Better Collective Reports Stable Performance Despite Q2 2025 Revenue Decline
Q2 2025 Financial Overview
Better Collective, a leading digital sports media group, has released its interim report for the second quarter of 2025. The results aligned with the company’s expectations, despite experiencing a year-on-year revenue decline amid ongoing regulatory challenges in key markets.
Significant Revenue Decrease in Q2 2025
The group recorded revenue of EUR 82 million (approximately USD 95.5 million) in Q2 2025, marking an 18% drop compared to the same period in 2024. Organic growth also fell by 19% during this time.
Recurring revenue made up 64% of the total, amounting to EUR 52 million (around USD 60 million).
EBITDA before special items stood at EUR 23 million (USD 26.8 million), corresponding to a margin of 28%. Free cash flow reached EUR 13 million (USD 15 million) for the quarter, bringing the year-to-date total to EUR 21 million (USD 24 million).
Jesper Søgaard, co-founder and co-CEO, expressed confidence in the company’s preparedness for the rest of the year. He described the first half of 2025 as a transitional period, influenced by structural shifts in key markets such as Brazil. With the completion of business restructuring, Better Collective is positioned to leverage growth opportunities, particularly in anticipation of the FIFA World Cup 2026.
Performance in North America and Brazil
Revenue from Brazil decreased by EUR 8 million (USD 9.3 million) year-over-year, due to new regulatory frameworks. Despite this drop, customer retention and wagering activity remained stronger than expected.
Similarly, North America saw an EUR 8 million revenue decline compared to Q2 2024. This was partially due to currency fluctuations and the previous year benefiting from a one-time boost linked to the North Carolina market launch. However, revenue share income in the region increased by 7%, highlighting the strength of long-term partnerships.
The lack of major international football tournaments this year also impacted revenue comparisons. Last year’s UEFA EURO and Copa América tournaments are estimated to have increased Q2 2024 revenue by EUR 5 million (USD 5.8 million). On a positive note, the Paid Media segment grew by EUR 4 million (USD 4.4 million), while contributions from the Esports division and the AceOdds acquisition added further momentum.
Cost Reduction Initiatives
Better Collective’s cost efficiency program, initiated late last year, has resulted in annualized savings of EUR 50 million (USD 58 million). Group-wide expenses were reduced by EUR 12 million (USD 14 million) in the quarter compared to 2024, with significant cuts in the Publishing segment.
The company maintained its full-year financial outlook, projecting revenue between EUR 320 and 350 million, EBITDA before special items ranging from EUR 100 to 120 million, free cash flow of EUR 55 to 75 million, and a net debt to EBITDA ratio under 3x.
Additionally, Better Collective announced plans to initiate a new EUR 20 million (USD 23 million) share buyback program following the completion of the current one, underscoring its commitment to prudent capital management.
Jesper Søgaard concluded, “We will continue focusing on growth drivers with the highest long-term value, while exercising stringent control over costs and capital allocation.”
