PlaySimple Games IPO

Strengths · 7

• 01The company says it ranks first globally in mobile word games by downloads in calendar year 2025, with about 14% of roughly 731 million word game downloads.
• 02It had no borrowings in 2025, 2024 and 2023, and net worth was Rs 634.63 crore at 31 December 2025.
• 03Net cash from operating activities was Rs 383.21 crore in 2025, Rs 559.70 crore in 2024 and Rs 367.37 crore in 2023.
• 04Revenue from operations rose 20.40% in 2025 to Rs 2,259.82 crore, and 15.41% on a constant currency basis.
• 05Average daily active users grew from 2.87 million in 2023 to 4.62 million in 2025.
• 06Downloads from its top three games fell from 72.38% of English-language downloads in 2023 to 56.95% in 2025, so it depends less on a few games.
• 07Return on net worth was 56.57% in 2025 and 36.39% in 2024.

Risks · 10

• 01The top ad network customer gave 37.76% of advertisement income in 2025, up from 29.43% in 2023. The top five gave 68.12% and the top ten gave 82.49%.
• 02Advertisement income was 84.83% of revenue from operations in 2025, so a fall in advertiser demand would hit the whole business.
• 03A substantial portion of players is in North America, so changes in law, economy or advertising there can affect results.
• 04Profit after tax fell from Rs 521.19 crore in 2024 to Rs 359.03 crore in 2025, and EBITDA margin fell from 35.93% to 20.51%.
• 05User acquisition spend rose 60.13% to Rs 1,439.94 crore in 2025, which was 63.72% of revenue from operations.
• 06The top ad network vendor was 36.72% of advertisement expenses in 2025 and the top five vendors were 91.75%.
• 07The whole offer is a sale by the promoter MTGx Gaming Holding AB of up to Rs 3,150 crore. The company gets no fresh money from it.
• 08The previous auditor gave a qualified opinion for 2023 on revenue deferral for virtual coins and on IT and internal financial controls. No adjustment to the restated numbers was needed.
• 09Equity shares outstanding rose after a bonus issue of 600 shares for every share held, so per-share figures from earlier years are adjusted.
• 10The company faces two tax proceedings with Rs 54.86 million involved, and three criminal proceedings against its directors.

PlaySimple Games Limited is a mobile entertainment company based in India. It makes casual mobile games and describes itself as the largest Indian pure-play casual mobile games company by revenue in FY25, citing the Redseer Report. As of 31 December 2025 it ran 30 live games across five categories: search, crossword, anagram, other word games and non-word puzzles. Word Search Explorer is one of them.

The company says it ranked first globally and in 78 countries in mobile word games by downloads in calendar year 2025, with about 14% of roughly 731 million global word game downloads. Word Search Explorer ranked first in word games in 68 countries by downloads. These rankings use Sensor Tower data as quoted in the Redseer Report.

The company earns mainly from advertising. Its direct customers are third-party ad networks, to whom it sells ad slots inside its games. Advertisement income was Rs 1,916.92 crore in 2025, or 84.83% of revenue from operations. Application income, which comes from in-game purchases, was Rs 333.62 crore, or 14.76%. Software development services added Rs 9.28 crore, or 0.41%. It reports one business segment. The document says a substantial portion of its players are in North America.

The company's financial year is the calendar year. Average daily active users were 4.62 million in 2025, up from 3.17 million in 2024 and 2.87 million in 2023. Total app downloads were 150.18 million in 2025, of which 74.04 million came from players whose default language is not English. User acquisition spend, which is its advertisement expense, was Rs 1,439.94 crore in 2025.

The promoters are MTGx Gaming Holding AB and Modern Times Group MTG AB (publ), a company listed on Nasdaq Stockholm. Together they hold all the pre-offer shares. The board is chaired by independent director Uday Shirish Bhansali, and Yoav Ecker is the Managing Director and Chief Executive Officer.

The industry

The global mobile games market excluding China, made up of in-app advertising and in-app purchases, grew from about US$99-102 billion in calendar year 2020 to an estimated US$136-146 billion in 2025, a CAGR of about 7%. The Redseer Report projects about 6% CAGR from 2025 to 2030, reaching US$181-200 billion. Casual games were the largest format in 2025 and the fastest growing between 2020 and 2025. The casual market is projected to reach US$137-155 billion by 2030, a CAGR of about 8%.

Customer concentration: Top 5 ad network customers gave 68.12% of advertisement income in 2025 (73.70% in 2024 and 72.26% in 2023). The top one gave 37.76% in 2025.