Operational efficiency is highlighted by an OCF/NI ratio of 1.31 in 2026Q1, though capital allocation remains stagnant with negligible dividends or buybacks reported.
| Cash from Operations | 141.55M | 136.84M | 148.45M | 24.09M | 50.79M | 96.11M | 99.85M | 76.66M | 74.53M |
| Operating CF Margin % | - | 38% | 43.49% | 7.8% | 15.82% | 26.46% | 27.86% | 28.02% | 27.92% |
| Operating CF Growth % | -37.65% | -7.82% | 516.27% | -52.57% | -47.15% | -3.75% | 30.25% | 2.87% | - |
| Net Income | 114.01M | 102.55M | 124.44M | 101.08M | -233.98M | 78.11M | 53.62M | 36.33M | 25.05M |
| Depreciation & Amortization | 8.02M | 7.4M | 5.19M | 3.47M | 3.8M | 17.92M | 31.57M | 33.42M | 30.1M |
| Stock-Based Compensation | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 17.11M | 0 | 38.44M | 30.27M | -84.98M | 5.98M | 4.42M | 2.71M | 3.19M |
| Other Non-Cash Items | 584.61K | 22.64M | -31.53M | 3.32M | 271.22M | -2.06M | 5.35M | 9.67M | 12.1M |
| Working Capital Changes | 1.75M | 4.25M | 11.91M | -114.04M | 94.73M | -3.84M | 4.88M | -5.46M | 11.31M |
| Change in Receivables | 5.71M | 3.32M | 1.46M | -11.4M | -46K | 1.64M | -4.1M | -3.68M | 3.48M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 5.07M |
| Change in Payables | -1.92M | 3.18M | 5.51M | -3.24M | -239K | -2.05M | 5.83M | -1.63M | 3.16M |
| Cash from Investing | -72.37M | -81.75M | -15.61M | -30.27M | -67.83M | -1.81M | -2.17M | -200K | -3.18M |
| Capital Expenditures | -207.2K | -292.16K | -867K | -198K | -269K | -207K | -217K | -200K | -3.18M |
| CapEx % of Revenue | 0.06% | 0.08% | 0.25% | 0.06% | 0.08% | 0.06% | 0.06% | 0.07% | 1.19% |
| Acquisitions | -61.29M | -61.6M | 0 | -26.88M | 0 | 0 | -1.95M | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - |
| Other Investing | 4K | 0 | -5K | 5K | 22K | -58K | -6K | 0 | 0 |
| Cash from Financing | -1.57M | -1.35M | -2.01M | -3.25M | 0 | 86.04M | -76.27M | -61.79M | -46.68M |
| Debt Issued (Net) | -641K | 0 | -1.7M | -3.25M | 0 | 0 | -76.27M | -66.92M | -48.55M |
| Equity Issued (Net) | 0 | 0 | 0 | 0 | 0 | 86.04M | 0 | 0 | 0 |
| Dividends Paid | -85.05K | -85.05K | -311K | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -847.51K | -1.27M | 0 | 0 | 0 | 0 | 0 | 5.12M | 1.87M |
| Net Change in Cash | 68.89M | 54.43M | 127.94M | -10.44M | -24.71M | 178.87M | 20.77M | 11.45M | 22.9M |
| Free Cash Flow | 141.44M | 136.65M | 147.56M | 23.89M | 50.52M | 95.84M | 99.63M | 76.46M | 71.34M |
| FCF Margin % | 38.17% | 37.95% | 43.23% | 7.73% | 15.74% | 26.39% | 27.8% | 27.95% | 26.73% |
| FCF Growth % | -8.35% | -7.39% | 517.68% | -52.71% | -47.29% | -3.8% | 30.3% | 7.17% | - |
| FCF per Share | 2.85 | 2.76 | 2.98 | 0.48 | 1.02 | 2.08 | 2.25 | 1.54 | 1.44 |
| FCF Conversion (FCF/Net Income) | 1.24x | 1.33x | 1.20x | 0.24x | -0.22x | 1.23x | 1.86x | 2.11x | 2.97x |
| Interest Paid | 0 | 0 | 0 | 130K | 0 | 0 | 5.89M | 9.78M | 15.56M |
| Taxes Paid | 0 | 0 | 0 | 526K | 15.98M | 18.82M | 12.55M | 10.2M | 3.6M |
Single product concentration risk
According to the provided quarterly data, DDI consistently generates operating cash flow in excess of net income, with an OCF/NI ratio frequently exceeding 1.20, which suggests that the company's reported earnings are of high quality and supported by actual cash inflows from its core gaming operations.
The persistent gap where operating cash flow exceeds net income indicates that non-cash charges and working capital movements are consistently additive to the company's liquidity position. This trend suggests that DDI's accounting practices are conservative, as the firm does not appear to rely on aggressive accruals to bolster its bottom-line performance.
As reported in financial statements, DDI maintains robust free cash flow margins that have reached as high as 57% in recent periods, demonstrating that the business model requires minimal capital reinvestment to sustain its current revenue levels and support the ongoing monetization of its legacy player base.
The trajectory of free cash flow remains highly favorable, largely because the company operates with negligible capital expenditure requirements. Investors should monitor whether this high-margin cash generation can persist if the company is forced to increase marketing spend to offset the natural aging of its flagship title.
Based on DDI's reported figures, capital expenditures remain near zero, with the CapEx/Revenue ratio consistently below 1% over the last ten quarters, which highlights the company's status as a capital-light software entity that does not require significant physical asset replacement to maintain its competitive market position.
The lack of meaningful capital investment suggests that the company's infrastructure is largely established and scalable without further heavy outlays. This capital-light profile is a primary driver of the company's ability to accumulate significant cash reserves, though it may also imply a lack of aggressive investment in new product development.
Analysis of the cash flow statements reveals that working capital changes have been inconsistent, swinging from a $20.8M contribution in 2024Q4 to a $10.4M drag in 2023Q4, which suggests that the timing of user payments and platform fee settlements can cause significant quarterly fluctuations in cash flow.
These swings in working capital appear to be driven by the timing of revenue recognition and the settlement cycles with major mobile app store platforms. While these movements are typical for the industry, the volatility warrants further investigation to ensure that they do not mask underlying shifts in the speed of cash collection from the player base.
As indicated by the provided financial data, DDI has accumulated a substantial cash position while maintaining zero debt, yet it has returned negligible capital to shareholders via dividends or buybacks, suggesting a highly conservative capital allocation strategy that prioritizes liquidity over immediate return on invested capital.
The company's decision to retain nearly all generated cash on the balance sheet may indicate that management is preparing for a strategic acquisition or is being constrained by the parent company's broader capital requirements. Investors should monitor whether this cash pile will eventually be deployed to drive growth or if it will continue to sit idle, potentially dragging on the company's overall return on equity.
Quick answers to the most common questions about buying DDI stock.
DoubleDown Interactive Co., Ltd. (DDI) generated $136.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
DoubleDown Interactive Co., Ltd. (DDI) generated $136.7M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
DoubleDown Interactive Co., Ltd. (DDI) spent $0.3M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, DoubleDown Interactive Co., Ltd. (DDI) returned $0.1M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.