Armchair Trader stock pick and winner of the Online Money Award 2024 for AIM Company of the Year, Gaming Realms LON:GMR has just published its latest set of results.
Gaming Realms saw core content licensing revenues grow 28% to £23.8m with North America becoming its largest market with 54% of the total content licensing. This is a result of 59% growth in content licensing revenues in North America to £12.9m.
This makes 2024 another record-breaking year for Gaming Realms, with a 30% lift in adjusted EBITDA. The numbers represent strong evidence of the effectiveness of the company’s content licensing strategy, as well as the rising popularity of its Slingo portfolio in international iGaming markets.
Gaming Realms excellent start to 2025
CEO Mark Segal said that the company had made an excellent start to 2025 with its recent launch in Brazil, a newly regulated iGaming market, which expands its global presence to 21 markets. It has also launched with nine new partners and released three new Slingo games, further enhancing the portfolio of content.
“As we move through 2025, we look forward to sharing updates on our continued expansion into new markets, the growth of our exciting game portfolio and upcoming partner launches,” Segal said.
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Gaming Realms is well placed to deliver further growth in new and existing markets. It said today it expects to be launching its games with the lottery in British Columbia in Canada, as well as in South Africa in the coming months.
A strong start to 2025 has seen revenue in line with management expectations, driven by core content licensing business showing a 22% increase in the first two months of the year compared with the same period in 2024.
New partner launches in US and Europe
Gaming Realms has been busy – and innovative – in 2024 – and has launched with 44 new partners globally. In North America it launched with Fanduel in Pennsylvania and Connecticut, and Fanatics in New Jersey, Michigan, Pennsylvania and West Virginia. In Europe the company added Danske Spil in Denmark, Betclic in Italy and Solverde in Portugal.
Gaming Realms managed to increase unique players in its content licensing business by 22% and launched innovative content including Slingo Press Your Luck and Slingo Fowl Play, collaborating with high-profile television and gaming brands.
Profit before tax for the year increased by 61% to £8.3m (2023: £5.2m) and the year-end cash balance increased to £13.5m (2023: £7.5m), with the group remaining debt-free. Gaming Realms also announced an initial £6m share buyback programme.
Debt-free and unlikely to face tariff issues
Shares in the company have been relatively range-bound in the 32-39p area since we saw a big surge in the share price in April last year. Coming into these results, the market seems to have been happy with a share price at around the 39-40p mark. Stock was trading at 37p at time of writing.
Investors will not miss the fact that the company is debt-free and is operating in a market which is not exposed to tariffs. It has a broad international portfolio of partners in the iGaming sector, which remains a sector experiencing strong trans-national growth at the moment. Gaming Realms is also penetrating into important markets like Brazil and South Africa where iGaming is seeing huge expansion.
Just by way of example, Brazil’s iGaming market has seen a 71% increase since the pandemic and is expected to generate around BRL 120bn in tax revenues in 2025 alone (USD 2.3bn approx). This is expected to break USD 3.5bn in tax revenues next year, off more than USD 20bn in turnover, according to data from iGaming Today.
