Observed Signal · Jul 21, 2026 · Earnings Report · Source: Mobilegamer.biz · Impact: 4/5 · Sentiment: Positive
MTG Q2: Raid, PlaySimple, D2C Drive Revenue Growth
MTG reported its seventh consecutive quarter of revenue growth in Q2 2026, with group revenue of $306m and adjusted EBITDA of $73m (24% margin). Growth was led by Raid: Shadow Legends ($111m, +9% YoY) and PlaySimple (revenue +29% YoY). MTG said 38% of group revenue now comes from its own direct-to-consumer (D2C) stores, up from 24% a year ago, and over half of midcore revenue is D2C. PlaySimple has filed a Draft Red Herring Prospectus as part of preparations for a possible 2026 listing. Full-year guidance was unchanged.
Public earnings reveal continued revenue growth, strong title-level performance and a material shift to D2C monetization (38% of revenue), which affects publisher monetization strategies and platform fee exposure.
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Key Takeaways & Evidence Grounding
- MTG posted seventh sequential quarter of revenue growth in Q2 2026.
- Group Q2 revenue was $306m (SEK 2,965m); adjusted EBITDA was $73m (24% margin).
- Raid: Shadow Legends Q2 revenue was $111m, up 9% year-over-year.
- PlaySimple revenue grew 29% YoY to $76m and has filed a Draft Red Herring Prospectus for a potential 2026 listing.
- 38% of MTG’s group revenue now comes via its own direct-to-consumer (D2C) stores, up from 24% a year ago; midcore D2C share is 51%.
Connected Companies & Entities
3 Entities mapped“In MTG’s Q2 earnings the roll-up group posted a seventh sequential quarter of revenue growth, led by Raid: Shadow Legends, casual arm PlaySi...”
“The financial report also revealed that 38% of group revenue now comes via MTG’s own direct-to-consumer (D2C) stores rather than Apple and G...”
“The financial report also revealed that 38% of group revenue now comes via MTG’s own direct-to-consumer (D2C) stores rather than Apple and G...”
Ontology Mapping & Concepts
Related Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
MTG launches Playamp for midcore games
Modern Times Group (MTG) has rebranded and consolidated its midcore games operations under Playamp, combining studios Plarium, InnoGames, Snowprint, Hutch, Ninja Kiwi and Futureplay with shared services for marketing, DTC monetisation, AI, data infrastructure and player platforms. Playamp reported SEK 9,039m ($953m) in revenue and SEK 2,278m ($240m) in adjusted EBITDA for 2025, representing about 78% of group revenue and 86% of adjusted EBITDA. In Q2 2026, direct-to-consumer channels (launcher, webstores and user-choice billing) accounted for 51% of Playamp’s revenue, and its shared services support more than 60 games. MTG will adopt the Playamp and Playsimple names in place of the Midcore and Casual District labels in its financial reporting from Q3 2026.
Hasbro: Magic Surpasses $500M in Quarterly Revenue
Hasbro reported strong Q2 2026 financial results driven by Wizards of the Coast and digital gaming. Net revenue rose more than 16% to $1.1 billion, and Magic: The Gathering generated $545 million in the quarter — the first time the property exceeded $500 million in a single quarter. Q2 net income was $161.3 million versus a nearly $855 million loss in the year-ago quarter. Hasbro said it canceled several games (recording a $56 million noncash write-down), is refocusing its digital strategy toward franchises with major digital potential, launched AI studio Sixth Wall (introducing “behavioral licensing”), and expects total digital spend to decline at least 25% annually by 2028. The company raised its full-year revenue outlook to growth of 5%–7%.
MTG Aims to Double Size Through Selective M&A and AI
Swedish digital entertainment firm Modern Times Group (MTG) aims to double its size within three to five years, primarily through selective M&A and organic growth, while scaling AI tooling. CEO Maria Redin emphasized a 'village philosophy' where studios maintain autonomy but share technology and learnings. MTG recently rebranded its midcore division to PlayAmp, which includes Plarium, InnoGames, Snowprint, Hutch, Ninja Kiwi, and Futureplay. Shared services include Plarium's data platform, the GoGame marketing platform, a D2C platform (accounting for 51% of division revenue in Q2 2026), and an AI Lab. AI is being used to accelerate game development, allowing teams to produce more content and test more ideas. Redin stressed that AI is about improving quality and output, not reducing workforce. The company is also exploring M&A opportunities in markets like Türkiye, China, and Vietnam, while remaining Western-focused.
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