Gambling.com Group (GAMB) Q2 2024 earnings summary

Executive summary

• Achieved record Q2 2024 revenue of $30.5 million, up 18% year-over-year, with Adjusted EBITDA of $11.2 million, up 19%, and net income rising to $6.9 million from $0.3 million.

• Over 108,000 new depositing customers delivered, a 19% increase, driven by strong iGaming growth in Europe and resilient North American performance.

• Raised full-year 2024 guidance, now expecting 15% revenue growth and 24% Adjusted EBITDA growth at the midpoint.

• Integration of Freebets.com is ahead of expectations, contributing to growth in other Europe.

• Completed acquisition of Freebets.com and repurchased over 1.6 million shares in 2024, reflecting confidence in future growth.

Financial highlights

• Q2 revenue reached $30.5 million, a record, with over 108,000 NDCs delivered, up 19% year-over-year.

• Gross profit increased 16% to $29.1 million; gross margin rose to 95% from 92% in Q1.

• Adjusted EBITDA margin improved to 37% from 36% a year ago.

• Adjusted net income rose 13% to $7.4 million; adjusted diluted EPS up 18% to $0.20.

• Free cash flow was $6 million, down from $8.7 million a year ago due to working capital and capex for new U.S. offices.

Outlook and guidance

• 2024 revenue guidance raised to $123–$127 million, midpoint up 15% year-over-year.

• Adjusted EBITDA guidance raised to $44–$47 million, midpoint up 24% year-over-year.

• Guidance excludes contributions from new acquisitions and assumes no additional U.S. state launches beyond North Carolina.

• Full-year cost of sales expected at $6.5 million, with $3.7 million incurred in H1.

• Guidance assumes no new North American markets and no further acquisitions beyond Freebets.com.