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The UK’s next National Lottery operator Allwyn has posted an 11% year-on-year increase in gross gaming revenue (GGR) to €958.6m for Q3 2022 – the firm’s best quarterly results to date.

Adjusted EBITDA for the period increased by 10% to €319.9m, resulting in an EBITDA margin of 54%.

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Allwyn primarily attributed the result to organic growth as driven by the online channel. For example, in the Czech Republic, online contributed 46% of total GGR, compared with 39% in Q3 2021.

Moreover, Allwyn’s Austrian business generated strong year-on-year growth, with GGR climbing from €309.1m in Q3 2021 to €349.1m in Q3 2022. GGR in Italy, meanwhile, decreased from €562m in Q3 2021 to €511.7m in Q3 2022.

The company also highlighted its operational resilience in the face of economic shocks.

While inflation and rising energy prices were affecting consumer sentiment in many markets, this has had a limited impact on demand for its products, Allwyn said.

Allwyn stressed it had noted similar revenue resilience during previous periods of weaker general consumer sentiment – for example the early period of the Covid-19 pandemic, the Greek crisis, and the global financial crisis – when demand for its products remained resilient, especially in comparison with other economic sectors.

In addition, Allwyn’s third quarter was shaped strategically by its successful bid to become the next operator of the UK’s National Lottery. The UK is set to become the sixth market that Allwyn operates in.

Earlier in November, Allwyn agreed to acquire current lottery operator Camelot and secured €1.6bn in funds having reached a senior facilities agreement with a syndicated group of international banks in November.

Allwyn has pledged to use the proceeds to refinance existing indebtedness but also to finance up-front costs in connection with becoming the UK National Lottery operator.

Allwyn said its strong operational performance and strategic progress in Q3 would provide a supportive background for the financing, which, according to CEO Robert Chvatal, positions the company “well for the next chapters” of its growth story.

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Allwyn CEO Robert Chvatal: “We note that general consumer sentiment has been impacted by inflationary pressures and the war in Ukraine. However, our business saw only a limited impact due to the low price point of our products and low average spend per customer, as well as our large number of regular players.”

Trading update and outlook

Allwyn said its business had continued to perform and develop well despite weaker consumer sentiment as winter approaches.

The operator stressed that its Q3 performance was broadly in line with its expectations for the year, whereby stronger performance in some products and geographies offset a somewhat weaker performance in others.

Shares in Bragg Gaming Group fell by more than 7% today (11 November), despite the firm reporting a 62.3% rise in revenue to 20.9m in Q3 2022.

Revenue growth was primarily driven by the onboarding of new customers in various jurisdictions, the supplier said, particularly in the Netherlands.

Based on H1 2022 GGR reports from the Dutch regulator together with Bragg’s internal data, the supplier estimated that it currently holds a market share of 33% in the Netherlands.

In Q3 2022, gross profit increased by 57.6% compared to the same period in 2021 and reached €10.4m, with the gross profit margin seeing a slight decrease to 50%.

Adjusted EBITDA for the quarter was up by 51.6% to €2.2m, at an adjusted EBITDA margin of 10.7%, a slight decline of 80 basis points from the same period in the previous year.

Cost control remained high on Bragg’s agenda. The revenue increase, an all-time high for the Nasdaq-listed company, helped to reduce the net loss for the period to €2m from €2.5m in Q3 2021.

Moreover, during the quarter Bragg secured an $8.7m convertible debt facility to strengthen its working capital, which had been significantly reduced as a result of its $30m acquisition of Spin Games.

Bragg ended the quarter with €17.2m of cash and positive cash flow from operations. The company said total operational costs continued to scale down since last year and amounted to 39.2% as a proportion of total revenue.

In addition, Bragg said its product mix continues to be trending towards turnkey solutions and proprietary content, which means increases in revenue are generally associated with lower costs of sales.

Commenting on Bragg’s success in the Netherlands, CEO Yaniv Sherman said: “I think what we are seeing is typical for a re-regulated market that re-opened. There was a lot of pent-up demand in the market.”

However, Sherman also pointed out that he expects to see continued growth in the Dutch market, especially when other dominant brands enter the market.

Bragg’s platform launched on day one of the re-regulated Dutch iGaming market’s launch in October 2021, with local brands, Jack’s Casino, Holland Casino and Toto.

Two additional brands, and, went live in October and November 2022, respectively.

“Based on recent data, we believe, we are now the leading B2B platform in the market.

“This is a great case study and another testimony of our team’s ability to offer a scalable and customisable solution to a wide range of brands in a highly regulated and competitive environment,” Sherman added.

Bragg Gaming Group CEO Yaniv Sherman on the Dutch market: “Based on recent data, we believe, we are now the leading B2B platform in the market.”

Sherman further commented that the firm’s library of proprietary and exclusive third-party games grew consistently throughout 2022 and that growth will accelerate in 2023 and beyond.

“We also continue to further differentiate our content library through new exclusive iGaming content distribution agreements with leading third-party game development studios,” he said.

In October, Bragg entered into an agreement with Sega Sammy Creation (SSC) for the exclusive rights to distribute select titles from SSC’s content portfolio to iGaming operators in the US, UK and other global markets.

Based on its Q3 performance, the supplier reconfirmed its previous guidance and expects full year revenue between €76m and €80m, giving adjusted EBITDA between €10m and €11m.

Looking to 2023, Bragg’s initial expectation is to deliver low-double-digit revenue growth and at least 20% adjusted EBITDA growth.

Investors, however, remained cautious. Shares in the Toronto-headquartered company were trading nearly 8% lower today (11 November).

Malta-based affiliate Raketech has generated 13m in revenue in Q3 2022, representing a nearly 35% increase year-on-year and 15% growth compared to the previous quarter.

Revenue growth was primarily achieved on the back of improved activity in the sports betting segment, as well through recent acquisitions focusing on US sports.

US revenue amounted to €1.5m in the reporting period, up from €300,000 in Q3 2021, and accounted for 11.5% of the company’s total revenue.

However, the Nordics remains Raketech’s most important market, where it generated €6.3m, while revenue from Rest of the World totalled €4.5m.

Sports revenue came in at €3.2m, making up nearly 25% of the company’s total revenue, while casino accounted for €9.7m, or 74.8%, of total revenue. 

However, organic growth declined from 25.6% in Q3 2021 to 14.2% in Q3 of this year.

Raketech said the annual comparison was still being affected by regulatory headwinds in the Finnish and Dutch markets, as well as by tough comparisons with Covid-boosted numbers last year.

Adjusted EBITDA amounted to €4.8m, which is slightly stronger than the €4.4.m reported in Q3 2021, but the adjusted EBITDA margin of 37.1% (46.0%) was lower than last year. This, Raketech said, was the result of changes in its market mix, in combination with continued investments.

Raketech strengthened its sports betting portfolio and US footprint by acquiring P&P Vegas Group and ATS Consultants at the end of last year.

Raketech CEO Oskar Mühlbach: “The main uplift started to show at the end of the quarter which is promising for the rest of the US sports season but potentially less significant for Q3.”

Raketech CEO Oskar Mühlbach commented: “Traffic and engagement on our products were in many markets showing record levels, with the US standing out positively.

“As expected though, the main uplift started to show at the end of the quarter which is promising for the rest of the US sports season but potentially less significant for Q3.”

During Q3, Raketech onboarded several new sub-affiliates onto its AffiliationCloud, Raketech’s new proprietary portal that allows partners to track all links.

Raketech said it planned to increase its investment in the portal to shorten the time to full launch. Currently in the testing phase, 20 partners had signed up to it by the end of the quarter.

October revenue amounted to €5m, “demonstrating a continuation of the strong momentum at the end of Q3”, Mühlbach said.

“With the FIFA World Cup around the corner, casino approaching its high season and a busy sports schedule in the US, all factors are pointing at a strong end of the year,” he added.

Raketech reaffirmed its previous revenue guidance and expects full year revenue to come in between €50m and  €55m.

NeoGames, which completed its acquisition of Aspire Global in June, has reported Q3 revenue of $73.3m, a significant upturn from $20.2m during the same period in 2021.

Revenue for the firm’s first full quarter post-acquisition increased by 262% compared to the same period in 2021, primarily as a result of the takeover.

Of the total, Aspire Global generated $48.5m in Q3, reflecting 8% growth as measured in constant currency, despite showing a 16% reduction in real terms caused by the impact of foreign currency exchange rates. In Q3 2021, Aspire Global generated revenue of €58.6m.

Further revenue of $11.1m (up 34.3% year-on-year) came from NeoGames’ share in NeoPollard Interactive (NPI), an iLottery supplier jointly owned by NeoGames and Pollard Banknote Limited.

NeoGames’ own iLottery services generated $13.6m during the quarter. When both iLottery operations are added, this segment brought in a total of $24.7m, representing a quarterly record and an increase of 22% compared to Q3 2021.

Adjusted EBITDA was $17.6m in Q3, compared to $7.5m during the third quarter of 2021, representing an increase of 135% year-on-year.

However, the Tel-Aviv headquartered company reported a net loss of $4.4m, or $0.13 per share, for Q3 2022, compared to net income of $1.5m, or $0.06 per share, during the third quarter of 2021.

NeoGames said the swing to net loss during 2022 was mainly due to a $0.23 per share impact from the amortisation of intangible assets related to the Aspire Global acquisition.

NeoGames CEO Moti Malul commented: “The strong performance where we grew revenue and profitability across the business is a great start for our first full quarter post completion of the combination.

“In iLottery, our top line results grew 22% compared to last year reaching an all-time quarterly record. In addition, iLottery adjusted EBITDA margins returned to the 40% level during the quarter.”

NeoGames’ iGaming and sports betting businesses grew approximately 8% on a constant currency basis “reflecting continued strength in our Pariplay and BtoBet offerings”, Malul said.

Aspire had acquired Pariplay in 2019 and BtoBet in 2020, and as a result of the takeover of Aspire, NeoGames subsequently acquired the entities.

NeoGames CEO Moti Malul: “We did experience headwinds during the quarter related to fluctuations in foreign currency exchange rates, serving as a reminder that we need to remain disciplined and focused on controlling what we can.”

“It’s early days in our integration efforts, yet we are already seeing the benefits from the combination as we advance our global leadership across iLottery, iGaming and online sports betting,” Malul said.

In addition, Malul highlighted that while the company believed the results were indicative of the underlying strength of the business, it remained aware of the macro environment.

“We did experience headwinds during the quarter related to fluctuations in foreign currency exchange rates, serving as a reminder that we need to remain disciplined and focused on controlling what we can,” he said.

Analysts also remained cautious. Zacks Equity Research said on the basis of NeoGames’ revenue only, without the revenue share from NPI, NeoGames came out with quarterly earnings of $0.10 per share, missing the Zacks Consensus Estimate of $0.17 per share.

Zacks Equity pointed out that NeoGames shares lost about about 39% since the beginning of 2022 while the S&P 500 was down ‘just’ 19.7%.

Nonetheless, Zacks issued a hold recommendation, indicating that the “shares are expected to perform in line with the market in the future.”

NeoGames’ recent business highlights included an agreement with the Georgia Lottery Corporation to supply NeoGames studio game content.

It also obtained licences in Pennsylvania and Connecticut for Pariplay, which is now licensed in five out of the six US states that have legalised iGaming.

Moreover, NeoGames said it signed additional content providers on the Pariplay platform. In October, Pariplay also entered into a content distribution agreement with ATG, one of the largest operators in the licensed Swedish market with a customer base of over 1.3 million.

Earlier in 2022, Aspire Global extended its cooperation with ITSP, one of the largest German gaming operators, to provide a complete turnkey technology and gaming content solution, expanding on its prior sport agreement in anticipation of the German market move to local licensing.

Following the release of its results, the company updated its fiscal year 2022 revenue guidance, including its share of NPI revenue, to between $197m and $208m, compared to the prior range of between $194m and $208m.

Malta-based Gaming Innovation Group (GiG) has reported strong doubledigit growth in both revenue and EBITDA for Q3 2022.

The company reported record revenue of €22.9m and adjusted EBITDA of €8.5m.

Those figures translate to a 35% revenue increase and a 47% rise in EBITDA when compared to GiG’s performance in Q3 2021.

The firm’s EBITDA margin also improved to 37%, up from 34.1% in Q3 2021, while its net income jumped 16% to €2.5m in the third quarter of this year, at an EBIT margin of 10.8%.

GiG CEO Richard Brown commented: “I am pleased with the development and performance of GiG over the third quarter. The business delivered another record quarter.”

GiG’s affiliate business, GiG Media, continues to be responsible for the lion’s share of revenue growth, delivering its seventh consecutive quarter of growth.

The segment generated revenue of €15.1m, an increase of 35% year-on-year, or 2% compared to the previous quarter in 2022.

GiG Media also recorded 86,500 first time depositors (FTDs) in Q3 2022, marking a record 85% growth year-on-year and a sequential increase of 9% over Q2 2022.

GiG Media, which currently holds 13 licences in the US, has seen revenue from the Americas increase 200% between Q3 2021 and Q3 2022, with the region now accounting for 20% of GiG Media revenues.

In addition, the company experienced further growth in legacy markets: revenue in the Nordics and Europe rose 26% year-on-year, for example.

“That relates to the fact that we keep doubling down and improving the technological and product offerings that we operate within the media business in order to capture market share,” Brown said in the earnings call.

Platform and sportsbook revenue came in at €7.8m in Q3 2022, up 36% on Q3 2021.

In Q3, GiG also completed the technical integration of Sportnco, the sports betting platform it acquired earlier this year, while the company was also granted a supplier licence in Ontario.

GiG signed six new clients for its platform & sportsbook business, with three clients in Europe, two in the Latam region and one in North America.

Four brands went live in Q3 2022, while GiG is awaiting the clients’ go-ahead to launch with an additional seven brands.

The total number of brands live with GiG as of 30 September was 62, with a further 13 brands in the integration pipeline.

Following the end of the quarter, the company continued its expansion in the Latam region and signed an agreement with a large land-based operator.

The company launched three additional brands, while GiG Media was granted a licence to operate in the regulated Greek market.

GiG CEO Richard Brown: “We still see a significant number of opportunities in front of us and the business is performing well. Therefore, we continue to target growth in the region of 20% on an annual basis.”

GiG said October has developed positively, with revenue up 34% compared to the same period last year.

Commenting on GiG’s long-term financial targets, Brown said the company remains “very committed and focused”.

“We still see a significant number of opportunities in front of us and the business is performing well. And therefore we continue to target growth in the region of 20% on an annual basis,” he added.

GiG reiterated its previous guidance and said it expects its combined operations for the full year to generate revenue between €87m and €93m, with EBITDA between €30m and €35m.

Furthermore GiG, which is listed on both the Oslo Børs and the Nasdaq Stockholm, disclosed that CEO Brown today (9 November) exercised 50,000 options to buy shares in GiG at a share price of NOK24.00 (€2.32).

Brown and close associates now hold 171,000 shares in GiG and 60,000 options to buy shares in GiG. The new shares have a 12-month lock-up period.

In addition, board member Nicolas Adlercreutz purchased 2,500 shares in GiG at a price of SEK 25.02 (€2.31) per share. He now owns 25,000 shares in GiG.

Despite a dip in GiG’s share price following the Q3 results, seed and early stage accelerator announced it has taken its first public position in the company as it believes GiG is on the trajectory towards solid growth.

Former GiG CEO Robin Reed is the founder and CEO of

Over the last weeks we’ve taken a first position in #GIG
🔮Ripe for divestments / acquisition
💰Cost efficiencies in platform segment materialising into Q1 2023
📈Continued strong trading in Media expected for Q4
😀Exciting tech and biz model with ‘Endeavour’#gigsek #gig_online

— Happyhour (@HappyhourVC) November 9, 2022

Kambi has reported a 12% revenue drop in Q3, a quarter CEO Kristian Nylén has described as “notoriously weak” for the sports betting industry due to the impacts of seasonality.

Revenue for the Q3 period amounted to €36.7m, marking a significant decrease when compared to the €41.6m generated during the same period of last year.

Nylén largely attributed the result to the quiet sporting calendar in Q3 and highlighted that “seasonality impact” has become even more pronounced since Kambi started operations in the US.

This is because “American football only has one month in September and basketball doesn’t start until mid-October,” said the CEO.

The performance decline comes on the back of an equally weak Q2, in which Kambi reported a 19% annual decrease in revenue.

When compared to Q3 of 2021, EBITDA for Q3 2022 fell by 47% to €10.7m.

Operating profit decreased from €14.7m last year to €3.9m this year, at a margin of 10.6% for the quarter.

Cash flow, excluding working capital and M&A, amounted to €1.8m in Q3, compared to €11.9m in the prior corresponding period.

On a more positive note, operator turnover increased by 12% boosted by new partner signings and market launches.

In Q3, the Stockholm-listed supplier expanded its partner network in the Americas with four clients and completed 10 partner launches, including the relaunch of Kindred’s online sportsbook in the Netherlands and MaximBet’s online sportsbook in the US.

Nylén said: “The third quarter is always the most challenging for the sports betting industry given the quiet sporting calendar and this year was no exception.

“It was also a quarter marked by growing global economic uncertainty and higher cost of living, trends which show little sign of subsiding any time soon.”

Kambi CEO Kristian Nylén: “The third quarter is always the most challenging for the sports betting industry given the quiet sporting calendar and this year was no exception.”

Nevertheless, CFO David Kenyon described Kambi’s financial performance in Q3 as robust.

Kenyon noted that Kambi still felt the loss of DraftKings as a client after the US behemoth migrated onto its proprietary SBTech sports betting software.

“In Q3 2021, approximately 30% of our revenue came from DraftKings. That, of course, disappeared this year.”

However, Kenyon commented: “We continue to be profitable and used our powerful balance sheet to fund the purchase of Shape Games.”

In September, the sportsbook supplier acquired Danish front end specialist Shape Games for €38.5m.

Nylén commented: “The acquisition will not only complement our turnkey solution but it also aligns with our modularisation strategy, with the front end module set to be sold as a standalone service outside of the existing network, thereby increasing our total addressable market.”

Commenting further on its modularisation strategy, Nylén revealed that Kambi has identified its Bet Builder product as the first standalone product that will go to market, beginning in Q1 2023.

“Unlike our key competitors, Kambi’s Bet Builder was created as part of the core sportsbook, thereby benefitting from our expertise in areas such as competitive pricing, unique user experience and risk management, creating a compelling product for operators to integrate,” Nylén said.

In Q4, Kambi expects to benefit from a packed sporting events calendar, which includes the 2022 World Cup.

The supplier also hopes to see a positive financial impact from its recently sealed partnership with Great Canadian Entertainment, a leading on-property gaming and entertainment company owned by an affiliate of Apollo Global Management.

Moreover, Kambi signed an agreement with Penn Entertainment that provides for ongoing rev share payments until Penn completes the migration of its online and retail sportsbooks from Kambi to its own proprietary technology.

Kambi will also receive $27.5m in early termination and transition fees.


Entain’s total net gaming revenue increased by 2% in Q3 2022, which was in line with the operator’s expectations.

Updating investors on trading in the third quarter, the FTSE 100-listed company said it expects group EBITDA to be in line with previous guidance of £925m to £975m, representing growth of 5-10% year-on-year.

Retail net gaming revenue (NGR) was 10% higher than in Q3 2021, while online NGR grew by just 1%.

The operator continued to feel the impact of its withdrawal from the Netherlands as part of the Dutch licensing process during the quarter.

The temporary closure of the Dutch market took three percentage points off Entain’s online growth; excluding the Netherlands, NGR was up 4% in Q3.

Nonetheless, Q3 performance was broadly in line with Entain’s expectations, CFO Rob Wood said in a call with analysts.

He stressed that Entain exited the period with a return to growth in online, after reporting a 7% dip in online NGR for H1 2022.

On a more positive note, the operator revealed a record level of active customers in Q3 2022, up 6% year-on-year and up 65% when compared to 2019, Wood said.

More importantly, he mentioned that Entain has thus far not “seen any further deterioration due to the macro conditions highlighted in Q2”.

Entain CEO Jette Nygaard-Andersen said the firm’s underlying performance remains healthy, but “we, of course, are mindful of the environment in which we operate.”

Entain CEO Jette Nygaard-Andersen: “Looking across our business, we estimate that the markets we are in are worth around $70bn to date. Our core online markets are expected to grow at around 7% to 8% CAGR over the next five years with some of our new markets growing at double digit rates.”

She said the fact that Entain welcomed more customers “is a testament to our relentless focus on the customer, as well as the quality of our products, content and talented people.

“Looking across our business, we estimate that the markets we are in are worth around $70bn to date. Our core online markets are expected to grow at around 7% to 8% CAGR over the next five years with some of our new markets growing at double digit rates,” she added.

In addition, Entain said BetMGM, its US joint venture with MGM Resorts, continued to perform strongly. It now has a 25% market share in the areas in which it operates, though that figure excludes New York.

Moreover, Q3 NGR in the US surged 90% to $400m, helped by the start of the US National Football League season.

Looking ahead, in Q4 Entain plans to complete the acquisitions of BetCity in the Netherlands and SuperSport in Croatia and hopes to benefit from the Fifa World Cup.

Nygaard-Andersen concluded: “We have healthy momentum across the business and look forward to a strong finish to the year which includes the World Cup. Looking ahead, we remain vigilant of the economic backdrop.

“However, our diversified revenue base and robust business model enable us to remain confident in our ability to deliver on our growth and sustainability strategy,” she added.