F

Playtika Holding Corp. — Earnings Quality Grade F

PLTK · Communication Services

Major red flags

Revenue
$2.8B
2025
Net Income
-$206M
2025
Gross Margin
72.5%
Free Cash Flow
$482M
01

Screening Summary

13
Passed
2
Watch
2
Failed
-3.72
M-Score

Management Signals

No recent CEO, CFO, board, or accounting leadership signals found in SEC 8-K filings.
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO 21 days, change -5 days YoY

A2AR vs Revenue Growth

AR growth -13.8% vs revenue growth 8.1%

A3Revenue vs CFFO

Revenue 8.1%, CFFO 15.8%. Cash follows revenue

02

Expense Quality

B1Inventory vs COGS

No material inventory

B2CapEx vs Revenue

CapEx growth -7.7% vs revenue 8.1%. Normal

!
B3SG&A Ratio

SG&A/Gross Profit = 78.6%, exceeds 70%

B4Gross Margin

Gross margin 72.5%, change -0.4pp. Stable

03

Cash Flow Quality

!
C1CFFO vs Net Income

CFFO/NI = -2.75. Below 1.0

C2Free Cash Flow

FCF $0.5B, FCF/NI = -2.33

C3Accruals Ratio

Accruals ratio = -20.8%. Low accruals

C4Cash vs Debt

Cash $0.8B covers only 32% of debt $2.5B

04

Balance Sheet Health

D1Goodwill + Intangibles

Goodwill+Intangibles $2.1B = -516% of equity. Manageable

D2Leverage

Debt/EBITDA = 12.3x (>4x). Interest coverage = 0.0x (<2x). Financial stress

D3Soft Asset Growth

Insufficient data

D4Asset Impairment

Write-offs normal

05

Acquisition Risk

E1Serial Acquirer FCF

FCF after acquisitions positive

E2Goodwill Surge

Goodwill+Intangibles change -6% YoY. Normal

06

Manipulation Score

F1Beneish M-Score

M-Score = -3.72 (< -2.22). Unlikely manipulator

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04

Beneish M-Score

Manipulation Probability-3.72
-4.0 Clean-2.22 Grey-1.78 Danger0
0.798
DSRI
AR growing faster than revenue?
1.005
GMI
Gross margin declining?
0.928
AQI
Asset quality deteriorating?
1.081
SGI
Revenue growth rate
0.879
DEPI
Depreciation slowing?
1.461
SGAI
SG&A ratio changing?
-0.2082
TATA
Accruals level
1.111
LVGI
Leverage increasing?
05

Altman Z-Score

-1.09
Distress Zone
0 Distress1.102.605.0+ Safe
0.0258
Liquidity
-0.3364
Cumulative profit
-0.008
Operating efficiency
-0.0996
Leverage

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25