casino iGaming strategy focused on “entertainment” players in W. Europe Revenue of ~$20 million for nine months ended September 30, 20231 2/3rds in Sweden and the U.K. Approximately 80% mobile European iGaming market expecte
Slide 14: Large addressable iGaming market opportunity in Europe
Large addressable iGaming market opportunity in Europe (estimated annual market sizes in billions*) * European Gaming & Betting Association estimates
Slide 15: Duelz flagship iGaming website/app
Source: Company information Commentary Duelz flagship iGaming website/app allows players to compete against one another to gain rewards as they simultaneously play slot games Flexible gamification engine enables enhanced features such as “peer-to-peer” competition & elimination tournaments Future op
Slide 16: Player acquisition and retention
Source: Company information Commentary New Player Acquisition Current focus on iGaming affiliates Fixed cost upon first deposit Hybrid model lowers fixed cost with ongoing revenue share Opportunity to increase direct marketing Utilize “performance marketing” leveraging DDI’s experience & knowledge S
Slide 17: SuprNation & iGaming growth strategies
Source: Company information Commentary Grow market share in Sweden & the U.K. through increased marketing investment & by leveraging DDI marketing expertise Fine-tune operational processes including “live ops” to scale business foundation Leverage DDI strengths in technology, game development & busi
Slide 18: Financial Highlights
Financial Highlights
Slide 19: Financial Highlights
Financial Highlights Steady growth at scale Best-in-class player monetization Efficient cost structure led by disciplined approach to UA and R&D Track record of strong profitability 1 2 3 4
Slide 20: Third Quarter 2023 Results
Source: Company information Revenue: $73.0 million Net Income: $26.9 million Adjusted EBITDA: $29.7 million Adjusted AEBITDA Margin: 40.7% Average Revenue Per DAU: $1.06 Average Monthly Revenue Per Payer: $245 Third Quarter 2023 Results Quarterly Results Summary
Slide 21: Revenue: Top-line progression
Revenue Source: Company information Note: TTM as of 9/30/2023 Top-line progression Annual (US$mm) 10% (TTM growth vs. 2019)
Slide 22: Track record of strong profitability
2 3 Source: Company information, Company filing, Company IR material Note: TTM as of 9/30/2023 Track record of strong profitability Adjusted EBITDA / Margin 4 (US$mm; AEBITDA margin in %)
Slide 23: Investment Highlights
Source: Company information Commentary Compelling scale of core social casino business Generates consistent profitability & strong free cash flow SuprNation iGaming acquisition leverages core capabilities & diversifies markets to benefit top line growth Attractive monetization of loyal and committed
Slide 24: Investor Relations Contacts
DOUBLEDOWN INTERACTIVE Investor Relations Contacts Joseph Jaffoni or Richard Land JCIR (212) 835-8500 DDI@JCIR.com
DoubleDown Interactive — Investor Presentation (January 2024) on 6ix