Gentoo Media published a 15th consecutive quarter of revenue growth for Q3 2024 following its recent split from Gaming Innovation Group (GiG).
Across the third quarter, Gentoo’s revenue grew to €30.4m to represent a 35% growth year-over-year (12% organic) on previous year’s comparatives of €22.5m in Q3 2023.
Jonas Warrer, Gentoo Media CEO, commented: “I am pleased to present our third quarterly report for 2024, marking yet another record-setting quarter for Gentoo Media, with 15 consecutive quarters of all-time high revenue.
“Our focused strategy on sustainable, long-term growth – emphasising diversification and increased revenue share earnings – continues to strengthen our business. Despite market volatility, our disciplined approach has proven resilient, driving steady success and positioning us with a competitive edge in an increasingly dynamic marketplace.
“We remain confident that our strategic path will support our continued growth and stability in the coming quarters.”
Adjusted EBITDA came in at €14.6m (Q3 2023: €10.4m) reflecting a 48% margin, while group accounts booked ‘special items’ related to the company’s September split from GiG, capped at €600,000.
With special items excluded, EBITDA witnessed an uptick of 36% YoY by growing to €14m (46% margin). Media cash flow operations were valued at €19.9m, while IFRS5 standard platform & sportsbook cash flow was €12.2m.
In total, 58% of revenues were generated from recurring revenue share agreements, an increase of 24% YoY.
Despite headwinds in Norway, Europe-centric revenue increased 51% YoY, while revenue share from the Americas grew by 52%. This growth in the Americas was headlined by more than double digit growth in North America.
Europe and the Americas stood as principal markets, contributing 59% and 21% of quarterly revenue respectively.
Gentoo’s portfolio saw non-top five websites contributing 65% of the total revenue gained across Q3, an increase of 46% YoY. Meanwhile, top five websites revenue (35% of total) also increased 14% YoY as Gentoo’s explained that “a significant increase was seen in partners generating more than €10k per quarter, up 94% YoY”.
This influx of revenue comes as a result of an update from Google launched earlier this year, which offset the search rankings of Casinotopsonline.com and other Gentoo websites.
Leadership at the company expects that momentum will continue into Q4, sticking with its 2024 guidance expecting projected revenues of €125-135m and an EBITDA margin of 45-50%.
Recent bankruptcy allegations against BC.Game have been addressed by Leicester City as the Premier League club announced it will stick by the crypto casino operator.
According to multiple media outlets, Blockdance BV and Small House BV – two of the companies which make up BC.Game – have been declared bankrupt.
While the bankruptcy has not been confirmed by BC.Game, the company has confirmed its involvement in a legal dispute in the Dutch Caribbean island of Curaçao, where it holds a gambling licence, initiated by several of its users.
Despite being faced with a difficult financial situation should the club’s main sponsor become bankrupt, Leicester City has come out in support of the operator due to receiving “the strongest assurances”.
“We have been and continue to be in regular discussions with BC.Game with regard to an active legal case in Curaçao,” a Leicester City spokesperson said.
“BC.Game have provided the club with the strongest assurances that they are actively appealing this case, and that the process which has been initiated in Curaçao is administrative in nature and has not arisen due to any concerns with their financial standing.
“BC.Game has further assured us that they have no issues with liquidity and that they remain fully committed to meeting their ongoing contractual and financial obligations, including to the club, and that this case will not impact on BC.Game’s continuing international operations.”
BC.Game issued a statement in response to allegations of bankruptcy in which it addressed the legal case in Curaçao. The platform has been accused of misconduct by its customers, who claim that they incurred losses due to system issues.
“We strongly disagree with the court’s recent rulings and will vigorously appeal the decision, as we believe it failed to adequately consider key facts,” a BC.GAME statement read.
The firm states that it has found ‘several inconsistencies’ in the case and that the allegations lack any substantial evidence. It adds that many claims fail to hold up to legal and technical scrutiny and rely on unverified statements.
The statement continued: “BC.GAME is confident in our ability to demonstrate compliance and uphold our reputation as a legitimate operator in the industry.”
Leicester City’s sponsorship with the cryptocurrency casino operator has already received some criticism – along with several other crypto-PL clubs brand deals – due to the fact their services remain unavailable to UK players.
