Media and Games Invest (MGI) releases its Half Year Report Q2 2020 and generates 35% organic revenue growth in the gaming segment 

  • Revenue increased 97% to EUR 30m, driven in part by Q2 organic growth in the gaming business, over Q1, of 35%
  • EBITDA increased 68% to EUR 6.3m and strong free cash flow enabled deleveraging to 3.6x in Q2’20 compared to 4.2x in Q1’20
  • Robust organic growth and a strong M&A pipeline support recently increased guidance

August 12, 2020 – Media and Games Invest plc (“MGI”, ISIN: MT0000580101; Symbol: M8G; Scale, Frankfurt Stock Exchange) publishes its Half Year Report Q2 2020. Highlights include strong revenue growth of 98% in H1’20 and an encouraging 54% growth in EBITDA, with total EBITDA in H1’20 increasing to EUR 11.6m (H1 2019: EUR 7.5m). The operating cash flow increased by 86% to EUR 10.8m (H1 2019: EUR 5.8m) enabling strong deleveraging in Q2’20.

14% improvement of net leverage to 3.6x with a strong interest coverage ratio of 3.5x
As a result of strong revenue, EBITDA and cashflow growth in the second quarter, the leverage ratio was reduced by 14% to 3.6x (Q1 2020: 4.2x), after the leverage ratio had risen in Q1’20 due to the cash purchase price for Verve as well as the buyout of gamigo minority shareholders. Based on adjusted EBITDA the leverage ratio has been even stronger and decreased on June 30, 2020 to 3.2x compared to 3.7x as of March 31, 2020. The adjusted EBITDA excludes the current one-time costs for financing and M&A and as such gives an indication for coming periods in terms of EBITDA and leverage. Despite the increased financial expenses for the investments in Q1’20 the interest coverage ratio remained stable at 3.5x in Q2’20 compared to 3.6x in Q2’19 and underscores the healthy relationship between profitability and debt on the balance sheet.

Strong Games growth: 35% organic growth in the gaming segment in Q2’20
In the second quarter MGI reports 35% organic revenue growth in the gaming segment compared to the first quarter 2020. This is particularly remarkable against the background of the negative seasonal effects that are common in this period. In addition to the Covid-19 lock-down effects in combination with increased marketing efficiency as well as spend, especially the game expansions drove a significant increase in the number of new players (up to 75%) and player activity (up to 31%). We are particularly pleased with the impact of of extensive game expansions in ArcheAge (Garden of the Gods) and in Trove (Delves).

Sustainable profits in Media: 26% increase of EBITDA in the media segment in Q2’20
While the media segment of MGI reported with EUR 11.2m in Q2’20 compared to Q1’20 a slight revenue decrease of 11%, it still reported a very strong revenue performance compared to the overall market which showed a decline of more than 30%*. The strong position of MGI’s media segment is based on less cyclical segments of gaming and e-commerce, which enabled us to perform well in media despite difficult market conditions resulting from Covid-19. While the revenues decreased the EBITDA increased by 26% to 1.0 mEUR (Q1 2020: EUR 0.8m) due to realisation of planned cost synergies. The media segment also had a very strong start into Q3’20 and has returned to pre-Covid-19 revenue levels, with sustained margin improvements.

*Source: Uplers: The impact of covid-19 on digital agencies: A survey report

Remco Westerman (CEO): “We have been delighted and thank the team for their hard work and dedication through the difficult Covid-19 period. The business has performed well, increased marketing and releases of exciting expansions to already strong games enabled the business to progress pleasingly well. The release of synergies in the Media segment in a more challenging environment was a highlight, that should not be overshadowed by the strong organic growth in games. The market for our media services and games has been strong and we are encouraged by the outlook. The opportunity for further M&A looks equally appealing.”


In mEUR MGI Group
2020 Q2
MGI Group
2019 Q2
MGI Group 2020 H1 MGI Group 2019 H1 MGI Group 2019 FY
Net Revenues 30.0 15.2 56.6 28.6 83.9
YoY Growth in revenues 97% 98% 157%
EBITDA 6.3 3.8 11.6 7.5 15.5
EBITDA margins 21% 25% 21% 26% 19%
Adj. EBITDA 6.7 3.9 12.7 8.4 18.1
Adj. EBITDA margins 22% 26% 22% 29% 22%
Operational EBIT 3.8 2.3 6.6 4.5 7.8
Operational EBIT margins 13% 15% 12% 16% 9%
Net Result 0.4 0.3 0.5 0.9 1.3


In mEUR 2020 Q2 2020 Q1 2019 FY
Net Revenues 18.8 13.9 43.1
MGI revenue share 63% 52% 51%
EBITDA 5.3 4.5 12.6
EBITDA margins 28% 32% 29%


In mEUR 2020 Q2 2020 Q1 2019 FY
Net Revenues 11.2 12.6 40.8
MGI revenue share 37% 48% 49%
EBITDA 1.0 0.8 2.9
EBITDA margins 9% 7% 7%

The interim consolidated financial statements of the Media and Games Invest-Group have been prepared in accordance with the International Financial Reporting Standards (IFRS) and have been neither subject to a full scope audit nor subject to a limited review by a statutory auditor.

With regard to the definition of the key performance indicators, the company refers to the relevant definition in its Q2 Report, available from now on on the companies website (
under Financial Reports in the Investor Relations section.

About Media and Games Invest plc:
Media and Games Invest plc, MGI, is a fast and profitable growing company in the synergetic sectors of digital media and online games. The company combines organic growth with value-generating acquisitions. The MGI Group has successfully acquired over 30 companies and assets over the past six years. The acquired assets and companies are integrated and amongst others technology is actively used to achieve efficiency gains and competitive advantages. Media and Games Invest is listed on the Frankfurt Stock Exchange and on XETRA.

This press release contains possible forward-looking statements that are based on the current assumptions and forecasts of the company management of Media and Games plc or companies associated with it. Various known and unknown risks and uncertainties, as well as other factors, could mean that the actual results, financial circumstances, the development or performance of Media and Games invest plc and the companies associated with it may deviate significantly from the estimations presented here. Neither Media and Games Invest plc nor the companies associated with it are obligated to update this sort of forward-looking statement or adjust them to future results or developments.

Press contact:
edicto GmbH
Axel Mühlhaus / Dr. Sönke Knop
Telephone: +49 69 9055 05 51

Media and Games Invest plc
Sören Barz, Head of Investor Relations
St. Christopher Street 168
Valletta VLT 1467