Bragg Gaming bullish on growth prospects after record Q3
B2B gaming tech provider establishes new high-water marks with $20.9m in revenue and $10.4m in gross profit
Bragg Gaming saw across-the-board growth in the third quarter of 2022, highlighted by a record $20.9m in revenue.
The revenue figure, which equated to a 62.3% year-over-year (YOY) increase, was accompanied by a gross profit of $10.4m and $2.2m in adjusted EBITDA – both of which also represented high-water marks.
Gross profit was up 58% from $6.6m during the third quarter of 2022, while adjusted EBITDA saw a 51.6% uptick from the same period last year.
“Our operating momentum has been consistent throughout the year. As for the first nine months of 2022 revenue, gross profit and adjusted EBITDA have improved significantly, compared to the same period in 2021,” said CEO Yaniv Sherman.
Sherman cited the B2B gaming tech provider’s breadth of content offerings, global customer base, and continued expansion across the regulated North American igaming market as accelerants of growth.
That includes an igaming partnership with Bally’s Interactive that the two parties announced in September.
“We continue to make steady progress on our strategic initiatives, including the development of new proprietary content, securing exclusive distribution agreements for popular third-party content and expanding our customer base and the number of markets we serve,” Sherman said.
During the third quarter, Bragg rolled out two new in-house game studios and expanded its overall content portfolio through exclusive igaming distribution deals with third-party development studios.
Bragg also formally integrated Wild Streak Gaming and Spin Games after finalizing the acquisitions of the game studios earlier this year, helping to further bolster its overall portfolio.
“Our expanding library of proprietary and exclusive third-party content will serve us well as we deploy these new games over our newer tech stack with customers in markets we already serve, as well as when we enter new markets, particularly in North America,” Sherman added.
For the quarter, Bragg generated wagering revenue of $4.6bn and had a gross profit margin of 50%.
The Toronto-based firm reiterated its full-year 2022 revenue and adjusted EBITDA guidance of $76m to $80m and $10m to $11m, respectively.