Betmakers Technology Group (BET) H1 2025 earnings summary

Executive summary

• Achieved $32 million in annualized cost savings and completed cost base restructuring, positioning for scalable growth and improved profitability.

• Launched new technology platforms (Apollo, GTX, Advantage), driving operational efficiency and product innovation.

• Expanded global footprint to over 60 wagering operators in 45 regulated jurisdictions and 30+ countries.

• Secured major partnerships, including Sportradar, Sportingtech, and GiG, expanding international reach.

• Net loss after tax increased to $17.1 million in 1H FY25, impacted by lower gross margin and higher income tax expense.

Financial highlights

• Revenue for 1H FY25 was $41.4 million, down from $51.4 million in 1H FY24, mainly due to legacy customer impact.

• Adjusted EBITDA loss reduced to $1.3 million from $1.4 million in 1H FY24.

• Gross margin was 59.6% for 1H FY25, with expectations to reach 65% by FY26.

• Operating expenses reduced to $59.6 million (annualized), targeting $55 million.

• Operating cash flow improved 43% quarter-on-quarter for the December quarter.

Outlook and guidance

• Revenue growth anticipated in FY26, with early impact from growth initiatives in late 2H FY25.

• EBITDA and operating cash flow expected to turn positive in 2H FY25 if current trends continue.

• Focus on improving operating margins, delivering technology upgrades, and targeting new customers with higher gross margins.

• Long-term goals include 70% gross margins and 25%+ EBITDA margins.

• Targeting a run-rate of cash operating expenses of $55 million before FY25 year-end.