GAN Limited revenue increases to $35.6m in Q2

B2B segment revenue was $13m.

US.- The igaming operator and supplier GAN Limited has reported its financial results for the quarter ended June 30. Revenue was $35.6m up 5 per cent.

B2B segment revenue was $13m compared, up from Q2 2023’s $9.9m. GAN said the increase was primarily due to an expansion of its B2B offerings in the state of Nevada and the recognition of revenue related to the exit of a B2B partner in Michigan.

B2C segment revenue was $22.6m, down from $23.9m. Growth in European markets driven by increased player activity was offset by reduced player activity in Latin America and lower margins resulting from unfavourable event outcomes.

Operating expenses fell to $25.1m due to a reduction of compensation costs and reduced headcount as part of ongoing cost-saving initiatives, as well as lower depreciation and amortisation expenses as a result of intangible assets fully amortising in the prior year. The net loss was $1.7m compared to $18.4m, primarily due to increased revenues and decreased operating expenses. The prior period included a loss on debt extinguishment of $8.8m.

Seamus McGill, GAN’s chief executive officer, said: “I’m very pleased with the continued operational progress the team is delivering. We achieved top-line revenue growth in the second quarter while reducing our operating expenses. We continue to operate the business more efficiently with a focus on improved profitability.

“Looking ahead, our focus remains unchanged. We will continue to optimize our overall cost structure and roll-out product enhancements. We continue to work through the gaming regulatory requirements for our planned merger with SEGASAMMY and anticipate a successful closing in late 2024 or early 2025.”

In April, GAN Limited named Brian Chang as permanent chief financial officer. He had been serving in the position on an interim basis since November 2022. He focuses on guiding the company towards closing a deal with Sega Sammy Creation.