Bragg Gaming Group claims to have set a strong pace for the current financial year in its Q1 results, reporting CDN $10.4m in revenue; at the top of the expected range and up 203% over the comparable period in 2018. Gross profit increased by 181% in the quarter compared with the same period year-on-year, coming in at CDN $5.2m versus CDN $1.8m in Q1-2018.
Overall, the firm reported an EBITDA of CDN $63k (Q1-2018 loss before interest, tax, depreciation and amortization of CDN $611k) and a net loss of CDN $1.9m (Q1-2018 net loss CDN $14.1m), which included a stock-based compensation charge of CDN $1.1m and depreciation and amortization of CDN $0.8m.
“We’re very pleased with our results,” said CEO Dominic Mansour. “It’s our first full quarter, and we’ve been focused on building a solid foundation for future growth. We delivered on our initial goals, including closing a number of divisions within the old Breaking Data organization and completing a substantial restructure of the GiveMeSport (GMS) business.
“We aggressively cost-managed GMS and pivoted the direction of the sports media site. Bragg was also able to break even at the EBITDA level by quarter-end, the first time in the company’s history and sooner than we expected.”
ORYX Gaming, Bragg’s flagship property, was a key contributor to the strong Q1 results, achieving CDN $9.2m in revenue over the quarter. “ORYX had an exceptional Q1,” noted Mansour. “Revenue is up 83 per cent over the same period in 2018, and we secured a number of key clients, signing 22 agreements over the quarter.
“We were also successful in our goal of diversifying our customer base. 49% cent of ORYX’s revenue now comes from our top five customers; a very positive trend when compared to the first quarter of 2018, when over 75% of revenue came from just two customers.”
GiveMeSport, Bragg’s sport media outlet, is also performing ahead of internal expectations said the firm. Following the first quarter restructure, the business is reportedly already seeing positive results in both its cost structure and key performance metrics. The GiveMeSport business is currently planning a significant re-launch in the third quarter (August 2019) of the year.