URGENT UPDATE: Gambling.com Group has just released its financial results for Q3, revealing record revenue growth even as losses escalate. The gaming and betting affiliate reported a staggering $39 million in revenue for the quarter, reflecting an impressive 21% year-on-year increase. However, this positive news is overshadowed by a significant rise in net losses, now standing at $3.9 million for the quarter.
Gambling.com’s revenue surge is noteworthy, with year-to-date figures reaching $119.2 million, marking a remarkable 30% growth compared to the same period last year. Unfortunately, the company’s net income has plummeted by 145% from the previous year, attributed to “the fair value movement in contingent consideration related to the outperformance of Odds Holdings.”
In a detailed report, the company also disclosed a 16% decline in adjusted net income, which has fallen to $9.3 million ($0.26 per share), a direct result of rising interest expenses linked to its credit facilities. On a year-to-date basis, net losses total $6 million, down from a net income of $22.7 million last year.
Despite the challenges, Gambling.com achieved an adjusted EBITDA of $13 million, a modest 3% increase from the previous year. However, its adjusted EBITDA margin slipped to 33% due to increased costs associated with marketing and traffic diversification efforts. Year-to-date adjusted EBITDA stands at $42.6 million, up 25% year-on-year.
The company reported a 27% decrease in cash flow generated by operating activities, totaling $10.9 million for the quarter. Yet, year-to-date cash flow rose by 21%, reaching $29.1 million. Adjusted free cash flow for Q3 was reported at $9.6 million.
Highlighting its ongoing confidence, Gambling.com successfully secured over 101,000 new depositing customers this quarter and made strides in its share buyback program, repurchasing 562,222 shares for $4.7 million. To date, the company has repurchased 671,998 shares in 2025, totaling $5.6 million, with a buyback plan allowing for an additional $14.4 million in share repurchases.
CEO Charles Gillespie expressed optimism despite the setbacks, emphasizing the record-breaking revenue as evidence of the company’s resilience in the face of ongoing challenges, particularly the proliferation of spam websites in non-US markets. “Despite this near-term challenge, we remain confident that these poor search quality issues will be addressed,” Gillespie stated. He added that the company’s initiatives to diversify traffic sources position it for growth in 2026.
CFO Elias Mark echoed Gillespie’s sentiments, highlighting the strong adjusted free cash flow generation that opens doors for investment opportunities while maintaining capital flexibility.
Looking ahead, Gambling.com has adjusted its full-year 2025 guidance, now projecting revenue of $165 million and adjusted EBITDA of $58 million. Despite the revisions, these figures still represent robust growth of 30% and 19% respectively.
As this story develops, the gaming and betting sector will closely monitor Gambling.com’s next moves, particularly how it navigates these financial challenges while striving for continued growth and operational excellence.
