NeoGames Posts Strong Q2 2022 Results

NeoGames, a Nasdaq-listed iGaming tech provider, posted its results for the second quarter of the year. The results demonstrate that the company’s business is going steadily.

A Look into NeoGames’ Financial Results

NeoGames shared that revenues for the period sit at $21.1 million. This is a significant 46.4% increase on last year’s results. In addition, the company’s AEBITDA grew from $8.3 million in Q2 2021 to $10.3 million in Q2 2022. NPI revenues, on the other hand, sat at $10.3 million, which is a 20.6% year-on-year growth.

NeoGames also reported a $12.9 million comprehensive loss, which translates to a loss of $0.49 per share. This actually represents a decline from Q2 2021’s $2.8 million income ($0.10 per share). The company attributed the losses to the expenses related to the acquisition of Aspire Global.

Speaking of Aspire Global, NeoGames acquired 99.31% of Aspire’s outstanding shares and plans to acquire the rest by the end of Q3 2022. The deal was valued at $440 million and led to the merger of the two companies.

NeoGames Signed Many New Deals

Taking a look at other strategic moves, NeoGames forayed into Brazil thanks to a multi-year turnkey partnership with the lottery of Minas Gerais, the country’s second-largest state. NeoGames also doubled down on its efforts in Canada through an agreement with Atlantic Lottery and Caesars Entertainment. The gaming company also expanded its footprint in Africa thanks to BtoBet’s agreements with SOJOGO and UtopBet.

NeoGames successfully expanded in the US by signing 12 new partnerships to provide operators with Pariplay’s content. This includes deals with notable operators such as Caesars, BetMGM and DraftKings.

Lastly, NeoGames was awarded the Lottery Supplier of the Year award at the EGT B2B Awards 2022. This is, notably, the second year in a row the company earned this prize.  NeoGames also acquired Gaming Laboratories International’s GLI-33 Event Wagering System certification for BtoBet’s sportsbook platform.

As a result of its clever strategies, NeoGames projects full-year revenues and share of NPI revenues of $194 million to $208 million.

The Company’s CEO Is Happy with the Results

Moti Malul, NeoGames’ CEO, shared a few thoughts about the company’s progress. He noted that the acquisition of Aspire Global is one of his company’s biggest achievements for the quarter. Malul said that this merger is already bringing profits to the company.

Malul praised the company for its other strategic deals as well. He is happy with the progress of NeoGames and its brands.

Leading up to the combination we had strong standalone second quarter results across both the NeoGames and Aspire Global portfolios. Our reported revenues plus our NPI interest were up 46.4% from the same quarter last year. At Aspire standalone, we are also encouraged by 17.0% growth in Euro-denominated revenue for the entire quarter compared to the same quarter last year.

Moti Malul, CEO, NeoGames

Malul concluded that his company will continue to work toward unfolding its full potential.