DoubleDown Interactive Co., Ltd.

Good afternoon and welcome to Double Down Interactive's earnings conference call for the fourth quarter and full year ended December 31st, 2023. My name is Josh and I will be your operator this afternoon. Prior to this call, Double Down issued its financial results for the fourth quarter of 2023 in a press release, a copy of which has been furnished in a report on form 6K filed with the SEC and is available in the investor relations section of the company's website, at www.doubledowninteractive.com. You can find the link to the investor relations section at the top of the homepage. Joining us on today's call are Double Down CEO, Mr. Inko Kim, and its CFO, Mr. Joe Sigris. Following the remarks, we will open the call for questions. Before we begin, Richard Land, the company's outside investor relations advisor, will make a brief introductory statement. Mr. Land?

Thank you, Josh. Before management begins their formal remarks, we need to remind everyone that some of management's comments today will be forward-looking statements within the meeting of Section 27A of the Securities Act of 1933 as amended, and Section 21E of the Securities Exchange Act of 1934 as amended, and we hereby claim the protection of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements about future events and include expectations and projections, not present or historical facts, excuse me, and can be identified by the use of words such as may, might, will, expect, assume, believe, intend, estimate, continue, should, anticipate, or other similar terms. Forward-looking statements include and are not limited to those regarding the company's future plans, mergers and acquisitions strategy, strategic and financial objectives, expected performance, and financial outlook forward-looking statements are subject to numerous risks and uncertainties that could cause actual results to differ materially and adversely from what the company expects therefore you should exercise caution in interpreting and relying on them we refer you to double down's annual report on form 20f filed with the sec on march 31st 2023 and other sec filings for a more detailed discussion of the risks that could impact future operating results and financial condition. These forward-looking statements are made only as of the date of this call. The company does not undertake and expressly disclaims any obligation to update or alter the forward-looking statements, whether as a result of new information, future events, or otherwise except as required by law. During the call, Management will discuss non-GAAP measures, which are believed by management to be useful in evaluating the company's operating performance. These measures should not be considered superior to, in isolation, or as a substitute for the financial results prepared in accordance with GAAP. A full reconciliation of these measures to the most directly comparable GAAP measure is available in the earnings release and on our form 6-K filed with the SEC prior to this call. I would like to remind everyone that this call is being recorded and will be made available for replay via a link in the investor relations section of Double Down's website. With that, it's now my pleasure to turn the call over to Double Down's CEO, Inko Kim. Please go ahead, sir.

Thank you, Richard. Good afternoon, everyone. Thank you for joining us on our 2023 first quarter earnings call. Total Q4 revenue was $83.1 million, with $78.8 million generated by our social casino free-to-play games and $4.3 million coming from the operations of SuperNation in the months of November and December. The Q4 revenue from our social casino free-to-play games was up nearly 8% on a quarterly sequential basis and up 3% compared to Q4 2022. Adjusted EBITDA for the first quarter rose both sequentially and year-over-year to $36.2 million, while cash flow from operations was $29.7 million. Our flagship social casino game, Double Down Casino, or DDC, continues to be the driver of our solid results as full-year 2023 adjusted EBITDA reached nearly $119 million. and cash flow from operations for the 2023 full year exceeded $116 million, including the final Benson Class Action settlement payment earlier in the year. We continue to generate year-over-year increases in some of our most important KPIs, including average monthly revenue per payer and payer conversion rates, which indicate our great ability to offer compelling entertainment value to our core paying players. These results largely reflect the propensity of DDC players to make in-app purchases and the continued increase in the amount paid by players. In addition, we released new DDC-wide meta features in the first quarter focused on increasing player retention and engagement, including the Lucky Orbs and Slain Power features, which we believe aid overall monetization. As we've discussed in the past, DDC revenue largely reflects activity by our long-term base of players who have enjoyed our casino-style games, in many cases, for several years. To put this in perspective, in 2023, approximately 94% of our revenue was generated from our 2010 to 2022 player cohorts. In other words, from players acquired in previous years. Last October, we allocated a portion of our strong cash flow from operations to acquire super nations. a Western European-focused iGaming operator whose two primary markets are Sweden and the UK for a total cash consideration of approximately $36.5 million. This acquisition is the first step in our goal to diversify our sources of revenue into new gaming categories that have highly addressable market opportunities and that are complementary our core social casino business. SuperNation is a differentiated iGaming operator whose primary focus is on engaging the entertainment-focused online slot player rather than the more volatile player. Its skewered brand offers compelling features for these players, such as peer-to-peer competition and elimination tournaments as players play slot games alongside one another. SuperNation exited 2023 with an unaudited revenue run rate of approximately $6.5 million per quarter. Going forward, we believe that as part of Double Down, we can help this business scale its top line. Double Down's ability to support and grow SuperNation's business includes leveraging expertise in game development, marketing, and player engagement and monetization to execute on the exciting growth opportunity in iGaming. We are pleased to have this acquisition complete and to be working closely with the SuperNation leadership team to help bring the business to the next level. We see the iGaming sector as just one of the complementary gaming categories where we can deploy our resources and expertise to create new value for our shareholders. For example, we are now in the process of launching our first game in the skill-based gaming segment. This game, Catch Me Out Bingo, which was developed by one of our studios in Korea, allows players to compete against each other in skill-based bingo competition with the opportunity to win a portion of the app-specific currency and or real cash that is staked by each of the participating players. We began the launch of Cash Me Out Bingo during the latter part of 2023, and we are now ramping marketing investment in the current quarter hire players and scale playing activity. Now I will turn it over to our CFO Joe Stiglitz to walk you through our financials before providing my closing remarks. Joe.