GDEV Holding: Portfolio Companies and Growth Strategies

With hit games Hero Wars, Pixel Gun 3D, and others, GDEV Holding is now a key player in the gaming industry. The numbers speak for themselves: over $2.5 billion in revenue, more than 550 million downloads, and a monthly player base of over 11 million. Moreover, the company’s shares are listed on the Nasdaq stock exchange with the ticker symbol $GDEV.

This article covers how a global game developer and publisher manages its portfolio companies and its growth strategies.

From a Small Studio to a Gaming Leader.

Now a global entertainment holding, GDEV started as a small studio with big ambitions in 2010. The pivotal moment happened in 2019-2020 when the company increased its revenue 10x times, positioning itself to step onto the big stage with an IPO on NASDAQ, the world’s largest stock exchange. CEO Andrey Fadeev recognised that the journey was challenging but important for further business growth.

Headquartered in Limassol, Cyprus, the company now operates four gaming studios with over 900 employees and serves globally: 34% of the revenue comes from the US, 29% from Europe, and 22% from Asia.

The USA remains the key market for the holding, and CEO Fadeev sees it as the main driver of future expansion. However, Asia is developing fast and has almost caught up with other markets.

What makes holding successful and profitable in the long term?

GDEV doesn’t hide its ambitious mission: to create “forever franchises” that have the ability to adapt to changing player preferences and market trends using accumulated expertise and constantly improving games. With four in-house studios focused on achieving top positions in their respective genres, the company has a level of diversification that supports its success.

GDEV actively manages its studios by setting growth trajectories, supporting long-term strategic development, and fostering collaborative success across the portfolio. Thanks to this approach, GDEV is continuously expanding its range of services to increase its market share and enhance opportunities for capital allocation.

“At GDEV, we see ourselves as an efficient machine for capital allocation and operational enhancement, strategically balancing our game studios and their titles. Our goal is to reach key audience segments across genres, reinforcing our market presence across platforms. We’re dedicated to maximising capital returns from each studio and game while expanding our offerings to create more opportunities on the capital markets,” says Andrey Fadeev, GDEV CEO.

Moreover, we are actively experimenting with new media formats, like collaborations, animations, and webcomics, to help attract new audiences. For example, we recently partnered with Embracer to feature Lara Croft in Hero Wars, receiving positive feedback from our community. The collaboration brought in over 500,000 new players and resulted in a financial uplift with a high ROI. The success of this collaboration not only boosted our brand visibility but also provided valuable experience, opening the door for future partnerships. 

 Another example is comics about the Hero Wars Universe, which is made in a manga style and largely oriented towards a Japanese audience. 

Despite focusing on existing franchises, GDEV constantly experiments with new game ideas and tests them quickly and efficiently. The company invests in external R&D teams working in the early stages of projects to diversify its portfolio and explore new genres and platforms.

The company’s management highlights that companies with strong, established brands and resources can better navigate market challenges. GDEV is a great example: Hero Wars became a top game in its genre thanks to an active social media community of over 4 million people!

Looking ahead, GDEV is exploring opportunities to expand into new markets and genres, as well as new platforms like VR. By leveraging our existing strengths and capabilities, the company aims to capture a larger share of the global gaming market. Ultimately, GDEV’s long-term vision is to provide the best game experience for each player, focusing on developing and nurturing top-tier games within key genres.

Inside GDEV’s Game Studios

GDEV’s portfolio is diverse and impressive. Four studios produce a wide range of games for different genres and platforms. Each studio works with its unique vision and focus and contributes to the holding’s success. Studios work on developing their genres and creating a diverse range of games.

Here is a brief overview of GDEV’s studios:

• Nexters: A well-known Studio in the gaming industry, Nexters has almost 600 employees, and three hit mobile games: Hero Wars Alliance, Hero Wars: Dominion Era, and Island Hoppers. Hero Wars is one of the top 3 free-to-play RPGs worldwide (by downloads, AppMagic 2024)

• Cubic Games: The studio developed Pixel Gun 3D, one of the famous and best mobile shooters worldwide and a top seller and the most popular shooter game on Steam (Steam rating), which recouped its development costs in just one day.

• Royal Ark: Originally focused on mid-core games, the studio switched to the casual genre with a hybrid monetisation model.

• Game Gears: Acquired in 2022, Game Gears specialises in hybrid casual games with a strong focus on research and development.

Future Plans: To Provide the Best Gaming Experience

As the mobile gaming market continues to grow in the coming years, GDEV explores opportunities to expand into new markets and genres.