Online gaming marketing services provider Gambling.com Group has reported a 36% revenue increase to a record $26.7 million for the first quarter of the year. Net income during the three-month period rose 47% to $6.6 million, while Adjusted EBITDA increased 49% to $10.7 million. The company has now increased its guidance for full-year revenue and Adjusted EBITDA.
Charles Gillespie, CEO and Co-Founder of Gambling.com, said: “Our record first quarter 2023 results exceeded internal forecasts and reflect industry-leading organic revenue growth as well as strong profitability and cash generation. Our performance in the first quarter demonstrates both Gambling.com Group’s successful execution of our North American growth initiatives and our success in generating ongoing attractive growth in more established markets.”
During the quarter, new depositing customers (NDCs) increased 31% from the prior-year period, helping drive year-over-year revenue and EBITDA growth. Gillespie also pointed to “strong growth” in both newer and more established markets, with particular strength in iCasino performance marketing revenue in many of the group’s global markets.
As for highlights per market, North American revenue increased 33% year-over-year to $14.1 million, despite the year-ago period including the blockbuster launch of sports betting in New York. First-quarter growth in the U.K. and Ireland, where Gambling.com Group has a longer operating history, was also remarkable as the firm generated all-time quarterly record revenue for the fifth consecutive quarter in those markets, with revenue rising 36% to $8.5 million. In addition, revenue from other Europe and the rest of the world increased 51%.
“We have established a record of consistently delivering market-leading organic revenue growth compared to our publicly-traded peers, as well as strong Adjusted EBITDA and Free Cash Flow. The advantages of our proprietary technology are a key factor driving our consistent growth in established markets and our success in addressing the high-growth North American market opportunity,” Gillespie further stated.
Following the strong start to the year, the company is raising its outlook for 2023 full-year revenue and Adjusted EBITDA as it remains on track to deliver “another year of strong profitable organic growth and record financial results.” The firm now expects revenue of $95 million to $99 million and Adjusted EBITDA of $33 million to $37 million for the full year. The mid-points of the new ranges reflect year-over-year growth of 27% and 45%, respectively.