Playtika cuts 15% of staff, CEO to take a pay reduction

Playtika Holdings said it will cut 15 percent of its global staff and close down three projects to position the Israel-based gaming company for the future.

At the same time, CEO Robert Antokol requested a cut in his base salary next year and for 2024 to the minimum level under Israeli law. The board’s remuneration committeee accepted the proposal, the company said in a filing with the U.S. Securities and Exchange Commission.

Antokol gave news of the job cuts in an email to employees, filed with the SEC. 

“The news I share with you today is difficult,” he wrote. “After intense deliberation, we have decided to reduce our workforce by about 15 percent, saying goodbye to wonderful and talented colleagues and friends. This decision has not come easy, yet we think it necessary to best position Playtika for the future.”

Antokol said the company will wind down non-core initiatives and consolidate studios for greater efficiency. It will also centralise the evaluation of new game concepts through its creative team at Wooga.

Three current titles have been removed from the pipeline, it said. 

In total just over 600 staff have been affected by the cuts. 

For 3Q22, the company posted revenue of $647.8 million, just slightly higher than the $635.9 million reported the prior year. 

Adjusted EBITDA fell to $230.7 million, down from $247.8 million the prior year. 

Last month, Playtika announced it would buy a $25 million minority stake in Turkey’s Ace Games as part of a strategy to invest in high-growth potential games in a cost-effective way.