Kambi Reports Challenging Q2 Amid Market Headwinds but Maintains Optimism
Overview of Kambi’s Q2 2025 Financial Performance
Kambi Group, a prominent B2B sports betting service provider, has released its financial results for the second quarter of 2025. The report reveals a decline in revenue compared to the previous year, reflecting a challenging business environment. Despite these setbacks, Kambi’s leadership remains hopeful about the company’s long-term value creation and growth prospects.
Detailed Financial Results for Q2 and H1 2025
During Q2 2025, Kambi posted revenue of EUR 40.5 million (approximately $47.5 million), marking an 11.5% decrease compared to EUR 45.7 million in the same quarter last year. When excluding transition fees totaling EUR 4.5 million, the decline in revenue was limited to 2%, indicating relative stability in core operations.
For the first half of the year, total revenue reached EUR 81.9 million ($96 million), which is a 7.9% drop year-over-year. However, removing EUR 8.9 million in transition fees from the calculation, revenues actually experienced a 2.3% growth.
Kambi’s Adjusted EBITA for the quarter fell to EUR 3.7 million ($4.3 million) from EUR 7.5 million in the previous year, resulting in an EBITA margin of 9.2%. In the first six months of 2025, adjusted EBITA totaled EUR 6 million ($7 million), down from EUR 13.3 million in the same period of 2024, with a margin of 7.4%.
Operating expenses remained relatively steady at EUR 38.1 million ($44.7 million) for Q2 and EUR 78.6 million ($92.2 million) for the first half. However, operating profit saw a notable downturn, dropping from EUR 6.2 million last year’s Q2 to EUR 1.6 million ($1.9 million) in this quarter. For the half-year, operating profit fell from EUR 10.6 million to EUR 2.4 million ($2.8 million).
Cash flow also declined, with figures reported at EUR 1.3 million ($1.5 million) for Q2 versus EUR 8.1 million previously. Half-year cash flow stood at EUR 9 million ($10.6 million), down from EUR 13.5 million in the prior year. Earnings per share dropped significantly, registering EUR 0.009 ($0.011) for Q2 and EUR 0.036 ($0.042) for the first half of 2025.
Operational Progress and Strategic Moves Amidst Difficulties
Despite the revenue challenges, Kambi achieved some positive developments during the quarter. The company secured an extension of its partnership with the sportsbook operator LeoVegas and inked a new sportsbook agreement with RedCap, expanding its footprint in the Latin American market.
In addition, Kambi’s board approved two consecutive share repurchase programs totaling EUR 15 million, marking the largest buyback initiative in the company’s history. This move signals confidence in the company’s future value generation despite the tough market conditions.
CEO’s Perspective and Outlook
Werner Becher, Kambi’s CEO, acknowledged that while the results for the quarter and first half of the year were below expectations, they also demonstrated the company’s ability to stay resilient amid considerable market pressures and competitive challenges.
Becher noted that the year-on-year comparisons were difficult, given the strong performance in 2024 and ongoing headwinds in several key markets. He expressed dissatisfaction with the current results but emphasized his dedication to advancing the company’s growth objectives.
Looking forward, Becher projected that the external business environment would remain challenging but underscored his optimism about increasing value for partners, expanding the partner network, enhancing the product range, and positioning Kambi for sustainable long-term growth.