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Net Gaming carries out restructuring and issues forecast for Q2 2020

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Net Gaming’s operations have performed well during Q2, showing both organic growth and improved underlying profitability in adjusted EBITDA. The Company is in an intensive transformation phase, after Robert Andersson took over as CEO, which means that a reorganisation has been initiated. The reorganisation, which is aimed at creating better conditions for future growth, means that the second quarter has been affected by non-recurring costs.

The reorganisation of the business and transformation to Acroud AB have begun during Q2. The reorganisation involves, among other things, closing the Swedish office and centralising the business to Malta, in order to create a more efficient and cost-effective organisation. The reorganisation will bring annual savings of EUR 0.3m, with full effect from Q3. The reorganisation will give rise to non-recurring costs of EUR 0.5m during Q2 2020, charged to operating profit (EBITDA). The Company has also decided to recognise an impairment loss of EUR 0.5m on assets related to the PokerLoco brand, which will not be included in the new growth strategy adopted in 2020, focusing on fewer products. In parallel, refinancing of the business has been successfully secured in Q2, also resulting in non-recurring costs of approximately EUR 0.3m related to a consent fee, charged to net financial items. Net financial items have also been adversely affected by EUR/SEK exchange rate fluctuations of approximately EUR 1.2m in the first two months of the quarter, as the bond loan is denominated in SEK. The Company’s reported profit after tax for Q2 has been negatively affected by the above factors.

“The underlying operations have shown positive development during Q2, with sequential organic growth of 14%, but also compared with the previous year. It should be noted that a large proportion of the items having a negative impact on Q2 earnings are non-cash items and of an accounting nature. The offensive initiatives and the reorganisation we are now implementing create the conditions for future growth and a brand new Acroud AB that will stand stronger in the future. With Sports betting on the doorstep and a company that is now optimised for the future, we feel strong as we embark on the growth journey we have begun. As proposed to the AGM, we also hope to be able to change our track to the new Acroud AB, which will be a new milestone,” says CEO Robert Andersson.

Forecast Q2 2020

Revenue is expected to amount to EUR 3.6m in Q2 2020, 14 percent higher than in Q1 2020 and 4 percent higher than in Q2 2019.
Adjusted EBITDA (adjusted for non-recurring costs related to reorganisation and rebranding) is expected to amount to EUR 2.1m, 21 percent higher than in Q1 2020 and 4 percent higher than in Q2 2019. The adjusted EBITDA margin for Q2 2020 is expected to be 58 percent.
Reported EBITDA is expected to amount to EUR 1.6m, 10 percent lower than in Q1 2020 and 23 percent lower than in Q2 2019. The EBITDA margin for Q2 2020 is expected to be 43 percent
Reported profit after tax is expected to amount to EUR -1.2m, compared with EUR 2.8m in Q1 2020 and EUR 1.2m in Q2 2019, which was adversely affected by the above-mentioned non-recurring costs and exchange rate fluctuations related to the loan financing. Adjusted for non-recurring costs and exchange rate fluctuations, Adjusted profit after tax for Q2 2020 amounts to EUR 1.4m.
At 30 June 2020, the cash position is estimated at EUR 3.0-3.2m. The Company’s interest-bearing net debt is expected to be EUR 21.5m, corresponding to a debt/equity ratio, defined as net debt/EBITDA, of 3.0x, based on estimated LTM EBITDA at 30 June 2020.
Robert Andersson, President and CEO

All figures are unaudited and based on management accounts. The next financial update is scheduled to take place in connection with this year’s Q2 report on 13 August 2020.

About Net Gaming:
Net Gaming owns, operates and develops high-quality comparison sites, mainly in iGaming affiliation, for the purpose of helping our partners by channelling high-quality users to the Company’s customers – primarily iGaming operators. Through the sites, Net Gaming generates high-quality users, primarily to global iGaming operators. The Company, which was founded in 2003, has just over 70 employees and is headquartered in Malta.

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Expanse Studios

Expanse Studios Launches Proprietary Jackpot and Tournament System

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Expanse Studios, a subsidiary of Meridian Holdings Inc., announced the deployment of proprietary jackpot and tournament mechanics across its portfolio, providing B2B operator partners with engagement tools designed to enhance player entertainment value.

The system introduces two jackpot formats—Happy Hour Jackpot and Mystery Jackpot—alongside four tournament competition variants. Operators can control prize structures, scheduling parameters and promotional configurations through platform interfaces.

Happy Hour Jackpot provides scheduled jackpot events aligned with operator promotional strategies, enabling coordinated marketing campaigns and player communication around jackpot opportunities.

Mystery Jackpot delivers multi-tier progressive prize mechanics integrated into gameplay, with operator-configurable prize values and event parameters that support diverse promotional objectives.

Tournament mechanics include four competition formats:

• Bonus Buy tournaments create competitive environments for players who choose to engage with bonus purchase features, with scoring designed to reward strategic gameplay decisions.

• Spin Count tournaments track player activity across gameplay sessions, offering multiple entry opportunities and achievement-based progression that accommodates different play styles.

• Combo tournaments combine multiple competition elements, enabling operators to design promotional events that appeal to diverse player preferences and gaming behaviours.

• Time-based tournaments operate within defined promotional windows, allowing players to participate according to their own schedules while competing for tournament prizes.

“Content providers increasingly compete on operational capabilities, not just game quality. This positions our portfolio as solutions-oriented infrastructure that helps operators execute diverse promotional strategies while maintaining control over player engagement parameters,” said Damjan Stamenkovic, CEO of Expanse Studios.

Tournament formats integrate with game interfaces through standardised promotional systems designed to enhance entertainment value while providing operators with promotional flexibility.

For Expanse Studios, the deployment strengthens competitive positioning in B2B partnerships where operators increasingly evaluate content providers based on promotional feature capabilities in addition to game performance metrics.

The post Expanse Studios Launches Proprietary Jackpot and Tournament System appeared first on Eastern European Gaming | Global iGaming & Tech Intelligence Hub.

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AI

Former German Air Force officer launches Sparky Space AI platform for iGaming teams

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Nils Ristau and Daniel Schmitz debut a work enablement platform aimed at day-to-day execution across product, retention and AI adoption.

Sparky Space, a new AI-powered work enablement platform founded by former German Air Force officer Nils Ristau and tech leader Daniel Schmitz, has launched and is now available globally for iGaming operators and suppliers.

The founders are positioning the product around execution support inside daily workflows as teams face tighter regulatory demands, faster product cycles and higher player expectations. The company cited industry research suggesting only 10-20% of learning is consistently applied in day-to-day work, creating a gap between training and on-the-job outcomes.

“In military operations, performance depends on clarity, structure, and disciplined execution in changing environments,” said Ristau. “The iGaming industry operates under similar pressure.

“Competitive advantage does not come from knowledge alone – it comes from how effectively teams apply it every day.”

Sparky Space said its platform supports areas including product development, player retention and AI adoption, with use cases spanning customer-centric experimentation, agile product and game development, decision-making and prioritisation, practical generative AI prompting, and cross-functional collaboration. The company said the tools are intended to help teams launch features, respond to regulatory change, and optimise marketing and support processes.

While initially focused on iGaming, Sparky Space said it has been built for broader use in other fast-moving, technology-driven industries.

Relevant data as follows:

The post Former German Air Force officer launches Sparky Space AI platform for iGaming teams appeared first on Eastern European Gaming | Global iGaming & Tech Intelligence Hub.

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Belatra

Belatra marks 33 years with April anniversary campaign

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The slots supplier says its portfolio now exceeds 150 games and highlights recent LatAm expansion from its Buenos Aires base.

Belatra is marking its 33rd birthday with an anniversary campaign running throughout April, the iGaming slots developer said.

The company said it was founded in 1993 and has since transitioned from building gaming machines for land-based casinos to producing digital content. Belatra added that its portfolio has grown to more than 150 games.

Belatra also pointed to its strategic Latin American headquarters in Buenos Aires as a key base for regional partnerships and growth.

Misha Voinich, Head of Business Development at Belatra, said: “We’re only just getting started, but birthdays provide the perfect chance to reflect on our successes and the path that’s brought us here. From launching our innovative ‘multi-universe’ content strategy to our rapid expansion in Latin America, the successful launch of our first Crash game, and multiple high-profile industry award wins — we are always developing, creating, and evolving. 33 years of innovation, dedication, and gaming excellence — and the best is yet to come.”

Belatra did not provide additional detail on upcoming releases or the timing of any new product announcements beyond saying updates will land during April.

The post Belatra marks 33 years with April anniversary campaign appeared first on Eastern European Gaming | Global iGaming & Tech Intelligence Hub.

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