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Gentoo Media's Q2 2025 Results and Strategic Guidance

Gentoo Media has recently unveiled its financial results for the second quarter of 2025, emphasizing a systematic strategic realignment aimed at enhancing operational efficiency and stability. As the company transitions into the latter half of the year, it is well-positioned to pursue long-term value creation with a streamlined focus and refined guidance.

Key Financial Insights

During Q2 2025, Gentoo Media reported total revenues of EUR 24.4 million, reflecting a 19% decrease compared to the same period last year, but maintaining similar levels to the previous quarter. The company's EBITDA, calculated before special items, stood at EUR 7.5 million, which corresponds to an EBITDA margin of 31%, significantly lower than last year's 49%. Despite the drop in revenue, cash flow from operations has increased to EUR 7.7 million, compared to EUR 6.2 million in Q1.

The challenging market conditions, particularly in Brazil, alongside the absence of major sporting events over the quarter, have impacted Gentoo's financial performance. However, strategic measures including substantial cost reductions led to an impressive recovery in EBITDA margins, which averaged above 40% by June.

The company noted a 43% increase in player intake quarter-over-quarter, alongside rising deposit values that reached EUR 195 million. This uptick in operational metrics is a positive sign, even as revenue figures fell short of expectations.

Revised Full-Year Financial Guidance

In light of the Q2 performance and current market dynamics, Gentoo Media has adjusted its full-year 2025 forecasts:

• - Estimated Revenue: EUR 100 to 105 million
• - EBITDA (before special items): EUR 40 to 43 million
• - EBITDA Margin: 40% to 41%
• - Free Cash Flow from Operations: EUR 27 to 30 million

The negative cash flow from investment activities at EUR -38 million reflects expenditures primarily associated with M&A activities and demerger costs initiated in 2024, with a significant portion already settled by the end of July.

Looking Towards the Future

As Gentoo Media moves into the second half of 2025, the company is confident that the groundwork established during Q2 will result in a stronger underlying performance. The focus remains on optimizing its publishing and paid media portfolios, capitalizing on improved marketing efficiency, and positive indicators from the Brazilian market, which signify robust growth potential.

CEO Jonas Warrer has planned a livestream presentation at 10:00 CET on August 26, 2025, to discuss these results further, inviting investors, analysts, and media to engage in a Q&A session post-presentation. This event aims to bolster investor confidence and provide clarity on the company's strategic direction moving forward.

With its new operational framework in place, Gentoo Media is not just navigating through challenging circumstances but is also setting the stage for sustainable growth in the competitive landscape of online gambling and media.

For more information on the results and future strategies, visit Gentoo Media's website.