Gaming Innovation Group: Solid Q4, and announces strategic review - ABG

Q4 3-6% above our and cons expected adj. EBITDA
Limited cons estimate revisions expected
Potential separation of Media and Platform


Q4 delivered decent sales and adj. EBITDA

GiG delivered normalised revenue of EUR 26m which is 4% vs ABGSCe 25m (0% vs cons), +14% q-o-q and +44% y-o-y driven by 35% organic growth (ABGSCe 23%) and the acquisition of SportnCo. For comparison, recall the trading update in the Q3’22 report which showed October revenue up 34% y-o-y, whereof 22% organic growth. On product mix, we note that the platform revenues were slightly below our expectations, while Media revenue were strong. Adj. EBITDA reached EUR 10.8m (3% above ABGSCe 10.5m and 6% cons 10.2m), for a normalised margin of 41.5%, while reported EBIT came in at EUR 4.0m which was 10% below our expectations on slightly higher depreciation.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/gaming-innovation-group/Equity-research/2023/2/gaming-innovation-group---solid-q4-and-announces-strategic-review---/