Bragg Gaming Group (BRAG) has released its Q4 2025 earnings, which fell short of analyst expectations for both earnings per share (EPS) and EBITDA. Despite this, the company achieved a record revenue of €27.7 million ($31.9 million), an increase from €27.2 million in Q4 2024.
The net loss for Q4 2025 stood at -€0.05 per share, translating to a total loss of €1.3 million. This marks a decline from the previous year's loss of -€0.03 per share and was worse than the anticipated loss of -€0.03. The increased loss is largely attributed to elevated finance costs and the initial accounting effects from a restructuring that took place in January.
Interestingly, Bragg's shareholders appear undeterred by these losses, as the stock price rose following the earnings call, buoyed by management's outlined strategies for sustainable growth.
For the full year of 2025, Bragg reported a net loss of -€8.1 million, or -€0.32 per share, significantly worse than the -€5.1 million loss recorded in 2024.
In response to regulatory challenges in Europe, particularly in its key markets, Bragg is actively shifting its geographic and technological focus. The company's primary listing is on NASDAQ.
The Netherlands continues to be a challenging market, but Bragg is witnessing rapid growth in the Americas, coupled with the introduction of an “AI-First” operational model, which is starting to reshape its financial outlook.
During the earnings call, CEO and Chairman Matevž Mazij emphasized the company's successful diversification efforts, stating, “Our revenue base has diversified to the extent that the Netherlands no longer defines our growth path. In 2026, we will focus on enhancing margins and cash flow rather than pursuing aggressive revenue growth in high-tax areas.”
One notable trend from the Q4 results is the revenue shift, with Dutch revenue declining by 4% year-over-year due to increased tax rates and stricter player protection measures. Although Bragg maintains a strong market share of approximately 30%, the overall market is contracting.
In contrast, Brazil has emerged as a significant growth area for Bragg, with Q4 revenue there increasing by 42.1% compared to the same quarter in 2024. Having entered the newly regulated Brazilian market in early 2025, Bragg has become a preferred content provider for major operators like Superbet and Betano.
In the US, recurring revenue surged by 55.0% year-over-year, driven by the expansion of high-margin proprietary content in collaboration with partners such as Caesars Entertainment and Hard Rock Digital. The US has become a vital component of Bragg's strategy to evolve from a low-margin aggregator to a high-margin content owner.
Bragg is also pursuing an ambitious AI Transformation Plan, known as the ‘Bragg AI Brain’, with the goal of becoming an ‘AI-First’ company by 2027. Through its partnership with Golden Whale, the company has expedited the development of its AI initiatives. The AI system employs predictive machine learning to enhance player engagement and retention.
Management aims for 90% of new game launches to incorporate AI enhancements by 2027, and for 75% of operational workflows to be AI-driven to streamline costs.
Another strategic asset for Bragg is its Player Account Management (PAM) platform, which is considered one of the most crucial proprietary technologies for the company.