MTG, a prominent player in the mobile gaming landscape, has unveiled its Annual and Sustainability Report for 2025, detailing a year defined by significant strategic evolution and record profitable growth. The report highlights the transformative impact of key acquisitions and the implementation of a forward-thinking operational structure designed to enhance efficiency and foster innovation across its diverse portfolio of studios.
A Year of Strategic Realignment
The year 2025 was a pivotal period for MTG, characterized by high single-digit organic growth, robust margins, and strong cash generation. The acquisition of Plarium, finalized in February 2025, stands out as a monumental step, bringing with it iconic intellectual properties like *RAID: Shadow Legends* and advanced commercial toolkits such as the GoGame marketing platform and the PlariumPlay publishing platform. This move significantly bolsters MTG's position as a leader in the mobile-first gaming sector, enhancing its scale, technological capabilities, and talent pool.
The Power of Gaming and MTG's Ecosystem
MTG positions gaming as the most relevant form of entertainment today, dwarfing other sectors like music and video streaming. The industry benefits from strong long-term social, technological, and demographic trends, with a diverse player base spread relatively evenly between genders and an average player age of 31. MTG operates as a global "Gaming Village," housing specialized "Districts" where talented game developers can thrive. This structure provides crucial support and nurturing for game-making passion, complemented by best-in-class shared services and commercial tools.
Embracing a District-Based Model
To further accelerate the development of relevant shared services and commercial platforms, MTG implemented a new **District model** starting in 2026. This model tailors support specifically to the unique needs of studios within each district. The Midcore District, for instance, has undergone a transformation program expected to yield over USD 20 million in savings by the end of 2026. This strategic restructuring aims to enhance operational efficiency and refine the group’s centralized platforms.
Financial Performance and Future Outlook
MTG reported a year of record profitable growth, with revenue generated by its franchise operations showing a notable increase. The company also announced updated medium-term financial guidance, targeting revenue growth of 3-7%, an Adjusted EBITDA margin exceeding 24%, and an unlevered cash conversion of over 60% in a steady state. These ambitious goals are underpinned by expectations for established evergreen titles, recent launches, and a strong pipeline of games in development, coupled with a disciplined, data-driven approach to marketing investment and direct-to-consumer initiatives.
Commitment to Sustainability and Governance
Beyond financial performance, MTG emphasizes its commitment to sustainability, outlining a corporate sustainability strategy focused on inclusivity, climate action, and fostering a proud and respectful environment. The report details environmental, social, and governance (ESG) information, underscoring the company's dedication to responsible business practices. This integrated approach to growth and responsibility positions MTG for continued long-term success in the dynamic global gaming market.
Shareholder Value and Capital Allocation
The report also touches upon capital allocation strategies, including a share repurchase program launched in October 2025, aiming to repurchase up to SEK 400 million. This initiative, subject to shareholder approval, reflects MTG's commitment to returning capital to shareholders. The company's cash-generative business model supports ongoing organic growth, exploration of accretive M&A opportunities, and shareholder returns, demonstrating a disciplined and returns-based approach to marketing investments.
Source Insight: This report was curated based on original coverage from mb.cision.com.
