Playtica reported a slight increase in revenue in the second quarter of 2021

Playtica reported a slight increase in revenue in the second quarter of 2021 and defeated economists' forecasts. Its stock has soared more than five percent on Wall Street. Playtica develops mobile games and about 60% of its revenue comes from games that simulate gambling. It was issued at a value of $ 11 billion in January and is now traded at a value of $ 9 billion.
Playtica reported revenue of $ 659 million in the second quarter compared to revenue of $ 650 million in the corresponding quarter of 2020. Economists' forecasts were for revenue of about $ 647 million. Net income was $ 90 million compared to a net loss of about $ 140 million in the same quarter in 2020. Economists' forecasts were for a net profit of $ 95 million.
The company notes that the net loss in the second quarter of 2020 was mainly due to expenses on the acquisition of the gaming studios Seriously and Supertreat, with estimates in the media being that Playtica paid $ 275 million for Seriously. After deducting these expenses, the net profit in the second quarter of 2021 remained almost unchanged compared to the corresponding quarter in 2020.
The company reported adjusted operating income (EBITDA) of $ 264 million in the second quarter of 2021, compared to adjusted EBITDA of $ 283 million in the same quarter in 2020. New Economists' forecasts for adjusted EBITDA of $ 238 million in the second quarter. Adjusted EBITDA is defined by the Company as net profit before interest expenses, taxes, depreciation and amortization, share-based compensation, acquisition-related expenses and other expenses. This is a figure that should better reflect the company's cash flow.