SBC News Voice of the Sports Betting Industry
On the backdrop of a revenue slowdown in Q4 ‘23, igaming company Bragg has assembled a new committee to look over potential strategic routes for the business going forward.
Some of these routes could include full or partial assets sale, a merger/acquisition, and/or a review of the company’s financing – with no due date for a decision being given by the committee’s Chair, Don Robertson.
The group, however, has added that it remains focused on current commercial goals set for the rest of the year.
Slow Q4 but strong full year
The announcement of a new committee coincides with the gambling group’s latest financial report, which unveils Q4 revenues of €23.4m – a 1.3% decrease. Also highlighted was an operating loss of €431,000 in comparison to the €162,000 profits in 2022 for that quarter.
Aside from that, revenue for the full-year ending 31 December 2023 was up by 10.4% YoY, reaching a total of €93.5m.
Matevž Mazij, Bragg CEO, commented: “By continuously expanding our portfolio of higher-margin proprietary and exclusive third-party games to a wider range of new partners at an accelerated pace, we are well positioned for long-term growth in top-line revenue, gross profit and adjusted EBITDA, along with improved operating margins.”
Adjusted EBITDA for the MGA-licensed group in 2023 increased to €15.2m – up by 25.6%.
European growth
Looking at Bragg’s European market presence, the Netherlands remains the group’s main focus with a total 2023 revenue of €33.6m, despite being 8.9% lower than the previous corresponding period (2022: €36.9m).
The Czech Republic saw an increase in revenue by 27.3% to reach €8.4m, Malta revenue went up 22.6% to €17.9m, Croatia rose by 43.3% to reach €4.3m, while Serbia revenue climbed 12.5% for a total of €1.8m.
Mazij added: “The global distribution of our proprietary and exclusive third-party content is rapidly expanding, particularly among an increasing number of tier-one operators. We anticipate a further surge in the global adoption of these games in 2024.
“Last year, we successfully launched a total of 29 new proprietary online titles worldwide, including 26 proprietary titles newly introduced to the European online casino markets and 15 proprietary titles newly introduced to the North American online casino markets. We expect to maintain or exceed this pace of game releases this year.”
The CEO concluded: “Our strategic actions have positioned Bragg as an essential content source for leading international igaming operators, strengthening our groundwork for consistent and profitable development.
“With confidence, we affirm our readiness with the appropriate strategies, financial strength and infrastructure to maintain our business momentum while executing initiatives that foster cash flow growth and generate added value for our shareholders.”
