Bragg Gaming Group (BRAG) Q3 2025 earnings summary

Executive summary

• Achieved record Q3 2025 revenue growth in key markets: U.S. up 86% and Brazil up 80% year-over-year, driving proprietary content revenue up 35% and offsetting a 22% decline in the Netherlands due to regulatory changes.

• Revenue excluding the Netherlands grew 20% year-over-year, reflecting successful diversification and expansion in regulated iGaming markets, with non-Netherlands markets projected to account for 68% of 2025 revenue.

• Proprietary content now represents 16% of total revenue, with half of this segment's Q3 revenue from the U.S.; 35 new proprietary casino games launched in 2025, with 70% of Q3 revenue from pre-2025 releases.

• Net loss widened to €2.3 million (€0.09 per share) in Q3 2025, while Adjusted EBITDA rose 9% to €4.45 million.

• Product mix continues to shift toward higher-margin proprietary and exclusive content, supporting improved profitability.

Financial highlights

• Q3 2025 revenue was €26.8–27.2 million, up 2% year-over-year; excluding the Netherlands, revenue grew 20%.

• Gross profit increased 5% year-over-year to €14.7 million, with gross margin up 115 basis points to 54.7%.

• Adjusted EBITDA grew 9% to €4.4–4.45 million, with margin rising 100 basis points to 16.6%.

• North America and Brazil accounted for 22% of total revenue, up from 12% a year ago.

• Proprietary content revenue rose to €4.2 million, representing 15.7% of total revenue, up from 11.9% a year ago.

Outlook and guidance

• Maintaining full-year 2025 guidance: revenue projected at €106–108.5 million and adjusted EBITDA at €16.5–18.5 million.

• Operational leverage and margin expansion expected to continue into Q4 and 2026, driven by proprietary content and process optimization.

• Strategic shift to proprietary and exclusive content expected to drive further margin growth in 2026.

• Management remains confident in long-term value creation and continued expansion in regulated markets.

• Anticipates 68% of 2025 revenue from non-Netherlands markets.