TORONTO, June 30, 2020 (GLOBE NEWSWIRE) -- Bragg Gaming Group Inc. (TSXV: BRAG, OTC: BRGGF) (“Bragg”, the “Group” or the “Company”) today released its financial results for the three-months ended March 31, 2020. Bragg is pleased to announce that the Company continued its strong upward revenue and Adjusted EBITDA* growth trajectory over the quarter, achieving 44 per cent revenue growth year-over-year and 100 per cent Adjusted EBITDA growth year-over-year.
Continued focus on revenue diversification contributed to Bragg’s robust results, including the signing of new agreements with nine leading industry companies, including Gamesys Group, SkillOnNet, Leon, CasinoSecret and Hub88. The Company is also in advanced discussions with an additional 20 potential new customers in licensed jurisdictions in Europe and Latin America.
“We’re very pleased that we’ve been able to build on the strong trajectory that we achieved in 2019,” said Dominic Mansour, CEO of Bragg. “We’ve continued to emphasize revenue diversification and have delivered strong growth across our operators, with the introduction of new features and functionality on our platforms. We have continually improved our content pipeline and have signed multiple new customers globally.”
While acknowledging the widespread adverse impact of the global COVID-19 pandemic on people and businesses globally, Bragg’s business has experienced a significant increase in revenue, as people chose to seek safe entertainment alternatives they can enjoy in their own homes.
“We’ve also focused on expanding our presence in the burgeoning U.S. gaming market,” Mr. Mansour noted. “We established a foothold there last year with our Kambi and Seneca partnership and are now evaluating opportunities to expand further.”
First Quarter 2020 Highlights and Business Advancements
- Group revenue of €8.8m (C$13.6 million†) vs €6.1m (C$9.4 million) in Q1 of 2019, representing 44 per cent growth year on year
- Group Adjusted EBITDA of €0.8m (C$1.2 million), representing 100 per cent growth over Q1 of 2019
- Successful launch of multiple new operators including Croatian-based Admiral Group, Betcris, SkillOnNet, and LottoLand
- Decreased dependence on revenue from German-facing operators with Schleswig-Holstein licenses; this revenue decreased to 30 per cent of total revenues vs 46 per cent in Q1 of 2019, demonstrating the underlying success of the Group’s diversification efforts and international growth initiatives.
Second Quarter 2020 trading update and full year 2020 Financial Guidance
The Group’s financial outperformance continued into the second quarter of 2020 with revenue expected to be up by circa 30 per cent from the previous quarter. As a result, the management is confident with its financial guidance for 2020 which remains unchanged. Bragg forecasts revenue for 2020 to be in the range of €35m (C$53.9 million) to €38m (C$58.5 million) (versus actual 2019 revenue of €26.6 million (C$41.0 million)), an increase of up to 43 per cent versus 2019, with Adjusted EBITDA for 2020 in the range of €5.2m to €5.6m (C$ 8.0 million – 8.6 million) (versus actual 2019 Adjusted EBITDA of €1.2m (C$1.8 million)), which would represent a larger increase due to increased margins as the Company continues to scale, and exceptional performance in topline revenue resulting from a combination of existing customer growth and new customer contribution.
First Quarter 2020 Conference Call Information
Dominic Mansour will host the conference call along with Ronen Kannor, Bragg’s Chief Financial Officer, and Yaniv Spielberg, Bragg's Chief Strategy Officer. The conference call is scheduled to take place on June 30, 2020, at 8:30 a.m. Eastern Time.
To join the call, please use the below dial-in information:
US/Canada: +1 270 215 9892
US/Canada (toll-free): +1 866 997 6681
UK: 0 2031070289 or 0 8000288438
Passcode: 5879298
A replay of the call will be available for 7 days following the conclusion of the live call. In order to access the replay, dial +1 404 537 3406 or +1 855 859 2056 (toll-free) and use the passcode 5879298.
About Bragg Gaming Group
Bragg Gaming Group Inc. (TSXV:BRAG, OTC:BRGGF) is an innovative B2B online gaming solution provider. Leveraging their industry-leading technology, it offers a turnkey solution, including an omni-channel retail, online and mobile iGaming platform, as well as advanced casino content aggregator, sportsbook, lottery, marketing and operational services. Renowned for its rapid and seamless integration, its content aggregator combines casino, slots, live dealer, lottery, virtual sports and instant-win game content from top tier gaming content providers, along with proprietary content, and is fully compliant with major regulated jurisdictions.
Capitalizing on its current portfolio and through targeted acquisitions, Bragg is focused on becoming a leader within the evolving global gaming industry. Learn more at https://www.bragg.games.
For Bragg Gaming Group, contact:
Yaniv Spielberg, CSO, Bragg Gaming Group Inc.
+1-647-800-2282
info@bragg.games
For media enquiries or interviews, please contact:
Lina Sennevall, Square in the Air
lina@squareintheair.com
For investor inquiries, please contact:
Tim Dawson, Bragg Gaming Group Inc.
+1-289-276-1167
tim@bragg.games
For US investor inquiries, please contact:
Laine Yonker, Edison Group
+1-646-653-7035
lyonker@edisongroup.com
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* Adjusted EBITDA - excludes income or expenses that relate to exceptional items and non-cash share-based charges
† For ease of reference, we present the financial results in CAD at today’s exchange rate of €1 = C$1.5