iGaming Gossips: Q1 Results Edition
As the numbers are in, itâs time to pay attention to Q1 2025. Some companies saw sharp declines, others took the chance to reset their strategies.
It wasnât a winning quarter for everyone, but it was full of key moves, shifting priorities, and early signs of whatâs to come for the rest of the year. In Mayâs iGaming Gossip edition, letâs take a closer look at where the challenges emerged â and how companies are responding.
And remember, we donât gossip â we just listen carefully and forward responsibly.
Revenue halved, strategy boosted: Raketechâs caseRaketech started 2025 on a difficult note, with Q1 revenue dropping nearly 50% to âŹ9.8 million, compared to âŹ19 million in Q1 2024. Adjusted EBITDA fell to âŹ2.4 million, down from âŹ5.1 million â a 53% decline. The downturn was mainly driven by weaker performance in Japan, lower U.S. tipster income, and algorithm-related hits to the Paid Publisher Network.
Sub-affiliation revenue fell 61% year-on-year, while free cash flow dropped by 74%, from âŹ6.5 million to âŹ1.7 million.
To turn things around, Raketech is focusing more on its AffiliationCloud platform. The goal is to rely less on search engine traffic and build a more stable source of income. The company also pushed back a âŹ20.6 million payment for Casumba until 2028, giving it more financial breathing room in the short term.
Still, there are some positives. CEO Johan Svensson said that Raketechâs organic publisher network is growing, and the company has recently signed deals with new exclusive operators. These signs suggest better results may be on the way.
IGT slows down in Q1IGTâs Q1 2025 results showed a clear decline compared to the same period in 2024. Revenue fell 12% to $583 million, while net income dropped sharply to $8 million, compared to $116 million last year â a 93% decrease. Operating income was down 37%, and adjusted EBITDA declined by 24%.
Despite the weaker performance, free cash flow rose to $92 million compared to $30 million in Q1 2024. The company also nearly doubled its cash reserves and slightly reduced its net debt, maintaining strong liquidity moving forward.
The company said the decline was mostly due to lower activity in U.S. multi-state jackpots and fewer incentive earnings from its lottery contracts. These factors had a clear impact on the bottom line.
Despite the hit, CEO Vince Sadusky pointed to stable global sales of instant and draw-based games as a bright spot. He also mentioned that IGT continues to focus on innovation and improving its game lineup.
CFO Max Chiara added that, when looking at results without currency effects, profits came in as expected. He also highlighted that the companyâs cash flow remains strong.
IGT expects its full-year revenue and EBITDA to be closer to the lower end of its forecast, but says itâs still in a strong financial position as it prepares for important contract renewals.
Mass player loss in Brazil cuts Gentooâs profitsGentoo Media reported an 11% drop in revenue for Q1 2025, bringing in âŹ24.8 million compared to âŹ28 million the year before. The quarter ended with a âŹ2.7 million loss, a big shift from the âŹ9.7 million profit posted in Q1 2024. EBITDA before special items also fell to âŹ8.2 million, down from âŹ13.5 million.
The sharp decline was mainly due to new gambling rules in Brazil, which required users to reactivate their betting accounts. As a result, Gentoo lost a large chunk of its player base, up to 90% in some areas, leading to a major drop in regional income.
To manage the impact, Gentoo reduced its global workforce by 10% and narrowed its focus to 70 top-performing websites. These changes are expected to cut costs by as much as âŹ10 million a year.
CEO Jonas Warrer is staying positive. He says the company is now focusing on stronger markets and expects to see better margins and renewed growth in the second half of 2025.
Gambling slows in Sweden, except for the good causesSwedenâs gambling market saw a slight decline in Q1 2025, with turnover from licensed operators falling 1% year-on-year to SEK 6.61 billion. Online casino and betting stayed on top as the biggest segment, generating SEK 4.28 billion â almost the same as last year.
State lotteries and cash machine games brought in SEK 1.3 billion, marking a 3% drop. Casino Cosmopol had the toughest quarter, with turnover falling 60% to just SEK 26 million. The venue has been struggling since the pandemic and continues to underperform.
There were some positive signs, though. Public interest gambling, like charity lotteries, saw a 3.5% increase to SEK 886 million. Hall bingo and other land-based gambling stayed steady, reporting SEK 49 million and SEK 52 million respectively.
Swedenâs Gambling Authority, Spelinspektionen, reminded that these numbers only reflect licensed operators. Unlicensed gambling still accounts for a large portion of the market, making the full picture more complex.
Slower Q1, but Better Collective still playing the long gameBetter Collective reported âŹ83 million in revenue for Q1 2025, a 13% drop compared to âŹ95 million in Q1 2024. Organic growth declined more sharply, falling 18% versus a 6% drop the year before. Recurring revenue also slipped from âŹ53.3 million to âŹ49 million, while adjusted EBITDA decreased to âŹ22 million, down from âŹ29 million in Q1 2024.
The dip was caused by several outside factors: regulatory changes in Brazil, no new market launches like last yearâs entry into North Carolina, weaker performance from U.S. partners, and softer sports win margins.
Still, the company is staying positive. It sees promising developments in the newly regulated Brazilian market and expects things to pick up in Q2 as the sports season kicks into gear. It also announced a âŹ10 million share buyback program.
Better Collective hasnât changed its full-year goals. The company is still targeting âŹ320â350 million in revenue, âŹ100-120 million in EBITDA, and âŹ55-75 million in free cash flow, while keeping its debt levels in check.
Revenue falls, but Wynn invests for the futureWynn Resorts reported $1.70 billion in revenue for Q1 2025, down 8.7% compared to $1.86 billion in Q1 2024. Net income was nearly cut in half, falling from $155.8 million to $72.7 million, while adjusted property EBITDAdeclined from $647.5 million to $532.9 million.
The drop was partly due to the absence of large-scale events like the Las Vegas Super Bowl, which had boosted Q1 2024, as well as weaker VIP performance in Macau, where Wynn Macauâs revenue fell 19.9% and Wynn Palace dropped 8.7%.
In the U.S., things were more stable. Wynn Las Vegas saw just a 1.8% dip in revenue, while Encore Boston Harbor was down 4%. Both properties still held steady in terms of table game performance.
Meanwhile, Wynn kept investing in its future. The company added to its UAE project, Wynn Al Marjan Island, bringing total investment there to nearly $683 million. It also repurchased $200 million worth of shares and will pay a $0.25 dividend at the end of May.
Thinking Out LoudâŠAs we move further into 2025, itâs clear that resilience, adaptability, and a proactive mindset will define the winners in the iGaming space. This quarter reminded us that even industry giants arenât immune to disruption, and in order to stay competitive and credible, operators must focus not only on innovation and market reach but also on financial discipline and strategic clarity.
The views expressed in this article represent the authorâs personal observations and interpretations of recent events. They are not intended to influence or impose any particular perspective. Readers are encouraged to assess the information independently and form their own opinions.
