Better Collective (BETCO) Q3 2025 earnings summary

Executive summary

• Q3 revenue was €78 million, with EBITDA at €21 million, both impacted by a record-low sports win margin, reducing revenue and earnings by €10 million compared to last year.

• Underlying business growth was strong, especially in North America where revenue share more than doubled year-over-year, and Brazil outperformed expectations despite regulatory headwinds.

• The launch of Playbook, an AI-powered betting solution, marked a strategic shift from user acquisition to retention, driving millions of bets and high user adoption within weeks.

Financial highlights

• Group revenue declined 4% year-over-year to €78 million, mainly due to sports win margin and regulatory impacts in Brazil.

• EBITDA before special items was €21 million, margin 26%, with cost reductions partially offsetting margin impacts.

• Free cash flow for the last twelve months was €32 million, supporting guidance of €55–75 million for the year.

• Operational cash flow before special items showed a cash conversion of 168%.

• Net profit after tax was €2 million, with EPS of €0.03.

Outlook and guidance

• Full-year 2025 guidance unchanged: revenue €320–350 million, EBITDA before special items €100–120 million, free cash flow €55–75 million, net debt to EBITDA below 3x.

• 2027 targets include positive organic growth from 2026 and an EBITDA margin of 35–40%.

• Brazilian regulatory changes expected to reduce short-term revenue share income by 50–70%, impacting EBITDA by €35–50 million.