Gaming Innovation Group (GiG) has announced its financial report for Q2 2024, reporting a 39% year-on-year revenue increase from its media division, the rebranded Gentoo Media.
The revenue of Gentoo Media reached a substantial €30.3 million ($33.8 million) driven by 18% organic growth. From here, EBITDA for Gentoo Media increased by 43% to €14.8 million, with an impressive EBITDA margin of 48.7%.
Yet, despite this, GiG’s Platform & Sportsbook department faced several challenges, with revenues going down by 21% to €7.3 million. The department’s adjusted EBITDA recorded a loss of €1.6 million, compared to €3.7 million increase in the same period last year.
Despite these challenges, the department secured two new deals, two additional Heads of Terms, and extended one contract during Q2. Moreover, GiG launched four new brands in Q2, with two more expected to launch in early Q3, bringing the total number of live brands to 72.
To improve its financial position, GiG also completed a €9 million equity raise and a €15 million bond tap. These actions are part of GiG’s preparations for the anticipated business split, where the Platform & Sportsbook department is set to start trading independently on 1 October 2024, after regulatory and shareholder approval.
Furthermore, GiG also finalized the acquisition of Titan for $3,2 million, a renowned supplier of content services and SEO. This acquisition is expected to boost the operational efficiency of Gentoo Media primarily by reducing SEO and content costs.
It is good to mention that the previous acquisitions of GiG, such as AskGamblers, KaFe Rocks, and Casinomeister, have all contributed to the improved performance of Gentoo Media.
While the media division of GiG continuously reports strong growth, the decline in the performance of the Platform & Sportsbook department highlights the challenges that GiG faces as it is in the process of a business split, all while it continues to chase growth through even more strategic acquisitions.
