GiG nets 82% EBITDA increase riding high off Media Services growth
Gaming Innovation Group (GiG) has continued its positive ‘pure B2B momentum’ by registering double-digit Q2 revenue and earnings growth.
Publishing its Q2 2021 trading update (period ending 30 June), the Stockholm-listed igaming solutions provider reported group revenues of €16.2 million, up 23% on corresponding 2020 results of €13.2 million.
Q2 trading saw GiG’s Media Services division achieve an all-time high in sales of €11 million – as the fast growth unit continued the growth-on-growth trajectory recorded over the past 18 months.
Elsewhere, GiG’s Platform Services maintained revenues of €5.1 million (Q2 2020: €4.8m) – as the unit’s performance was dragged by German market regulatory adjustments and the discontinuation of GiG white label services.
Despite setbacks, GiG stressed that there is still high demand for its platform services, having launched two new clients during Q2.
Maintaining group operating expenses at €8.2 million (Q2 2020: €8.5m), GiG recorded Q2 EBITDA of €5.3 million – up 86% on 2020 results of €2.8 million.
“Another rewarding quarter for GiG, with meaningful growth in revenues, EBITDA and EBIT as well as underlying business dynamics. The Company is progressing towards our business growth & expansion strategies, improving delivery and future position of the group,” said GiG Group CEO Richard Brown.
Providing a year-to-date outlook, GiG group revenues track at €31.6 million (YTD2020: €23.8m) – with GiG’s corporate YTD EBITDA already at €9.8 million, and close to outperforming full-year 2020 results of €10.7 million.
Entering H2 trading, GiG cited strong commercial prospects for its media services and platform unit, which have entered a further three new marketplaces.
Further positives saw GiG detail an improved outlook for its nascent sportsbook unit, which is reported to be ‘close to breaking even’ servicing five brands on its platform.
Brown added: “GiG will continue its focus on cost control and global expansion and the Company has a sound cost base for its operations which will drive results going forward.
“Client onboarding is picking up and the Company is set to continue to expand in both Platform and Media. GiG is very pleased with the overall development and expects to continue to grow going forward.
“We continue to complete the development of projects for new client launches. There has been an increase in velocity in project completions, with the number of SaaS clients live increasing from 14 in the same period of 2020 to 22 by the end of June.
“We also continue to make progress towards our short and long term integration pipeline and expansion into new and ever growing lists of regulated markets, which will be a key to an expanding business over the next years as a multitude of markets regulate online casino and sportsbook.”