Warner Bros. Discovery (WBD) Q1 2025 Earnings Call May 08, 2025 08:30 AM ET Company Participants Andrew Slabin - EVP, Global Investor StrategyDavid Zaslav - President, CEO & DirectorGunnar Wiedenfels - Chief Financial OfficerJB Perrette - CEO & President - Global Streaming and GamesJessica Reif Ehrlich - Managing DirectorRic Prentiss - Managing Director Conference Call Participants Steven Cahall - Managing Director, Senior Analyst - Media, Advertising & CablePeter Supino - MD & Senior Analyst - Media & Ente ...

Financial Data and Key Metrics Changes - The company achieved record revenue of over $700 million in Q1 2025, marking the highest quarterly revenue in its history, reflecting the strength of its mobile games portfolio [5] - Revenue for the first quarter was $706 million, an 8.6% sequential increase and an 8.4% year-over-year increase [15] - Credit adjusted EBITDA was $167.3 million, down 9% sequentially and down 9.9% year-over-year [15] - GAAP net income was $30.6 million, down 42.3% year-over-year [15] - Direct-to-consumer (D2C) revenue reached $179.2 million, up 2.6% sequentially and 4.5% year-over-year [15] Business Line Data and Key Metrics Changes - Bingo Blitz achieved revenue of $162.4 million, up 2.1% sequentially and 3.1% year-over-year, driven by marketing initiatives [19] - Slotomania revenue was $111.8 million, down 5.5% sequentially and 17.4% year-over-year, indicating ongoing challenges [21] - Dice Dreams generated $78.6 million in revenue, reflecting a 124.5% sequential increase due to successful integration [22] - The D2C business is expected to grow, with many games performing above the targeted 30% revenue contribution from D2C [16] Market Data and Key Metrics Changes - Average Daily Users (DAU) increased by 12.5% sequentially and 2.3% year-over-year to 9 million [26] - Average Daily Pay Users (DPU) increased by 15% sequentially and 26.2% year-over-year to 390,000 [26] - Average Revenue Per Daily Active User (ARPDAU) decreased by 2.2% sequentially but increased by 7.4% year-over-year to $0.87 [26] Company Strategy and Development Direction - The company is focusing on stabilizing Slotomania while launching new slot games to regain market share [9][35] - There is a commitment to enhancing the D2C business, which is seen as a significant growth opportunity [40] - The company is prioritizing product investments and operational improvements to stabilize underperforming titles [13] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges faced by Slotomania and emphasized the need for significant changes to stabilize the game [34] - The company is optimistic about the growth potential of its casual game franchises and plans to continue investing in them [13] - Marketing expenses are expected to decline sequentially, which may help improve margins in the future [17] Other Important Information - The company has approximately $514.3 million in cash, cash equivalents, and short-term investments as of March 31 [25] - An agreement was made to extend the maturity of the revolving credit facility from March 2026 to September 2027 [26] Q&A Session Summary Question: Discussion on Disney Solitaire's marketing plans - Management expressed excitement about Disney Solitaire's strong launch and indicated that marketing expenses typically decline after Q1, balancing capital allocation across games with the best ROI [29][30] Question: Future of Slotomania and new slot game plans - Management acknowledged ongoing declines in Slotomania and emphasized the importance of stabilizing the game while also launching a new slot game to regain market share [33][34] Question: Updates on D2C initiatives and overall mix - Management highlighted the D2C business as a significant advantage and expressed confidence in its growth potential, indicating that they are well-prepared for current market changes [39][40]

Warner Bros. Discovery (WBD) Q1 2025 Earnings Call May 08, 2025 08:30 AM ET Speaker0 Ladies and gentlemen, welcome to the Warner Bros. Discovery First Quarter twenty twenty five Earnings Conference Call. At this time, all participants' lines are in a listen only mode. After the speakers' presentation, there will be a question and answer session. Additionally, please be advised that today's conference call is being recorded. I would now like to hand the conference over to Mr. Andrew Slavin, Executive Vice Pr ...

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $42.7 million, representing a 72% year-over-year increase, with constant currency growth at 76% [8] - Gross profit reached $24.2 million, reflecting a gross margin of approximately 57%, a decline of 14 percentage points from the previous year [9] - Net loss was $300,000 or $0.00 per share, a decline of $4.2 million from the previous year [12] - Adjusted EBITDA declined by $300,000 or 5% to $5.6 million [12] - Cash and cash equivalents as of March 31, 2025, were $29.7 million, with a net debt leverage ratio under 1.6 turns [13] Business Line Data and Key Metrics Changes - The raffle business achieved record results, including all-time highs in revenue, ticket sales, and prize values, with a 46% increase in new users compared to Q1 2024 [6] - MeridianBet saw new registrations increase by 22%, first-time deposits surged over 56%, and total deposits rose 12% [15] Market Data and Key Metrics Changes - MeridianBet secured a permanent online betting license in Brazil, allowing full national coverage in a market projected to generate over $5.6 billion in GGR in 2025 [16] - The company launched B2B operations in Nigeria, tapping into a market with over 60 million bettors [16] Company Strategy and Development Direction - The company is focused on platform innovations and expansion into high-growth regulated markets, positioning itself at the forefront of the iGaming industry [5] - The strategy emphasizes smart growth, operational efficiency, and returning value to shareholders [20] Management's Comments on Operating Environment and Future Outlook - Management expressed excitement about growth opportunities for the year, expecting full-year revenue between $190 million and $195 million, representing a 26% to 29% growth rate over 2024 [21] - The company remains committed to disciplined capital allocation and investments that enhance growth and long-term value [21] Other Important Information - The company eliminated approximately $9.6 million in debt and converted over $9.5 million in acquisition-related debt into equity, enhancing financial strength and flexibility [6] - MeridianBet's community initiatives included 56 projects focused on health donations, scholarships, and responsible betting education [17] Q&A Session Summary Question: What are the growth expectations for the company in 2025? - The company expects full-year revenue to be between $190 million and $195 million, indicating a growth rate of 26% to 29% over 2024 [21] Question: How is the company addressing operational costs? - The increase in operating expenses is attributed to costs related to geographic expansion, market share improvement, and technology advancements [11]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $42.7 million, representing a 72% year-over-year increase, with constant currency growth at 76% [10] - Gross profit reached $24.2 million, reflecting a gross margin of approximately 57%, a decline of 14 percentage points compared to the previous year [11] - Net loss was $300,000 or $0.00 per share, a decline of $4.2 million from the previous year [14] - Adjusted EBITDA declined by $300,000 or 5% to $5.6 million [14] - As of March 31, 2025, cash and cash equivalents stood at $29.7 million, with a net debt leverage ratio under 1.6 turns [15] Business Line Data and Key Metrics Changes - The raffle business achieved record results, including all-time highs in revenue, ticket sales, and prize values, with 26,000 new users added, a 46% increase year-over-year [6] - MeridianBet saw new registrations increase by 22%, first-time deposits surged over 56%, and total deposits rose by 12% [17] Market Data and Key Metrics Changes - MeridianBet secured a permanent online betting license in Brazil, allowing full national coverage in a market projected to generate over $5.6 billion in GGR for 2025 [18] - The company launched B2B operations in Nigeria, tapping into a market with over 60 million bettors [19] Company Strategy and Development Direction - The company is focused on platform innovations and expansion into high-growth regulated markets, emphasizing operational efficiency and geographic diversity [5] - MeridianBet's strategy includes smart growth, operational excellence, and returning value to shareholders [22] - The company aims to enhance growth through disciplined capital allocation and investments [23] Management's Comments on Operating Environment and Future Outlook - Management expressed excitement about growth opportunities for the year, projecting full-year revenue between $190 million and $195 million, representing a 26% to 29% growth rate over 2024 [23] - The company is well-positioned for long-term success, emphasizing a commitment to profitable and sustainable growth [24] Other Important Information - The company eliminated approximately $9.6 million in debt and converted over $9.5 million in acquisition-related debt into equity, enhancing financial strength and flexibility [6] - MeridianBet completed five new integrations with a US-based sweepstakes casino, expanding its footprint in the North American market [20] Q&A Session Summary - No specific questions or answers were documented in the provided content, thus this section is not applicable.

Consumer Sentiment and TV Viewing Habits - Cint's research indicates that 73% of U.S. respondents consider affordability a significant factor in their summer travel plans, with 39% labeling it a major concern [6] - 62% of respondents primarily consume TV via streaming services, nearly doubling the combined viewership of traditional cable (24%) and satellite (8%) television [1][2] - 60% of respondents report that the current economic and political climate is influencing their choice of travel destinations [6] Advertising Implications - There is a strong consumer preference for ad-free tiers on streaming platforms, with over half of respondents likely to stop using a service if bombarded with ads [2] - The rise of streaming and the shift in consumer behavior present dynamic opportunities for advertisers to focus on delivering personalized and meaningful ad experiences [3] - Smaller audiences tuning into Connected TV (CTV) ads may impact ad pricing as consumers become more budget-conscious [2] Economic Influence on Consumer Behavior - Economic uncertainty is influencing consumer spending trends, particularly in summer travel plans, which can serve as an early indicator of broader spending behavior [3] - 58% of respondents say the economic climate is impacting their transportation choices for summer travel [6]

Core Insights - Brera Holdings PLC has signed a letter of intent to launch the PLAY LEAP digital fan engagement platform in partnership with Leap Sport Digital Ltd., starting with its Italian Serie B club, S.S. Juve Stabia [2][3] - The initiative aims to modernize the fan experience by allowing fans to engage through daily challenges, video uploads, and voting on content, creating a gamified digital ecosystem [3][4] - The PLAY LEAP platform is designed as a Software-as-a-Service (SaaS) solution, focusing on monetization through usage, brand activations, and fan insights [4][6] Company Strategy - The integration of PLAY LEAP is part of Brera Holdings' strategy to enhance fan engagement and create scalable, recurring digital revenue [4][5] - The platform targets Gen Z and Alpha fans, emphasizing interactivity and creativity in sports experiences [5] - Brera Holdings plans to expand the platform across multiple clubs in its international portfolio following the initial launch with Juve Stabia [5] Revenue Model - The revenue model includes active user tiers where clubs pay only for engaged fans, ensuring alignment of ROI with community growth [6] - In-app sponsorships will provide custom-branded challenges and premium inventory for sponsors [6] - Real-time analytics will enable clubs to optimize fan marketing and unlock new partner value [6] Company Background - Brera Holdings is focused on expanding its portfolio of emerging football and sports clubs, building on the legacy of Brera FC [7] - The company has made strategic acquisitions and investments, including a 90% stake in Fudbalski Klub Akademija Pandev and a majority stake in UYBA Volley [8] - As of February 12, 2025, Brera holds a 38.46% equity interest in Juve Stabia, marking a significant expansion of its business model [9]

Core Insights - Galaxy Entertainment Group (GEG) reported solid financial results for Q1 2025, with adjusted EBITDA of HK$3.3 billion, up 16% year-on-year and 2% quarter-on-quarter [3][21][22] - The company continues to enhance its offerings, particularly in the premium mass segment, through property improvements and diverse entertainment options [2][7] - GEG's balance sheet remains strong, with cash and liquid investments totaling HK$33.0 billion and a net position of HK$29.0 billion after debt [6][28] Financial Performance - Q1 2025 net revenue was HK$11.2 billion, reflecting a 6% increase year-on-year but a 1% decrease quarter-on-quarter [3][21] - The latest twelve months adjusted EBITDA reached HK$12.6 billion, up 16% year-on-year and 4% quarter-on-quarter [16][21] - Galaxy Macau™ was the primary driver of earnings, with net revenue of HK$9.1 billion, up 10% year-on-year [29] Market Overview - The overall Macau market showed resilience, with Q1 2025 gross gaming revenue (GGR) of HK$56.0 billion, up 1% year-on-year and 0.4% quarter-on-quarter, recovering to 76% of 2019 levels [4][19] - Visitor arrivals to Macau reached 9.9 million in Q1 2025, an 11% increase year-on-year, recovering to 95% of 2019 levels [20][46] Development and Expansion - The ultra-luxury Capella at Galaxy Macau soft launched in May 2025, expected to enhance GEG's market position [12][51] - Ongoing construction of Phase 4 focuses on non-gaming facilities, including entertainment and family amenities, scheduled for completion in 2027 [41][52] - GEG is exploring international development opportunities, including in Thailand, while continuing to support Macau's vision as a World Centre of Tourism and Leisure [53][54] Awards and Recognition - GEG's Galaxy Macau™ received accolades, including being named the Best Integrated Resort in the Asia Pacific region for the second time [11][57] - Four of GEG's restaurants earned five Michelin stars in the 2025 Michelin Guide Hong Kong Macau [11][42]

Flutter Entertainment (FLUT) Q1 2025 Earnings Call May 07, 2025 04:30 PM ET Company Participants Paul Tymms - Group Director - IR & FPAPeter Jackson - CEORob Coldrake - Chief Financial OfficerJed Kelly - Managing Director - Equity ResearchBen Shelley - DirectorClark Lampen - Managing DirectorMonique Pollard - Director - Equity ResearchBarry Jonas - Managing DirectorJohn Decree - Director - Equity ResearchAdrien de Saint Hilaire - DirectorRobin Farley - Managing Director Conference Call Participants Ed Young ...

Core Insights - Flutter Entertainment reported strong Q1 2025 financial results, with a year-over-year net income growth of 289% and adjusted EBITDA growth of 20% [7][40][34] - The company continues to expand its US operations, achieving a 15% growth in sportsbook revenue and a 32% growth in iGaming revenue despite adverse sports outcomes during March Madness [34][12] - Flutter's international segment also showed resilience, with a 1% revenue growth year-over-year, driven by strong performances in Southern Europe and Africa [22][35] Financial Performance - Q1 2025 adjusted EBITDA reached $161 million, significantly higher than the previous year, reflecting strong operating leverage [34] - Total revenue for the quarter was reported at $3.67 billion, with the US segment contributing $1.9 billion and the international segment contributing $2 billion [58][35] - The company expects 2025 revenue and adjusted EBITDA to reach $17.08 billion and $3.18 billion, representing year-over-year growth of 22% and 35% respectively [44][48] US Market Update - Flutter maintains a leading position in the US market with a 43% market share in sports betting and a 27% share in iGaming [12][34] - The average monthly players (AMPs) grew by 11% to over 4.3 million, indicating strong customer engagement [12] - Innovative features such as "Your Way" pricing capability and "Bet back tokens" have been launched to enhance customer experience and engagement [14][15] International Market Update - The acquisition of Snai in Italy is expected to enhance Flutter's scale in the European market, with integration already underway [23][11] - The Southern Europe & Africa (SEA) region reported a 14% revenue increase year-over-year, driven by strong market share growth [37][22] - The Central and Eastern Europe (CEE) region also showed robust growth, with a 15% revenue increase year-over-year [29] Strategic Outlook - Flutter's long-term growth strategy focuses on sustainable business practices and responsible gaming, with a commitment to invest in both organic growth and M&A opportunities [8][30] - The company is optimistic about navigating the evolving US regulatory landscape and expanding its market presence [20][21] - Flutter's diversified portfolio of brands positions it well to capitalize on the growing global online sports betting and iGaming market, projected to be worth approximately $368 billion by 2030 [8][57]