Gentoo Media Inc. publishes Q1 2025 Interim Report: Strategic initiatives lay foundation for long-term growth

Gentoo Media today announces its interim results for the first quarter of 2025. The quarter marked a transitional phase for the company, impacted by market headwinds in Brazil and a shift away from lower value activities, but also by decisive steps to sharpen focus and strengthen long-term resilience. We expect to see margins improve and a resumption of growth in H2 2025.
Q1 2025 Financial Highlights
- Gentoo Media reported revenue of EUR 24.8 million (EUR 28.0 million), down 11% YoY predominantly due to the impact of market regulation in Brazil
- EBITDA before special items amounted to EUR 8.2 million (EUR 13.5 million) with a margin of 33% (48%)
- Net cash flow impacted by deferred payments related to previous years acquisitions and split related payments totalling EUR 22.5 million
Performance in Q1 reflects regulatory disruption in Brazil and a reduction in some low margin activities notably in our paid division. Despite these headwinds, Gentoo Media maintains a strong financial position, with robust recurring revenue and a cash-generative operating model.
Post-Demerger Strategic initiatives
In the wake of the demerger from the Platform & Sportsbook business, Gentoo Media launched a comprehensive strategic review. Completed shortly after the quarter, the process has resulted in a more focused, agile, and resilient business:
- Streamlined operations: Lower-margin activities discontinued to enable full focus on scalable and sustainable growth. Cost base resized with significant annual run-rate savings.
- Organisational capacity strengthened: Senior talent additions, including the appointment of a new CFO, have bolstered leadership.
- Strategic focus: Streamlining the organisation will eliminate inefficiencies, remove duplication and ensure that resources are focused on the highest-value areas of the business.
CEO Jonas Warrer comments:
“Q1 was a quarter of change — and a necessary one. We faced external pressures and made deliberate decisions to position Gentoo Media for what’s ahead. The result is a more focused company with a clear growth strategy and the leadership in place to deliver it.
We now move forward with confidence, driven by our ambition to create long-term value for players, partners, and shareholders alike.”
Outlook
Gentoo Media enters Q2 with renewed momentum and strategic clarity. The business has a strong platform to navigate market fluctuations and capitalise on emerging opportunities across regulated iGaming markets. We are well-placed to resume growth in the second half of the year and we expect to see full-year revenues broadly in line with 2024 and EBITDA margins in the range of 40-45%.
Investor presentation and webcast
Jonas Warrer, CEO, will host a presentation of the Q1 2025 results via livestream at 10:00 CET. The presentation will be followed by a Q&A-session, and investors, analysts and journalists are welcome to participate. The presentation will be given in English.
Link to the livestream:
https://www.redeye.se/events/1092137/live-q-gentoo-media-3