BetMakers Posts $2.7m Adjusted EBITDA, Up $3m Year-on-Year
BetMakers Technology Group reports a robust Q2 FY26 with 14.1% revenue growth and a $2.7 million positive Adjusted EBITDA, underpinned by key partnerships and margin expansion.
- 14.1% revenue increase to $22.9 million driven by digital and content growth
- Positive Adjusted EBITDA of $2.7 million, a $3.0 million improvement year-on-year
- Gross margin expanded to 66.4%, up from 61.6% in prior year
- Secured landmark agreements with Stake.com, PENN Entertainment, and CrownBet
- Strong operating cash flow despite seasonal challenges, positioning for North American expansion
Strong Financial Momentum
BetMakers Technology Group Ltd (ASX – BET) has delivered a compelling performance in its Q2 FY26 results, showcasing a 14.1% increase in revenue to $22.9 million. This growth was primarily driven by the company’s expanding digital and content revenue streams, reflecting its successful pivot towards a technology-led wagering model. The company reported a positive Adjusted EBITDA of $2.7 million, marking a significant $3.0 million turnaround from a loss in the prior corresponding period.
Gross margin expansion to 66.4% from 61.6% a year earlier highlights the operational leverage BetMakers is achieving as it scales its proprietary technology platform globally. This margin improvement, alongside consistent revenue growth, underscores the company’s disciplined focus on high-margin, technology-driven offerings.
Strategic Partnerships Cement Market Position
During the quarter, BetMakers secured three major agreements that reinforce its position as a preferred technology partner in the wagering industry. The multi-year global racing partnership with Stake.com enables BetMakers to power Stake’s horse racing offerings across international markets, validating the scalability of its Apollo platform.
Additionally, the renewal and expansion of the exclusive international distribution agreement with PENN Entertainment is expected to boost EBITDA by approximately $1.2 million annually, primarily through cost efficiencies. The company also signed a five-year exclusive technology and services agreement with CrownBet, positioning BetMakers as the backbone for CrownBet’s relaunch in Australia, delivering a fully customised wagering platform and operational support.
Operational Discipline and Cash Flow Resilience
BetMakers has now achieved four consecutive quarters of positive Adjusted EBITDA, a notable feat given the seasonally weak period in which Q2 falls. The company’s operational discipline is further evidenced by positive operating cash flow of $0.2 million, a $1.5 million improvement from the prior year, despite prepayments and working capital outflows. This financial resilience provides a solid foundation as BetMakers looks ahead to the second half of FY26.
Looking Ahead – Growth and Expansion
With the recent contract wins expected to start contributing financially in H2 FY26, BetMakers is well positioned to accelerate growth. The company’s strategic priorities include driving scalable, high-margin revenue from its core technology platform, expanding its footprint in North America through the anticipated closing of the LVDC acquisition in Q3 FY26, and converting a robust pipeline of global opportunities into tangible growth for FY26 and FY27.
Executive Chair Matt Davey emphasised the company’s transition to a more resilient financial footing, while CEO Jake Henson highlighted the validation of BetMakers as the preferred racing-led technology partner globally. Together, these comments reflect confidence in the company’s trajectory and its ability to leverage technology to capture market share.
Bottom Line?
BetMakers’ Q2 results mark a turning point, but the real test will be converting new contracts and acquisitions into sustained growth.
Questions in the middle?
- How will the LVDC acquisition impact BetMakers’ North American growth strategy post-Q3 FY26?
- What are the key risks in scaling the Apollo platform across diverse international markets?
- How sustainable is the recent gross margin expansion amid competitive pressures and regulatory changes?
