Gambling.com Reports Record Q1 Revenue
Gambling.com Group has reported an impressive 39% year-on-year revenue increase, achieving $40.6 million in Q1. This notable success can be attributed to strategic acquisitions that have significantly broadened the company’s portfolio within the online betting sector.
Revenue derived from sports data services skyrocketed by 405%, reaching $9.9 million following the January acquisition of Odds Holdings, the parent company of OddsJam and OpticOdds. OddsJam offers an innovative odds comparison service across over 100 online sports betting platforms, employing a subscription model that caters to both bettors and gambling enterprises with various analytical tools.
CEO Charles Gillespie stated, “We entered 2025 with our marketing business at unprecedented heights and an enhanced suite of sports data services following our acquisitions.” He further emphasized, “The establishment of meaningful recurring subscription revenues is expected to contribute over 20% to our 2025 revenue, increasing our revenue visibility while providing a complementary, high-margin, and high-growth profit source.”
Cost Management Amid Profit Growth
Subscription services contributed to 24% of the company’s revenue for the quarter, while free cash flow experienced a robust 25% increase, totaling $10.3 million despite rising operational costs due to company expansion. Operating expenses escalated to $28.4 million, influenced by increased personnel costs and the amortization of various acquisitions, including XLMedia’s assets in Europe and Canada.
The company reported a striking 56% increase in adjusted EBITDA, reaching $15.9 million. In its financial disclosures, Gambling.com Group reiterated its full-year 2025 guidance, forecasting revenues between $170 million and $174 million and adjusted EBITDA in the range of $67 million to $69 million.
“We anticipate 2025 will usher in another year of record revenue alongside increased adjusted EBITDA and free cash flow as we leverage the skills and expertise of our talented team, enhanced by a larger product offering to fuel growth across all our operational regions,” Gillespie noted. He added, “Each day brings us closer to our ambitious goal of generating $100 million in annual adjusted EBITDA.”
Challenges Faced by Competitors in the Gambling Affiliate Space
While Gambling.com has reaped the benefits of its bold strategy, other gambling affiliate organizations like Raketech, Gentoo, and Catena Media have encountered revenue declines in Q1, necessitating operational cutbacks and staffing reductions. For instance, regulatory changes in Brazil led to a significant customer loss for Gentoo, whereas Catena’s acquisition of SEO-focused websites has not yielded the anticipated results. This situation underscores Gambling.com’s approach of diversifying income streams to mitigate dependence on ever-evolving regulations and fluctuating SEO algorithms.
The expansion of the U.S. gambling market, particularly with the inclusion of Missouri sports betting this year, is poised to further enhance the company’s growth prospects. The overall gambling affiliate industry is currently valued at approximately $17 billion, with projections suggesting growth to $27 billion by 2027, positioning Gambling.com Group advantageously within this burgeoning sector.
Adam Roarty is a seasoned writer with extensive experience in the gambling industry. Over the past five years, he has contributed as a content writer and editor for reputable sites such as Oddschecker, CoinTelegraph, and Gambling Industry News, showcasing a profound understanding of sports betting and online gambling dynamics.
