Bragg Gaming Group (BRAG) Q1 2025 earnings summary

Executive summary

• Achieved 7.1% year-over-year revenue growth in Q1 2025, with 27% growth excluding the Netherlands due to regulatory headwinds.

• Adjusted EBITDA grew 19.7% to EUR 4.1 million, reflecting operational leverage and cost controls.

• Gross profit margin increased by 612 bps to 56%, driven by a higher mix of proprietary content.

• Strategic focus on expanding proprietary content, operational leverage, and margin-accretive revenue streams, reducing reliance on the Netherlands and BetCity.

• Strong momentum in the U.S. and Brazil, with triple-digit U.S. GGR growth and Brazil contributing up to 10% of 2025 revenue.

Financial highlights

• Q1 2025 revenue: EUR 25.5 million, up 7.1% year-over-year; gross profit: EUR 14.3 million, up 20.3%.

• Gross profit margin: 56% (Q1 2025) vs 49.9% (Q1 2024), up 612 bps.

• Adjusted EBITDA: EUR 4.1 million, up 19.7% year-over-year; margin at 16%, up 169 bps.

• Proprietary content revenue grew 62% year-over-year to EUR 3.9 million, now 15.5% of total revenue.

• Operating cash flow was EUR 4.5 million, up over 61% year-over-year; free cash (excluding non-recurring items and FX) at EUR 0.9 million.

Outlook and guidance

• 2025 guidance: revenue EUR 117.5–123.0 million, adjusted EBITDA EUR 19.0–21.5 million.

• Expect continued margin expansion and cash generation from proprietary content and platform solutions.

• U.S. and Brazil expected to be key growth drivers; Brazil could contribute up to 10% of 2025 revenue.

• Anticipate further upside from new market entries (e.g., Ohio, Alberta) and regulatory changes in Europe.