Gdev Inc. · NASDAQ:GDEV
Gdev — Investor Presentation (September 2024)
40 slides from Gdev's investor presentation, September 2024
Slide 1: Investor Presentation
“GDEU INVESTOR PRESENTATION
Slide 2: GDEV is a global gaming company that owns and develops studios
GDEV is a global gaming company that owns and develops studios with popular game IPs across diverse genres and platforms Our studios (1) (1) (2) (2) and games FY2023 financial results 14MLN monthly active audience (3) Revenue Marketing (9) Adj EBITDA (7) Cash funds (8) $465m $226m $43m $174m -3% +48
Slide 3: GDEV investment thesis
GDEV investment thesis Gaming is the largest entertainment 1 market positioned for growth Own popular forever games across 2 diverse genres, platforms and geos Specialized in development and 3 marketing of live service games Drive our studios to create 4 genre-defining games Supported by diverse pre
Slide 4: Rich portfolio of top-tier games by genre
Rich portfolio of top-tier games by genre Expertise in live service and LTV maximization Top 10 global RPG battler #7 7m ~$2bn In genre Monthly (2) Lifetime Monthly bookings profile of Hero Wars: Dominion Era (DTC | proprietary website) (1) by bookings audience bookings Top global first- person shoo
Slide 5: Expertise in attracting large audience of players
Expertise in attracting large audience of players Extensive marketing capabilities Expertise in driving traffic to our games (3) Experienced marketing operator both on mobile Monthly installs dynamic of GDEV’s games portfolio and PC >$120m >$80m mobile user acquisition (1) PC user acquisition (1) in
Slide 6: Resilient and adaptive to market changes
Resilient and adaptive to market changes Strengthened our business in response Started recovering in 2023 and returned Cash generating capability with to external disruptors in 2022 to bookings growth in the fourth quarter high level of cash reserve to remain self-sufficient (1) Monthly paying users
Slide 7: Resilient and adaptive to market changes
Resilient and adaptive to market changes Expand the success Pivot from midcore Pivot from midcore of Pixel Gun 3D franchise to casual genre focus to hybrid-casual focus Current projects Current projects Current projects Early-stage Dawn Of Idle Zombie Early-stage New platforms Pixel spin-offs games
Slide 8: Gaming is an integral part of human nature
Gaming is an integral part of human nature +25% 2X 2X ~$160bn ~$170bn $184bn On-demand Linear TV Gaming media, music and box office 1994 2008 2019 2023 combined Integral element of human society Significantly expanding with each tech Nowadays remaining relevant more from ancient times advancement th
Slide 9: Structural trends boosting gaming further
Structural trends boosting gaming further Increasing time for online entertainment Growing disposable income among Economic advancement of developing thanks to AI-driven productivity gains gaming native young population countries where gaming is popular Labor hours per worker % of game enthusiasts T
Slide 10: Our vision
Our vision 1 We believe everyone will become a player in the future 2 But no single game suits all tastes and preferences 3 We aim to provide the best game for each player
Slide 11: Focus studios to develop games striving to be top-tier in their genres
Focus studios to develop games striving to be top-tier in their genres GDEV cultivates its studios to develop live service games that strive Each studio focus on genre(s) where to be top-tier within the genres of their expertise it has strong expertise and experience Monthly bookings profile by gami
Slide 12: Product goals for 2024
Product goals for 2024 Grow LTV through: Upgrade technical infrastructure Aim to achieve a higher ranking enhancing players’ UX at each playtime stage with addressing available bottlenecks in the mobile simulation genre (early/ mid/ late-game) (e.g., server capacity) in 2024 compared to 2023 deliver
Slide 13: Robust corporate governance
R obust corporate governance Diverse Board of Directors with extensive expertise in various fields Founder-led management Natasha Andrey Igor Andrew Marie Tal Olga Andrey Alexander Yulia Roman Braginsky Mounier Fadeev Bukhman Sheppard Holive Shoham Loskutova Fadeev Karavaev Dementieva Safiyulin Chai
Slide 14: How our business works
HOW OUR as BUSINESS WORKS
Slide 15: How our business works: LTV and CAC
How our business works CAC depends on ads efficiency and belief LTV CAC in the game’s ability to recoup investments Customer Total investments Number of new Lifetime Monthly revenue Average player ÷ x Acquisition Cost in new players players Value per player lifetime Indicative accumulated cash flow
Slide 16: How our business works: Research & development
How our business works Research & development Marketing Live Service & Monetization R&D Methodology Successful R&D project 1 1 2 3 Search of ideas Visual Style Game-mechanics Benchmarks Money spent 2 Game development Time Metrics Updates feedback Costs Revenue CPI Retention ROAS R&D principles: Cost
Slide 17: How our business works: Marketing
How our business works esearch development R & Marketing Live ervice Moneti ation S & z How ideacycle for ad creatives works? Maximising marketing Marketing impact on live service business model channels to efficiently Indicative sinusoid dynamic of live game business with attract new players invers
Slide 18: How our business works: Live service & monetization
How our business works Research & development Marketing Live Service & Monetization Indicative plan to maximize bookings during a month Live Service Strategy 1-2 weeks cadence Content Features Meta Economy Hotfix Live Game Day# 1 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 Analytics Ideas Research Feed
Slide 19: Successful case of launching new game — Island Hoppers
Successful case of launching new game — Island Hoppers Island Experiment Use successful experience Successfully scaling and breaking to develop new casual into genre top-10 Top-6 Top-9 game by downloads by bookings Installs, mn DAU, ’000 Data-driven decision 225 making 5X 177 94 5 5 43 1 3 1H 22 2H
Slide 20: Diversification: high DTC share, key geographies, genres, player base
Diversification: high DTC share, exposure to key geographies, (1) genres, and player base Successfully expanded from 3P platform (Facebook) to 1P DTC platform Diversification across key regions and significantly decreased commission rate DTC (proprietary ~$160m Website) PC bookings in 2023 >$80m USA
Slide 21: Organizational structure
Organizational structure Growth-oriented organization structure Diversified teams by geo Employee costs vs. peer companies (1) GDEV Peer companies (2) Average monthly salary Employees’ location by geo $6,2K ~1000 Cyprus $8,2K employees Armenia Kazakhstan Payroll as a % of bookings Other locations 14
Slide 22: Financial and operational performance
FINANCIAL AND OPERATIONAL PERFORMANCE
Slide 23: Financial highlights
Financial highlights Revenue, $MLN Total costs and expenses, excl. D&A, $MLN Other Platform -9% -5% 10% -10% -8% 99 91 99 107 89 commissions Selling and marketing 20% 21% 21% expenses 22% 22% 21% 28% 25% 121 31% 26% 115 109 107 106 58% 53% 51% 47% 54% 2Q23 3Q23 4Q23 1Q24 2Q24 2Q23 3Q23 4Q23 1Q24 2Q2
Slide 24: Operating highlights
Operating highlights Bookings, $MN Monthly paying users, ‘000 Average bookings per paying user, $ -1% -6% 4% 4% -3% 14% 23% 13% 0% -3% -17% -26% -11% 4% 2% 111 102 106 109 108 392 375 359 381 381 87 84 92 88 88 2Q23 3Q23 4Q23 1Q24 2Q24 2Q23 3Q23 4Q23 1Q24 2Q24 2Q23 3Q23 4Q23 1Q24 2Q24
Slide 25: Diversification
Diversification By games By platforms By geography Pixel Gun 3D Hero Wars: Dominion Era PC Other Europe Island Hoppers Hero Wars: Alliance Mobile Asia US 5% 6% 16% 15% 6% 5% 38% 42% 22% 24% 37% 38% 24% 29% 62% 58% 52% 51% 36% 34% 2Q23 2Q24 2Q23 2Q24 2Q23 2Q24
Slide 26: Sustainability
SUSTAINABILITY “GDEU
Slide 27: Sustainability at GDEV
Sustainability at GDEV Implemented sustainability Global benchmarks are in use ESG ranking strong performance strategy SASB Software & IT Services Standard Top 8% is a benchmark for measuring and reporting Three pathways approach on our sustainable development practices. Top 13% Among all 16.000 Amo
Slide 28: Appendix
APPENDIX ane
Slide 29: Gaming is an integral element for humans
Gaming is an integral element for humans Games reduce Games bring Games can stress and anxiety people together improve personality Video games People Creativity help people feel less to feel less isolated stressed 71% 55% 73% Video games Games help Problem help people to stay solving to feel less co
Slide 30: Gaming is the largest entertainment segment
Gaming is the largest entertainment segment Entertainment industry Global split of players revenue by segment by gender and age 53% 47% ~$30bn ~$50bn ~80bn ~170bn $184bn 26% 38% 26% 10% Music Box Office On-demand Linear TV Gaming 10-20 years 21-35 years 36-50 years 51-65 years Media
Slide 31: Consolidated statement of comprehensive income
Consolidated statement of comprehensive income
Slide 32: Consolidated statement of financial position
Consolidated statement of financial position
Slide 33: Consolidated cash flow statement
Consolidated cash flow statement
Slide 34: Reconciliation of the profit/loss for the period to the Adjusted EBITDA
Reconciliation of the profit/loss for the period to the Adjusted EBITDA
Slide 35: Hero Wars: Alliance | Screenshots
Hero Wars: Alliance | Screenshots
Slide 36: Hero Wars: Dominion Era | Screenshots
Hero Wars: Dominion Era | Screenshots
Slide 37: Island Hoppers | Screenshots
Island Hoppers | Screenshots
Slide 38: Pixel Gun 3D | Screenshots
Pixel Gun 3D | Screenshots
Slide 39: Dawn of Zombies | Screenshots
Down of Zombies | Screenshots
Slide 40: Disclaimers
Disclaimers Purpose This presentation has been prepared by GDEV Inc. (the “Company”) and is being provided solely for informational purposes and for providing an introduction to the to the Company’s business. The information contained in this presentation shall not be used for any other purpose. No