Kambi Group’s leadership has described Q2 2025 as a quarter that “reflected both the resilience of business” and “the evolving dynamics of the industry,” as the sports betting supplier navigated challenging market conditions.
The period was marked by tough year-on-year comparisons due to huge betting events of the Euros and Copa America taking place last year, alongside FX pressures and new regulatory hurdles.
Tough comparisons with last year’s summer of sport have been noted by betting operators too, like Betsson and evoke. However, like these firms, Kambi’s trading weathered the storm with a trading margin of 11.5%, above its long-term expected range of 9.5%-11.0%, aided by increased usage of Bet Builder.
“While results were in line with our expectations, they came against a backdrop of challenging market conditions and tough comparisons with Q2 2024,” said CEO Werner Becher.
“Last year’s quarter benefited from the uplift of the Euros and Copa América and included the last full quarter of transition fees from Penn Entertainment.
“Meanwhile, challenging dynamics include foreign exchange movements and regulatory and tax headwinds, such as deposit limits in the Netherlands and Colombia’s VAT, which continue to affect performance.”
Total Q2 revenue came in at €40.5m, which was down 11.5% from the previous year. However, when excluding €4.5m in transition fees received in Q2 2024, the decline was just 2.0%, suggesting a more stable underlying performance.
For the first half of 2025, revenue totalled €81.9m, a year-on-year decrease of 7.9%, but excluding transition fees, that figure actually marked a 2.3% increase.
Adjusted EBITA in the second quarter fell to €3.7m (Q2 2024: €7.5m), at a margin of 9.2%, while operating profit dropped to €1.6m (Q2 2024: €6.2m). Meanwhile, earnings per share for the quarter were €0.009, compared to €0.155 the previous year.
Cost discipline
Kambi also initiated its largest-ever share buyback with SEK 165m (€15m) allocated to be repurchased by 21 November 2025. Total expenses in Q2 were down 3.8% year-on-year to €38.1m, with the company noting the early impact of its ongoing 2025 efficiency programme.
Becher added: “The continuation of our 2025 efficiency programme can now start to be seen in our cost base and will continue to drive increased leverage throughout the year.”
Global partnership expansions
Helping to drive revenues moving through Q3, just a couple of weeks ago Kambi netted a two-year sportsbook extension with LeoVegas Group, alongside a new Odds Feed+ agreement – making LeoVegas the fourth operator to adopt the product since its launch in 2024.
“While Turnkey partner churn is an inevitable part of the business, it is encouraging to see our product portfolio evolving in ways that now enable us to retain partners through our more extensive product offering,” added Becher.
Kambi has also this week secured a new Turnkey deal with RedCap in Latin America. The partnership will initially see the launch of Betpro and Starplay in Panama and El Salvador, with plans to expand into retail and additional markets.
“RedCap will be transitioning from a competing supplier, underlining our position as the home of premium sports betting solutions,” said Becher.
Esports gains momentum
Furthermore, Kambi’s esports product was another highlight in the report becoming the fifth-largest sport by turnover across the company’s network during the quarter. The supplier emphasised that esports is not only helping to differentiate its Turnkey platform, but is fast becoming a key value driver for the Odds Feed+ product.
“We believe we have a leading esports product, one that’s not only proving its worth on the Turnkey but is fast becoming a unique selling point for our Odds Feed+ product, with few operators possessing this capability in-house,” Becher added.
While reaffirming that the year is playing out mostly as expected, Becher made clear his belief that there is still room for improvement: “I want to reiterate that I am not satisfied with where we are at today, with my ambition for the business being far greater.”
