Bragg Gaming Group anticipates 2019 revenue to hit the higher end of expectations, as the firm posts a financial outlook for the year ahead in which it praises a “potential breakthrough in German regulations”.
Publishing a business update, including preliminary 2019 financial results and a 2020 financial outlook, Bragg expects 2019 revenue to come in at approximately €26m for 2019, representing growth of over 37 per cent as compared to 2018 on a pro forma basis, if Oryx had been a part of the group during the period. The group’s €1.4m EBITDA will be positive for the first time.
Management of Bragg Gaming Group attributes growth to:
- The core casino aggregator platform performing “extremely well” in sales processes.
- Successful notable new client wins, including Unibet, Betsson, Leo Vegas, BetClic and Mr Green.
- Stabilisation and growth of key German revenues following renewal of licenses in the middle of the year.
- Growth of regulated revenues, including in Columbia through its agreement with FullReto.co, as well as Romania, Sweden and Croatia.
Furthermore, the company anticipates revenue to be in the range of €35 – €38m, an increase of 48 per cent, with EBITDA expected to hit €5.5m, a larger increase due to continuing improvements in cost efficiency as the group continues to scale.
Bragg also lauds recent news emanating from the German market, which represents in the region of 40 per cent of total revenue, with “a positive outlook” praised. This follows all 16 autonomous states agreeing in principle to allow federal casino and poker provisions.
Finally, the organisation also provides an update to the strategic review of its online media division, which includes the GiveMeSport and GiveMeBet assets.
The third-party led review concluded last month, in line with the initial timeline outlines, with Bragg stating that it is currently in an exclusivity period with a preferred partner for the sale of the business. The group aims to finalise and close this transaction by the end of 2020’s first quarter.
“I am very pleased with the immense progress we’ve made throughout 2019 and with our position looking into 2020,” stated Dominic Mansour, CEO of Bragg.
”We are keen to capitalise on the strong growth in the gaming industry and are focused on continually improving our B2B operations by building new relationships with large operators across Europe, Latin America and the United States, as well as partnering with notable industry players who complement our offering.
“We have an exciting 1Q20 ahead with several important announcements in the pipeline, and I look forward to updating the investment community as we continue to execute on our strategy.”