Financial Data and Key Metrics Changes - Total revenue for Q2 2025 grew 76.4% year over year to $98.7 million, with adjusted net income nearly doubling, increasing 91.8% year over year to $24.4 million [22] - GAAP net income decreased slightly to $27.6 million due to a significant discrete tax benefit in the previous year [22] - Gross margins improved to 61%, with a net income margin of 28% [10][22] - The adjusted EBITDA margin increased to 38.4% of total revenue, reflecting strong operational efficiency [28] Business Line Data and Key Metrics Changes - Monthly active users rose 52% year over year, with revenue-generating user engagement increasing 138% [14] - The number of mods increased 14% sequentially and 62% year over year, indicating strong growth in user engagement [15] - The Anywhere product line showed the highest lifetime value among offerings, with 37% of orders being in-store [16] Market Data and Key Metrics Changes - GMV (Gross Merchandise Volume) grew 74.2% year over year, driven by new product adoption and higher consumer engagement [23] - The take rate improved slightly year over year to 10.6% [23] - The company served 412,000 different merchants during the quarter, indicating a broadening market presence [18] Company Strategy and Development Direction - The company is focused on efficient customer acquisition and retention, with marketing spend increasing significantly to $8.8 million from $1 million in the prior year [11] - A shift in marketing strategy towards more efficient channels is expected to yield long-term benefits [12] - Continuous innovation and product enhancements are central to the company's strategy, with a strong emphasis on customer engagement [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to adapt to changing economic conditions, highlighting the flexibility of their underwriting process [45] - The competitive landscape remains stable, with no significant changes in pricing or offerings from major competitors [48] - The company reaffirmed its full-year guidance across all key financial metrics, indicating sustained growth and strength in engagement, frequency, and retention [30] Other Important Information - The company ended the quarter with $120 million in cash, including $31 million of restricted cash [29] - A lawsuit with Shopify is ongoing, with no major updates expected in the near term [49] Q&A Session Summary Question: Can you discuss the mix of mods between on-demand, premium, and anywhere? - The primary growth in mods was from on-demand, which has a lower barrier to entry, while subscribers have held steady [34] Question: How does profitability differ between on-demand and premium or anywhere? - Anywhere is the most profitable due to high usage, followed by premium, while on-demand has the lowest margins and lifetime value [36][38] Question: What is the outlook for underwriting and expense management in a volatile macro environment? - The company monitors default rates daily and can adjust credit limits quickly, providing flexibility in managing risk [45] Question: Any updates on the competitive landscape and pricing changes? - There have been no significant changes in pricing or offerings from competitors like Klarna and Zip [48] Question: Update on the lawsuit with Shopify? - No major updates are available, and the process may take several years [50]

Core Insights - Brightstar Lottery PLC has secured a seven-year contract to provide its Aurora™ retail central system technology and cloud-based software to Sächsische Lotto-GmbH in Saxony, Germany, following a competitive public procurement process [1][2] - The partnership with Lotto Saxony is built on a 30-year history, emphasizing Brightstar's quality, reliability, and understanding of the lottery's business needs [2] - The Aurora platform is part of Brightstar's OMNIA™ solution, designed to enhance lottery innovation and profitability through user-friendly applications and analytics tools [2] Company Overview - Brightstar Lottery serves nearly 90 lottery customers across six continents and is the primary technology provider for 26 of the 46 lottery jurisdictions in the U.S. and seven of the world's ten largest lotteries [3] - The company is recognized as a global leader in lottery technology, focusing on secure and comprehensive solutions for its clients [4] - Brightstar employs approximately 6,000 people and maintains a strong local presence, partnering with governments and regulators worldwide [4]