Gambling.com Group Reports 21% Q3 Revenue Growth Amid Search Quality Challenges

Gambling.com Group has published its third-quarter financial results, showing continued revenue expansion alongside increased losses attributed to accounting adjustments and higher interest expenses.

The company reported Q3 revenue of $39 million, marking 21% year-over-year growth. For the nine-month period ending September 30, revenue reached $119.2 million, up 30% compared to the same period in 2024.

Financial Performance Shows Mixed Results

Despite strong revenue growth, Gambling.com Group reported a net loss attributable to shareholders of $3.9 million ($0.11 per share) for Q3, compared to net income of $8.5 million in the prior-year period. This represents a 145% decline in net income, which the company attributed to "the fair value movement in contingent consideration related to the outperformance of Odds Holdings."

Adjusted net income decreased 16% to $9.3 million ($0.26 per share), driven by increased interest expenses related to the company’s credit facility.

On a year-to-date basis, Gambling.com Group reported a net loss of $6 million, down from net income of $22.7 million in the prior-year period.

The company’s adjusted EBITDA reached $13 million for Q3, increasing 3% year-over-year. However, adjusted EBITDA margin decreased to 33%, reflecting higher cost of sales and marketing expenses associated with traffic diversification initiatives. Year-to-date adjusted EBITDA reached $42.6 million, up 25%.

Cash flow generated by operating activities decreased 27% to $10.9 million for the quarter, while increasing 21% to $29.1 million for the nine-month period. Adjusted free cash flow stood at $9.6 million for Q3 and $28.8 million year-to-date.

Operational Highlights and Share Buyback Program

The company delivered over 101,000 new depositing customers during the period and completed the acquisition of Spotlight.Vegas. Gambling.com Group also made significant progress on its share buyback program, repurchasing 562,222 shares for $4.7 million in Q3.

For the full year 2025, the company has repurchased 671,998 shares totaling $5.6 million, with $14.4 million remaining available under the current buyback authorization.

In October, Gambling.com Group secured the EGR Affiliate of the Year award for the third consecutive year.

Revised 2025 Guidance Reflects Market Challenges

The company adjusted its full-year 2025 guidance to reflect ongoing challenges in the search quality environment. Gambling.com Group now projects 2025 revenue of $165 million and adjusted EBITDA of $58 million, representing growth of 30% and 19%, respectively, compared to 2024.

“The record-breaking revenue demonstrates the resilience of the business despite the persisting headwinds and troubles with the proliferation of spam websites in non-US markets,” said Charles Gillespie, co-founder and chief executive officer of Gambling.com Group. “Despite this near-term challenge, we remain confident that these poor search quality issues will be addressed which, when combined with our accelerated initiatives to diversify traffic sources, positions the marketing business to grow in 2026.”

Elias Mark, chief financial officer, highlighted the company’s cash flow generation as a key strength.

“The company now boasts strong adjusted free cash flow generation, providing it with opportunities to invest while maintaining capital flexibility,” Mark said.

Source: Gambling.com Group