ZEAL Network (TIMA) H2 2025 earnings summary

Executive summary

• Achieved double-digit revenue growth and significant gross margin improvement in 2025, driven by business model diversification and a record customer base, despite a weak jackpot environment.

• Raised over €375 million for charitable causes and delivered on all strategic objectives, including scaling Traumhausverlosung and accelerating games growth.

• New growth areas included the Dream House Raffle and an expanded Games portfolio, supporting long-term expansion.

Financial highlights

• Revenue grew by 16% year-over-year to €218.5 million, with gross margin improving to 17.7%.

• EBITDA rose by 11% to €68.8 million, reflecting efficient growth and strong operational performance.

• Lottery revenue increased by 16% to €195.3 million, and Games revenue surged by 46% to €14.4 million.

• Marketing spend increased by 20–21% to €68.6 million, supporting customer acquisition.

• Net profit after tax declined by 29.8% to €41.7 million due to prior-year deferred tax asset recognition.

Outlook and guidance

• For 2026, targeting revenues of €250–260 million and EBITDA of €70–75 million, assuming average jackpot development.

• Marketing investment planned to rise to €85–95 million, supporting further growth across all business segments.

• At least six Traumhausverlosung draws planned for 2026, with billings growth of over 60% expected.

• Midterm guidance aims for double-digit annual revenue growth in the mid-teens and maintaining EBITDA margin above 30%.