Bragg Gaming Group Fourth Quarter Revenue Rises 50.3% to a Record €23.7 Million

March 21, 2023

Gross Profit Rises 61.6% to €13.0 Million (US $14.0 Million) Reflecting Higher Revenue and 390 Basis Point Improvement in Gross Profit Margin to 54.9%

Adjusted EBITDA Improves by 128.3% to €3.6 Million (US $3.9 Million)

Full Year 2022 Revenue Rises 45.3% to €84.7 Million (US $91.1 Million) and Adjusted EBITDA Grows 64.0% to €12.1 Million (US $13.0 Million)

Updates Full Year 2023 Guidance for Revenue of €93-97 million (US $100.0-104.3 Million) and Adjusted EBITDA of €14.5-16.5 million (US $15.6-17.7 Million)

TORONTO, March 21, 2022 – Bragg Gaming Group (NASDAQ: BRAG, TSX: BRAG) (“Bragg” or the “Company”), a global B2B content-driven iGaming technology provider, today reported record financial results for the fourth quarter and full year ended December 31, 2022. The Company also provided an update on its strategic growth initiatives and updated its growth targets for 2023 revenue and Adjusted EBITDA.

Summary of 4Q22 Financial and Operational Highlights

Euros (millions)(1) 4Q22 4Q21 Change
Revenue € 23.7 € 15.8 50.3 %
Gross profit € 13.0 € 8.0 61.6 %
Gross profit margin 54.9 51.0 390 bps
Adjusted EBITDA(2) € 3.7 € 1.6 128.3 %
Adjusted EBITDA margin 15.4 10.1 530 bps
Wagering revenue € 5.1 € 3.1 65.4 %

Euros (millions) FY22 FY21 Change
Revenue € 84.7 € 58.3 45.3 %
Gross profit € 45.1 € 28.3 59.2 %
Gross profit margin 53.2 48.6 460 bps
Adjusted EBITDA € 12.1 € 7.4 64.0 %
Adjusted EBITDA margin 14.2 12.6 160 bps
Wagering revenue € 17.7 € 14.3 24.0 %

(1) Bragg’s reporting currency is Euros. The exchange rate provided is US $1.00 = €0.93. Due to fluctuating currency exchange rates, this reference rate is provided for convenience only.
(2) Adjusted EBITDA is a non-IFRS measure. For important information on the Company’s non-IFRS measures, see “Non-IFRS Financial Measures” below.

Chief Executive Officer Commentary

“Bragg concluded a transformational 2022 with another quarter of record results, as fourth quarter revenue, gross profit and Adjusted EBITDA grew significantly compared to the fourth quarter of 2021 and exceeded our prior expectations,” said Yaniv Sherman, Chief Executive Officer for Bragg. “In the fourth quarter of 2022, we generated year over year revenue growth of 50.3% to €23.7 million (US $25.5 million), a 61.6% increase in gross profit to €13.0 million (US $14.0 million), a 390-basis point improvement in gross profit margin to 54.9%, and a 128.3% increase in Adjusted EBITDA to €3.6 million (US $3.9 million). These record results highlight Bragg’s ongoing substantial momentum as we continue to successfully diversify our operations from serving primarily central-European iGaming markets to become a global, content-led, iGaming solutions provider with extensive distribution across North America and Europe. Our successful execution on our operating priorities is also evident in our record full year results, as revenue, gross profit and Adjusted EBITDA grew 45.3%, 59.2% and 64.0%, respectively, over the 2021 full year period. 

“With the full integration of our Wild Streak Gaming and Spin Games acquisitions and our four game development studios hitting their stride and consistently growing their game development output, Bragg has the foundation to scale as a global business. Reflecting our content-led focus, since the beginning of 2022, we have launched our new proprietary and exclusive third-party content with six operators in three U.S. markets as well as in multiple additional global iGaming markets.

“Our ability to generate consistent revenue and margin growth reflects our approach to differentiate our iGaming content by internally developing a steady stream of player-popular games (20 games across the globe in 2022) complemented by exclusive third-party games from leading development studios (23 games in 2022). This approach provides our operating partners with content that engages their players at higher levels, as the peak revenue generation of our newest premium proprietary and third-party games has been excellent and the performance tail for these games is significantly longer than similar games. We are confident that the acceleration of our development of proprietary games and third-party exclusive games will help us gain further market share in our existing markets as well as in new markets, particularly in North America.”

Mr. Sherman concluded, “We are executing well on our many growth opportunities to deliver profitable revenue growth and increasing cash flow going forward. In addition to our content focus, our growth drivers include our ability to provide an industry-leading PAM and our state-of-the art FUZE game-optimization technology to drive higher player engagement which results in higher revenues and lifetime player value for iGaming operators. We also expect the development and introduction of proprietary games in North America and Europe will accelerate in the second half of 2023 which will further benefit our margins and drive our operating momentum. As a result, our outlook for 2023 revenue of €93-97 million (US $100.0-104.3 million) and Adjusted EBITDA of €14.5-16.5 million (US $15.6-17.7 million) – with the midpoints of the ranges representing year-over-year growth of 12% and 28%, respectively – demonstrates the strength of our operating model. We are excited about the opportunities 2023 presents as we continue to execute on our strategic priorities to create long-term shareholder value.” 

Fourth Quarter 2022 and Recent Business Highlights

  • Bragg’s new content went live in Michigan with BetMGM
  • Entered Belgium market with debut partner Napoleon Sports and Casino
  • Entered into an agreement with Sega Sammy Creation Inc. (“SSC”) for the exclusive rights to distribute select titles from SSC’s popular content portfolio to iGaming operators in the U.S., U.K. and other global markets
  • The Company’s new content recently went live in New Jersey with Caesars Sportsbook & Casino, DraftKings, Rush Street Interactive’s, and Resorts Digital Gaming.

Fourth Quarter 2022 Financial Results and other Key Metrics Highlights

  • Revenue increased by 50.3% to €23.7 million (US $25.5 million) compared to €15.8 million (US $17.0 million) in 4Q21. 
  • Wagering revenue generated by customers of €5.1 billion (US $5.5 billion) increased from €3.1 billion (US $3.3 billion) in 4Q21.
  • Gross profit increased 61.6% to €13.0 million (US $14.0 million) from €8.0 million (US $8.6 million) in 4Q21, representing a gross profit margin of 54.9%. Gross profit in 4Q22 reflects a change in product mix towards turn-key Player Account Management (“PAM”) customers, managed services and proprietary content, resulting in improved gross profit and Adjusted EBITDA compared to the year-ago period.
  • Net loss for the period was €0.9 million (US $1.0 million), an improvement from a net loss of €2.0 million (US $2.2 million) in 4Q21, primarily due to the higher gross profit partially offset by an increase in total employee costs, depreciation and amortization, IT and hosting costs, transactional and exceptional costs, sales and marketing expense and other operational and travel costs.
  • Adjusted EBITDA was €3.6 million (US $3.9 million), an increase of 128.3% compared to €1.6 million (US $1.7 million) in 4Q21, representing an Adjusted EBITDA margin of 15.4%, compared to 10.1% in 4Q21.

2022 Full Year Financial Results and other Key Metrics Highlight

  • Revenue increased by 45.3% to €84.7 million (US $91.1 million) compared to €58.3 million (US $62.7 million) in 2021. 
  • Wagering revenue generated by customers of €17.7 billion (US $19.0 billion) increased from €14.3 billion (US $15.4 billion) in 4Q21.
  • Gross profit increased 59.2% to €45.1 million (US $48.5 million) from €28.3 million (US $30.4 million) in 2021, representing a gross profit margin of 53.2%.
  • Net loss for the period was €3.5 million (US $3.8 million), an improvement from a net loss of €7.5 million (US $8.1 million) in 2021, primarily due to the higher gross profit partially offset by an increase in selling, general and administrative expenses and a gain on the remeasurement of deferred consideration.
  • Adjusted EBITDA was €12.1 million (US $13.0 million), an increase of 64.0% compared to €7.4 million (US $8.0 million) in 2021, representing an Adjusted EBITDA margin of 14.2%, compared to 12.6% in 2021.
  • Cash flow from operations was €5.8 million (US $6.2 million), an increase of €5.7 compared to €0.1 million (US $0.1 million) cash flow from operations in 2021.
  • Cash and cash equivalents as of December 31, 2022 was €11.3 million (US $12.2 million) and net working capital, excluding deferred consideration, was €6.6 million (US $7.1 million).

Updated Full Year 2023 Revenue and Adjusted EBITDA Guidance

Bragg provided an update on its expectation for 2023 full year revenue Adjusted EBITDA growth with revenue expected to rise approximately 10% to 15% to a range of €93-97 million (US $100.0-104.3 million) and Adjusted EBITDA expected to increase approximately 20% to 36% to a range of €14.5-16.5 million (US $15.6-17.7 million). Given the stronger than previously anticipated 4Q22 revenue and Adjusted EBITDA, Bragg’s updated guidance reflects an increase from the initial expectations provided at the time the Company reported 3Q22 results in November 2022.

Investor Conference Call

The Company will host a conference call today, March 21, 2023, at 8:30 a.m. Eastern Time, to discuss its fourth quarter and full year 2022 results. During the call, management will review a presentation that will be made available to download at

To join the call, please use the below dial-in information:

Participant Toll-Free Dial-In Number (US/CANADA): (888) 210-4227
Participant Toll Dial-In Number (INTERNATIONAL): (646) 960-0341

United Kingdom: Toll-Free: +44 800 358 0970

United Kingdom: Toll Dial-In: +44.20.3433.3846

Conference ID: 2522980

Or join the webcast at

A replay of the call will be available until March 28, 2023 following the conclusion of the live call. In order to access the replay, dial (647) 362-9199 or (800) 770-2030 (toll-free) and use the passcode 2522980.

Cautionary Statement Regarding Forward-Looking Information

This news release may contain forward-looking statements or “forward-looking information” within the meaning of applicable Canadian securities laws (“forward-looking statements”), including, without limitation, statements with respect to the following: the Company’s strategic growth initiatives and corporate vision and strategy; financial guidance for 2022, expected performance of the Company’s business; expansion into new markets; the impact of the new German regulatory regime, expected future growth and expansion opportunities; expected benefits of transactions; expected future actions and decisions of regulators and the timing and impact thereof. Forward-looking statements are provided for the purpose of presenting information about management’s current expectations and plans relating to the future and allowing readers to get a better understanding of the Company’s anticipated financial position, results of operations, and operating environment. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved.

All forward-looking statements reflect the Company’s beliefs and assumptions based on information available at the time the statements were made. Actual results or events may differ from those predicted in these forward-looking statements. All of the Company’s forward-looking statements are qualified by the assumptions that are stated or inherent in such forward-looking statements, including the assumptions listed below. Although the Company believes that these assumptions are reasonable, this list is not exhaustive of factors that may affect any of the forward-looking statements. The key assumptions that have been made in connection with the forward-looking statements include the following: the impact of any public health measures on the business of the Company; the regulatory regime governing the business of the Company;  the operations of the Company; the products and services of the Company; the Company’s customers; the growth of Company’s business, the meeting minimum listing requirements of the stock exchanges on which the Company’s shares trade; which may not be achieved or realized within the time frames stated or at all; the integration of technology; and the anticipated size and/or revenue associated with the gaming market globally.

Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the following: risks related to the Company’s business and financial position; that the Company may not be able to accurately predict its rate of growth and profitability; risks associated with general economic conditions; adverse industry events; future legislative and regulatory developments; the inability to access sufficient capital from internal and external sources; the inability to access sufficient capital on favorable terms; realization of growth estimates, income tax and regulatory matters; the ability of the Company to implement its business strategies; competition; economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices; changes in customer demand; disruptions to our technology network including computer systems and software; natural events such as severe weather, fires, floods and earthquakes; and risks related to health pandemics and the outbreak of communicable diseases. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise, except in accordance with applicable securities laws.

Non-IFRS Financial Measures

Statements in this news release make reference to “Adjusted EBITDA”, which is a non-IFRS (as defined herein) financial measure that the Company believes is appropriate to provide meaningful comparison with, and to enhance an overall understanding of, the Company’s past financial performance and prospects for the future. The Company believes that “Adjusted EBITDA” provides useful information to both management and investors by excluding specific expenses and items that management believe are not indicative of the Company’s core operating results. “Adjusted EBITDA” is a financial measure that does not have a standardized meaning under International Financial Reporting Standards (“IFRS”). As there is no standardized method of calculating “Adjusted EBITDA”, it may not be directly comparable with similarly titled measures used by other companies. The Company considers “Adjusted EBITDA” to be a relevant indicator for measuring trends in performance and its ability to generate funds to service its debt and to meet its future working capital and capital expenditure requirements. “Adjusted EBITDA” is not a generally accepted earnings measure and should not be considered in isolation or as an alternative to net income (loss), cash flows or other measures of performance prepared in accordance with IFRS. Adjusted EBITDA is more fully defined and discussed, and reconciliation to IFRS financial measures is provided, in Company’s Management’s Discussion and Analysis (“MD&A”) for the year ended December 31, 2022.

About Bragg Gaming Group

Bragg Gaming Group (NASDAQ: BRAG, TSX: BRAG) is a content-driven iGaming technology provider, serving online and land-based gaming operators with its proprietary and exclusive content, and its cutting-edge technology. Bragg Studios offer high-performing, data-driven and passionately crafted casino gaming titles from in-house brands Wild Streak Gaming, Spin Games, Atomic Slot Lab, Indigo Magic and Oryx Gaming. Its proprietary content portfolio is complemented by a range of exclusive titles from carefully selected studio partners which are Powered By Bragg: games built on Bragg remote games server (Bragg RGS) technology, distributed via the Bragg Hub content delivery platform and available exclusively to Bragg’s customers. Bragg’s modern and flexible omnichannel Player Account Management (Bragg PAM) platform powers multiple leading iCasino and sportsbook brands and is supported by expert in-house managed operational and marketing services. All content delivered via the Bragg Hub, whether exclusive or from Bragg’s large, aggregated games portfolio, is managed from a single back-office and is supported by powerful data analytics tools, as well as Bragg’s Fuze™ player engagement toolset. Bragg is licensed or otherwise certified, approved and operational in multiple regulated iCasino markets globally, including in New Jersey, Pennsylvania, Michigan, Ontario, the United Kingdom, the Netherlands, Germany, Sweden, Spain, Malta and Colombia.

Find out more.


Yaniv Spielberg
Chief Strategy Officer

Joseph Jaffoni, Richard Land, James Leahy

Bragg Gaming Group
212-835-8500 or [email protected]
[email protected]

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