Gambling.com (GAMB)

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Gambling.com (GAMB) - 2024 Q2 - Earnings Call Transcript
2024-08-15 14:29
Financial Data and Key Metrics Changes - Revenue for Q2 2024 reached a record $30.5 million, reflecting an 18% year-over-year growth, while adjusted EBITDA grew 19% to $11.2 million [4][10] - Gross profit increased by 16% year-over-year to $29.1 million, with gross margins rising to 95% from 92% in the previous quarter [11] - Adjusted net income rose 13% to $7.4 million, with adjusted diluted net income per share increasing 18% to $0.20 [12] Business Line Data and Key Metrics Changes - The company delivered over 108,000 new depositing customers (NDCs), up 19% year-over-year, with significant growth in iGaming revenue across Europe [10] - Revenue in the UK and Ireland rose 18% year-over-year, while revenue from other European markets increased by 111% [10] - North American revenue was stable year-on-year when excluding a strong performance from the previous year, but overall revenue in North America decreased by 8% [10] Market Data and Key Metrics Changes - The company experienced strong iGaming growth across Europe, particularly in the UK, while North America showed resilience despite challenges [4][10] - The performance marketing channel is estimated to account for about 40% of iGaming and 30% of sports betting customers in established markets, with expectations for North America to trend similarly as the market matures [7] Company Strategy and Development Direction - The company is focused on optimizing performance in response to changes in the operating environment, particularly regarding media partnerships affected by Google's policy changes [6] - There is a strong emphasis on creating value for B2C online gambling operator clients, with expectations for continued growth in market share globally [7] - The company raised its revenue and adjusted EBITDA guidance for 2024, reflecting confidence in business performance and ongoing share repurchases [9][14] Management Comments on Operating Environment and Future Outlook - Management noted that the impact of Google's policy changes on media partnerships was less pronounced than initially expected, allowing for better-than-anticipated performance [6][20] - The company remains confident in achieving $100 million in adjusted EBITDA, driven by organic growth and potential M&A opportunities [9][43] - Management highlighted the importance of digital advertising growth and the ongoing shift towards online gambling, positioning the company favorably in the market [8] Other Important Information - The company repurchased approximately 834,000 shares at an average price of $8.17 per share, with a total of 2.3 million shares repurchased to date [13] - The guidance for 2024 includes revenue expectations between $123 million to $127 million, with adjusted EBITDA expected to be between $44 million to $47 million [14] Q&A Session Summary Question: Current customer acquisition environment in North America - Management indicated that the number of people searching for high intent keywords continues to grow, contributing to a decrease in customer acquisition costs as operators become more efficient [16][18] Question: Contribution from media partnerships - Management acknowledged that the contribution from media partnerships was higher than previously guided, indicating a positive outlook for these partnerships moving forward [19][21] Question: NDC growth in newer U.S. states versus mature markets - Management emphasized that there is significant growth potential in established markets even after initial launches, with ongoing growth expected in North America [25][26] Question: M&A pipeline and focus areas - Management remains selective in M&A opportunities, focusing on adjacent businesses that complement their existing operations [27][28] Question: Impact of Google’s antitrust ruling - Management believes that any significant changes from the ruling will take years to materialize, and current search patterns have not been notably affected [30] Question: Integration of Freebets acquisition - Management reported that the integration is progressing well, with revenue contributions exceeding expectations [31][32] Question: Growth expectations for the remainder of the year - Management expects continued growth in the UK, Ireland, and other European markets, while North America may see modest growth due to the reduced impact of media partnerships [35][36]
Gambling.com Group Limited (GAMB) Q2 Earnings and Revenues Top Estimates
ZACKS· 2024-08-15 13:11
Gambling.com Group Limited (GAMB) came out with quarterly earnings of $0.20 per share, beating the Zacks Consensus Estimate of $0.13 per share. This compares to earnings of $0.17 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 53.85%. A quarter ago, it was expected that this company would post earnings of $0.14 per share when it actually produced earnings of $0.20, delivering a surprise of 42.86%. Over the last four quarters, ...
Gambling.com (GAMB) - 2024 Q2 - Quarterly Report
2024-08-15 11:05
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________________________________________________ __________________________________________________________________________ FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of August 2024 (Commission File No. 001-40634) __________________________________________________________________________ | --- | --- | |--------------------- ...
7 Penny Stocks That Aren't as Ludicrous as They Seem
Investor Place· 2024-06-19 16:32
So, if you can handle the heat, here are penny stocks that can end up buying you a new kitchen and then some. The performance has been consistent in the past four quarters since the first quarter of 2024. During this cycle, NGS' average earnings per share hit 19.25 cents. This translated to an average earnings surprise of 171.4%. Looking out to the end of fiscal 2024, experts believe that EPS may jump to $1.39. If so, that would translate to expansion of 266%. Headquartered in Forth Worth, Texas, PHX Minera ...
Gambling.com Group Limited (GAMB) Surpasses Q1 Earnings and Revenue Estimates
zacks.com· 2024-05-16 16:16
Group 1 - Gambling.com Group Limited (GAMB) reported quarterly earnings of $0.20 per share, exceeding the Zacks Consensus Estimate of $0.14 per share, with an earnings surprise of 42.86% [1] - The company posted revenues of $29.22 million for the quarter ended March 2024, surpassing the Zacks Consensus Estimate by 3.05%, compared to year-ago revenues of $26.69 million [2] - Over the last four quarters, Gambling.com has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Group 2 - The stock has underperformed the market, losing about 13.1% since the beginning of the year, while the S&P 500 gained 11.3% [3] - The current consensus EPS estimate for the coming quarter is $0.13 on revenues of $29.03 million, and for the current fiscal year, it is $0.81 on revenues of $131.21 million [7] - The Advertising and Marketing industry, to which Gambling.com belongs, is currently in the top 39% of Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]
Gambling.com (GAMB) - 2024 Q1 - Earnings Call Transcript
2024-05-16 15:09
Financial Data and Key Metrics Changes - The company reported a record Q1 revenue of $29.2 million, representing a 9% year-over-year increase, with over 107,000 new depositing customers (NDCs) in Q1, up 22% compared to the previous year [47][40] - Adjusted EBITDA for Q1 2024 was $10.2 million, slightly down from $10.7 million in the same quarter last year, with an adjusted EBITDA margin of 35%, which rose 300 basis points sequentially [49][40] - The updated guidance for revenue is set between $118 million and $122 million, with adjusted EBITDA expected to be between $40 million and $44 million, indicating a year-on-year growth of 14% at the midpoint [72][40] Business Line Data and Key Metrics Changes - The company closed the acquisition of Freebets.com on April 1, 2024, but did not record contributions from these assets in Q1 [48][51] - Cost of sales increased year-over-year to $2.2 million due to successful media partnerships, but decreased sequentially as revenues from media partnerships declined from a high Q4 [75][40] Market Data and Key Metrics Changes - North American revenue, the largest market, grew by 5% year-over-year, while the UK and Ireland also rose by 5%. Other Europe saw a significant growth of 39%, and the Rest of the World grew by 29% [74][40] - The company expects the impact of media partnership revenue to dampen growth in North America and the UK due to recent Google policy changes [78][40] Company Strategy and Development Direction - The company aims to capitalize on organic growth opportunities while considering additional accretive acquisitions to expand its footprint in the online gambling ecosystem [32][40] - There is a strategic focus on revenue generation, which is more predictable, while still investing in owned assets to drive future growth [16][40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the updated guidance despite headwinds from media partnerships, expecting to continue gaining market share in North America and other regions [53][40] - The company remains comfortable with the current consensus estimate for 2025 adjusted EBITDA, projecting approximately 25% year-over-year growth [46][40] Other Important Information - The company has been actively repurchasing shares, buying approximately 329,000 ordinary shares at an average price of $9.10, with a remaining authorization of approximately $3.9 million [50][40] - Cash as of March 31 totaled $25.3 million, reflecting strong operating cash flow despite share repurchases and acquisition payments [77][40] Q&A Session Summary Question: Impact of Google's new policy on media partnerships - Management acknowledged that media partnerships will not disappear but will be diminished, and they remain committed to supporting partners through these changes [108][40] Question: Pathway to $100 million EBITDA milestone - The company expects to grow organically at a lowish CAGR in the mid-teens and add scale through M&A to reach the $100 million EBITDA target in the midterm [84][40] Question: Geographical breakdown of updated revenue guidance - Management indicated that while North America and the UK may see dampened growth due to media partnership revenue changes, Other Europe and the Rest of the World are expected to continue demonstrating strong growth [118][40]
Earnings Preview: Gambling.com Group Limited (GAMB) Q1 Earnings Expected to Decline
Zacks Investment Research· 2024-05-09 15:01
Wall Street expects a year-over-year decline in earnings on higher revenues when Gambling.com Group Limited (GAMB) reports results for the quarter ended March 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on May 16, 2024, might help the stock move higher if these key numbers are bette ...
Gambling.com (GAMB) - 2023 Q4 - Annual Report
2024-03-21 20:35
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________________________________________________ FORM 20-F ________________________________________________________ (Mark One) o REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCH ...
Gambling.com (GAMB) - 2023 Q4 - Earnings Call Transcript
2024-03-21 15:06
Financial Data and Key Metrics Changes - Full year revenue rose 42% year-on-year to $108.7 million, with adjusted EBITDA increasing by 53% to $36.7 million, reflecting an adjusted EBITDA margin of 34% [24][71][86] - Free cash flow grew 71% to $16.2 million, with capital expenditures of $9.2 million compared to $9.3 million in 2022 [13][71] - Q4 revenue reached $32.5 million, a 52% increase compared to the prior year, with adjusted net income of $6.8 million or $0.18 per diluted share [22][23] Business Line Data and Key Metrics Changes - North American revenue grew over 30% in 2023, excluding contributions from new state launches, driven by media partnerships and increased consumer account openings [4][22][73] - The company reported record fourth quarter results, with North American revenue exceeding $20 million for the first time [22][81] - New depositing customers in Q4 grew 95% year-on-year to over 159,000, with sports betting making up the highest percentage of quarterly new depositing customers [11] Market Data and Key Metrics Changes - Revenue from the UK and Ireland rose 11% for the full year, with expectations for double-digit growth in 2024 [74] - The company anticipates strong growth in other European markets and has invested in localized products for its brands [74][76] - The acquisition of Freebets.com is expected to drive additional growth in the UK and Ireland, contributing approximately $10 million in revenue [6][90] Company Strategy and Development Direction - The company is focused on leveraging acquisitions to enhance its performance marketing platform, with the recent acquisition of Freebets.com expected to be highly accretive [6][8][75] - Continued investment in consumer-facing products and technology is a priority, with a strong emphasis on capital-efficient growth [72][76] - The company aims to maintain a high-performance culture and is evaluating further acquisition opportunities in both B2B and B2C segments [85] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued growth in North America, driven by market share increases and the launch of online sports betting in North Carolina [83][25] - The company expects to achieve revenue guidance for 2024 in the range of $129 million to $133 million, representing a 21% growth over 2023 [14][91] - Management noted that the competitive landscape remains favorable, with no significant changes in overall pricing power across the market [50][62] Other Important Information - The company has a $50 million credit facility with Wells Fargo, providing additional liquidity and financial flexibility [89] - The company repurchased approximately 206,000 ordinary shares at an average price of $9.70 during Q4, totaling around $2 million [88] Q&A Session Summary Question: Importance of authority and traffic in CPA negotiations - Management indicated that authority and traffic are crucial for maintaining competitive advantages in CPA negotiations, especially in light of increased competition [21] Question: Insights on revenue share in North America - Management clarified that while there is potential for revenue share to increase, it is not a significant driver of revenue at present [53][56] Question: Plans for the Brazilian market - Management expressed excitement about Brazil's regulatory developments and indicated a cautious approach to entering the market, focusing on organic growth [41][42] Question: Impact of iGaming legislation - Management noted that the addition of iGaming states would significantly benefit the company, with expectations for growth in states like Georgia and Missouri [58][43] Question: Future revenue mix and media partnerships - Management expects media partnerships to continue contributing to revenue growth, estimating about 15% of revenue in 2024 will come from this segment [62]
Gambling.com Group Limited (GAMB) Lags Q4 Earnings Estimates
Zacks Investment Research· 2024-03-21 13:15
Gambling.com Group Limited (GAMB) came out with quarterly earnings of $0.18 per share, missing the Zacks Consensus Estimate of $0.19 per share. This compares to earnings of $0.02 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -5.26%. A quarter ago, it was expected that this company would post earnings of $0.11 per share when it actually produced earnings of $0.14, delivering a surprise of 27.27%.Over the last four quarters, t ...