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Gambling.com Group Third Quarter Revenue Rises 94% to $19.6 Million

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Gambling.com Group Limited (Nasdaq: GAMB) (“Gambling.com Group” or the “Company”), a multi-award-winning performance marketing company and a leading provider of digital marketing services for the global online gambling industry, today announced financial results for the third quarter ended September 30, 2022.

Charles Gillespie, Chief Executive Officer and Co-founder of Gambling.com Group, commented, “Our quarterly results, including record revenue, reflect continued strength in established markets, our successful execution in the rapidly growing North American market and the benefits of our efficient operating model which drives attractive operating margins and consistent positive Adjusted EBITDA and Free Cash Flow. Third quarter 2022 revenue rose 94%, inclusive of currency headwinds, to $19.6 million; Adjusted EBITDA increased 32% to $6.4 million; and we generated Free Cash Flow of $4.9 million. In addition, new depositing customers rose 152% year-over-year in the third quarter and nearly 20% on a quarterly sequential basis.

“Our investments to expand the breadth and quality of our portfolio of performance marketing websites ahead of new North American market launches has positioned Gambling.com Group for strong performance from its first day of operations in each of these new markets. The efficacy of this strategy is evident in our strong third quarter revenue growth in North America, which increased nearly 300% year-over-year to $9.1 million. This growth reflects, in part, contributions from three new markets that have come online since Q3 2021, including a strong first month of operations in Kansas which opened on September 1. We believe our similar investments in premium domains to address markets that we expect to come online over the next several quarters, including Ohio, Maryland and Massachusetts, position the Company for similarly strong starts as these new markets formally launch. In addition to leveraging our extraordinary North American growth opportunity, we continue to grow in more established markets, as reflected by our all-time record quarterly revenue in the U.K. and Ireland. Gambling.com Group’s strong performance in both new and mature markets provides clear evidence that our performance marketing platform helps online gambling operators address their critically important goal of investing in efficient and profitable customer acquisition that delivers easily attributable and quantifiable returns.

“Our consistently strong Adjusted EBITDA and Free Cash Flow, even as we continue to invest to drive further growth, is a key differentiator for Gambling.com Group. We will continue to benefit from our proprietary technology, which offers us competitive advantages, a significant pathway for near and long-term growth in North America, a track record of delivering consistent growth in our established markets and an operating model that drives profitability. As such, we are confident in our ability to grow over the balance of this year and extend our successes in 2023 and beyond.”

Third Quarter 2022 vs. Third Quarter 2021 Financial Highlights
(in thousands, USD, except per share data, unaudited)

  Three Months Ended September 30,   CHANGE
  2022   2021   $   %
Revenue 19,649     10,123     9,526     94 %
Net income for the period attributable to the shareholders 2,261     4,675     (2,414 )   (52 )%
Net income per share attributable to shareholders, diluted 0.06     0.13     (0.07 )   (52 )%
Adjusted net income for the period attributable to shareholders 6,035     4,675     1,360     29 %
Adjusted net income per share attributable to shareholders, diluted 0.16     0.13     0.03     27 %
Adjusted EBITDA 6,413     4,870     1,543     32 %
Adjusted EBITDA Margin 33 %   48 %       (15 )%
Cash flows generated by operating activities 5,622     1,381     4,241     307 %
Free Cash Flow 4,896     754     4,142     549 %

Share Repurchase Program

The Company’s Board of Directors approved a share repurchase program pursuant to which Gambling.com Group may purchase up to $10.0 million of its ordinary shares in open market transactions, including under plans complying with Rule 10b5-1 under the Securities Exchange Act of 1934, as amended. The actual number of shares to be purchased will depend upon market conditions and is subject to available liquidity, economic conditions, alternative uses for the capital and other factors. All shares purchased will be held in the Company’s treasury for possible future use. As of September 30, 2022, Gambling.com Group had approximately 36.5 million shares issued and outstanding. There is no minimum number of shares that the Company is required to repurchase, and the repurchase program may be suspended or discontinued at any time without prior notice.

Third Quarter 2022 and Recent Business Highlights

  • North American revenue grew 299% to $9.1 million
  • Delivered more than 68,000 new depositing customers
  • Successfully launched operations in Kansas
  • BonusFinder.com performed ahead of plan and RotoWire.com’s performance marketing revenues accelerated
  • Won the SBC North America Sports Affiliate of the Year Award
  • Subsequent to quarter end, acquired ultra-premium domain name Casinos.com

Elias Mark, Chief Financial Officer of Gambling.com Group, added, “Our third quarter revenue and Adjusted EBITDA were ahead of analyst consensus estimates. We remain focused on investing in the business in a disciplined manner as we prioritize growth that delivers positive Free Cash Flow. The Company remains well capitalized and in a strong position to meet our 2022 full year outlook and to generate continued growth in 2023 and beyond.”

2022 Outlook

For fiscal year 2022, based on currently available information, the Company reiterates its fiscal 2022 guidance and estimates:

  • Total revenue will be in the range of $71 million to $76 million
    • The mid-point of this range represents year-over-year growth of 74%
  • Adjusted EBITDA will be in the range of $22 million to $27 million
    • The mid-point of this range represents year-over-year growth of 33%

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Gaming and Leisure Properties Appoints Debra Martin Chase to Board of Directors

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Gaming and Leisure Properties Inc. announced that Debra Martin Chase has been appointed to the Board of Directors as a new independent director, effective immediately, to fill the vacancy created by the previously disclosed passing of JoAnne A. Epps.

The appointment of Ms. Chase to the Board of Directors brings the total number of directors to eight, seven of whom are considered independent according to the listing standards of the Nasdaq Stock Exchange. Ms. Chase has also been appointed as a member of the Nominating and Corporate Governance Committee of the Board of Directors, effective immediately. Ms. Chase will hold her directorship until the Company’s next annual meeting of shareholders or until her successor is duly elected and qualified or until her earlier death, disqualification, resignation, or removal.

Ms. Chase is the founder and Chief Executive Officer of an entertainment production company doing business as Martin Chase Productions. She is a two-time Tony Award winning, a Peabody Award winning, and three-time Emmy nominated television, motion picture, and Broadway producer. Ms. Chase is an entertainment industry trailblazer, being the first female African American producer to have a deal with a major motion picture studio. Her films have grossed over $500 million at the box office. She brings to the Company over 30 years of experience in motion picture and television production as well as a corporate legal background.

Peter Carlino, Chairman and Chief Executive Officer of GLPI, said: “I am delighted to welcome Debra to our Board as we believe her extensive entertainment industry experience, impressive legal background and broad board experience across public companies and the arts will serve GLPI well as we continue to drive growth in shareholder value. She brings a wealth of knowledge to GLPI, which we believe is a perfect complement to the existing strengths of the Board. I am confident that she will help expand the diverse set of viewpoints that ultimately shape our mission.”

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Arturo Vidal is the new ambassador of the betting site Estelarbet

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Arturo Vidal is the new ambassador of the betting site Estelarbet

 

Estelarbet, Chile’s leading betting site, is proud to introduce Chilean soccer legend Arturo Vidal as its new brand ambassador. The alliance with Vidal, the Chilean with the most titles in history, marks an important milestone for Estelarbet, as he will exclusively promote its entertaining variety of online casino games, spread responsible gaming and provide an impactful gaming experience. Within the strategic agreement, it was established that the sports betting and online casino will include new branded content activations, face-to-face events and community outreach with the widely known “King”.

Sebastián Salazar, CEO of the brand commented: “It is an honor to welcome a true King of Soccer to the Estelarbet crew. We are excited to have Arturo Vidal associated with the brand. I’m sure his presence will help us generate greater awareness that soccer, sports betting, and online casino are all a form of entertainment, as long as they are done responsibly.”

Estelarbet celebrates the Chilean heritage and the genuine love for online gambling that unites them with the soccer player, both being a real case of success on the national and international playing field. His career, which includes truly stellar moments such as his time in the golden generation, being the two-time champion of America with the Chilean national team, being the Chilean soccer player who won the most consecutive First Division leagues, winning 1 title in all the teams he has played, makes him an inspiring figure and idol of the sport at a national and international level.

Jimena Agudelo, Marketing Manager of Estelarbet said: “Our goal will always be to create exceptional and legendary experiences and who better to represent us than a true star like Arturo. His passion for the game, his dedication and commitment are the perfect reflection of the values we defend at Estelarbet. Without a doubt, he is the best strategic partner we have chosen to represent and increase the visibility of the brand not only in Chile, but also in Latin America.”

This partnership will undoubtedly enhance the entertainment, betting and gaming experience for the brand’s customers and provide them with unparalleled content with the fastest payouts in the sector.

Karla Porto, Influencer Manager says: “Estelarbet’s partnership with Arturo Vidal, is a bet on the great visibility and recognition he has worldwide. With more than 20 million followers on his Instagram account, he has a broad base, which translates into a massive platform to promote the brand, reaching a diverse audience passionate about soccer and sports in general. This will undoubtedly boost Estelarbet’s visibility regionally and attract new users interested in sports betting.”

With Arturo Vidal as the brand’s star, Estelarbet continues to reaffirm its commitment to offer an extraordinary, exciting and safe gaming experience for all users of the platform in Latam.

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Continent 8 Technologies set to debut in Brazil: Latin America’s next iGaming frontier

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Full-service digital and cloud infrastructure provider to support customers launching in the fast-growing, emerging regulated Brazilian market with its cutting-edge solutions

Continent 8 Technologies, the award-winning managed hosting, connectivity, cloud and cybersecurity provider to the global iGaming and online sports betting industry, is set to launch in Brazil. This strategic expansion aims to address growing customer demand in this rapidly emerging market. The move comes in anticipation of the market’s quick progression towards a comprehensive regulation of its online offering, with an expected launch in the summer of 2024.

Its move into Brazil strengthens its position in the wider Latin America region, where it has taken an ambitious first-to-market approach to deliver tailored solutions to customers in the likes of Colombia, Peru and Puerto Rico. Brazil adds to a private network spanning more than 100 locations across the world, making it one of the Top 20 best connected networks globally.

Operators and suppliers in Brazil will be able to benefit from Continent 8’s full suite of innovative and reliable digital and cloud infrastructure solutions including a Public Cloud, a scalable and cost-effective offering, with a usage-based commercial model to suit the customer.

Customers will also be able to access its Gaming Exchange, a powerful private internet that offers unrivalled speed, capacity, and security, as well as a full suite of cybersecurity solutions designed to combat the ever-changing threat landscape.

Cybersecurity will be a major concern for both operators and suppliers making a move in Brazil as it is a hotbed for cyber-attacks, in addition to the iGaming and online sports betting industry being one of the most vulnerable to attack ahead of healthcare and finance.

Luana Monje, Sales Executive at Continent 8 Technologies, said: “Brazil looks set to be a hugely significant market and one that our customers are keen to explore.

“Digital and cloud infrastructure is the foundation of any successful online business, and we are delighted to be launching in Brazil to support new and existing customers with our solutions and services as they make their move in the market.”

Continent 8 has strategically positioned itself with certified operations in various locations across Latin America. This recent expansion into the Brazilian territory is integral to Continent 8’s long-term Latin American and global growth strategy as the company looks to deliver essential local, technical, and regulatory support in each new and emerging market.

Michael Tobin, Founder and CEO of Continent 8 Technologies, added: “For more than 25 years, we have been supporting customers as they launch into new and growing markets, and we couldn’t be more excited to be doing this in Brazil.

“This is a market that offers tremendous potential to both operators and suppliers, but they must have the right foundation in place to maximise the opportunities on the table. Continent 8 has the experience, expertise, and solutions to help businesses do just that.”

 

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