Gambling.com Group Limited

Greetings. Welcome to Gambling.com Group Fourth Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce Peter McGrath, Senior Vice President of Investor Relations and Capital Markets. Thank you. You may begin.

Thank you. Hello, everyone, and welcome to Gambling.com's fourth quarter 2024 results call. I'm Peter McGough, Senior VP of Investor Relations and Capital Markets, and I'm joined by Charles Gillespie, Gambling.com's Group's Co-Founder and Chief Executive Officer, and Elias Mark, Chief Financial Officer. The call is being webcast live through the Investor Relations section of our website at gambling.com forward slash corporate forward slash investors. and the downloadable version of the presentation is available there as well. A webcast replay will also be available on the website after the conclusion of this call. You may also contact investor relations support by emailing investors at gdcgroup.com. I would like to remind you that the information contained in this conference call, including any financial and related guidance to be provided, consists of forward-looking statements as defined by securities laws. These statements are based on information currently available to us and involve risks and uncertainties that could cause actual future results, performance, and business prospects and opportunities to differ materially from those expressed in or implied by these statements. Some important factors that could cause such differences are discussed in the risk factors section of Gambling.com's filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date the statements are made. and the company assumes no obligation to update forward-looking statements to reflect actual results, changes in assumptions, or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. During a call, there will also be a discussion of non-IFRS financial measures. The description of these non-IFRS financial measures is included in the press release issued earlier this morning. and reconciliations of these non-IFRS financial measures to their most directly comparable IFRS measures are included in the appendix to the presentation and press release, both of which are available in the investors tab of our website. I'll now turn the call over to Charles.

Good morning, and thank you for joining us today. GAMI.com Group had a tremendous fourth quarter with revenue of 35.3 million. Adjusted EBITDA of $14.7 million and free cash flow of $13.2 million, finishing 2024 in style with record quarterly and full-year financial performance. Full-year 2024 revenue and adjusted EBITDA rose 17% and 33% respectively, driven by global iGaming growth and the highly accretive acquisition of FreeBets.com. This outperformance reflects our relentless focus on execution and and our diversified market exposure with a prioritization of iGaming revenue. As strong as our execution was last year, we expect to accelerate our growth in 2025. With our biggest and most talented team ever, a greater ability to drive high intent traffic to our online gambling operator clients, higher global penetration and an expanded product portfolio that now includes all data solutions for consumers and our operator clients, we are positioned for full year revenue growth of 35% and adjusted EBITDA growth of 40% as indicated by the midpoints of our initial guidance for the year. As we hit our targets for the year, our performance will demonstrate that we continue to close in on our goal of generating 100 million in annual adjusted EBITDA, a goal I introduced in May last year when we only had 37 million in adjusted EBITDA during the preceding 12 months. As we work toward our goal of 100 million in adjusted EBITDA, the midpoint of this year's guidance of 68 million implies that we will be more than halfway there already in 2025. Our most exciting growth driver for this year will come from our expanded product offering following the January acquisition of Odds Jam and Optic Odds. This acquisition expanded our footprint in the online gambling ecosystem, providing another strong growth catalyst while increasing the overall proportion of our consumer and enterprise recurring subscription revenue. Like freebest.com, this acquisition demonstrates once again that we can put forth a clear framework and vision for M&A and then precisely deliver within those parameters. These acquisitions have created immediate value for our shareholders while strategically positioning us for the long term. Over the first nearly 80 days of owning our new odds businesses, We have been very pleased with the integration and are very excited by the expertise and capabilities of our 40 new colleagues. We remain confident in our ability to grow incremental adjusted EBITDA from these businesses by at least 20% this year. And we are excited about the growth trajectory of the business's current products and services and the long-term future prospects of new businesses we can launch with this one-of-a-kind and highly valuable platform. On the consumer product side, Odds Jam's current subscriber base is highly profitable and we are confident we can grow this base while maintaining margins. We are also very optimistic about the opportunity to leverage our 500 plus operator relationships to grow OpticOdds' nascent enterprise subscription revenue. While Odds Jam is the larger business today and continues to grow, we believe the growth opportunity for OpticOdds is substantially larger still. Opticod is starting from a smaller base and has a very attractive business profile, which involves long-term, high-value contracts as a result of playing a key role in solving a critical risk management problem for operators globally. Together with the Rotowire subscription business, we are pacing for recurring subscription revenue to account for more than 20% of total group revenue this year. While the whole GAM team is excited is very excited about our shiny new toys with Odds Jam and Optic Odds. It should not overshadow the continued strength of our core affiliate business, which just had its best quarter in our 19-year history. iGaming revenue grew in 2024 across all of our operating regions and will continue to do so this year, driven by continued strong organic growth, as well as a full-year benefit from our acquisition of FreeBets.com. That tactical acquisition further strengthened our UK and Ireland market performance, while also providing a strong tailwind for our activities across other European markets. And in North America, we continue to grow our market share and benefit from improving iGaming pricing trends. Throughout 2025, we are confident that our ability to monetize the full benefits of our showcase brands, such as gambling.com and the growing performance of casinos.com, along with the optimization we've achieved now for FreeBets.com, will continue to further differentiate us from our competitors and drive record iGaming performance this year. Longer term, we expect additional states to approve iGaming as they seek to address budget issues and give players what they want. Given our unmatched industry experience and footprint, the expansion of iGaming in the U.S. will result in significant top-line and cash flow growth. Another growth driver this year will be organic growth from sports betting. Last year had challenging sports betting comparables due to the lower state launch activity in the U.S. and the blowout performance of ESPN bet in Q4 23. We expect a return to growth in our North American sports business this year, and that's before the anticipated launch of sports betting in Missouri toward the end of this year and which, per our policy, will not be included in our guidance until the launch date is confirmed. Following our record 2024 performance with these growth drivers and our team's ability to consistently execute, our confidence in our near and long-term outlook has never been higher. And that starts with this year as we are on track to generate another year of record revenue, adjusted EBITDA, and free cash flow on our past 100 million in annual adjusted EBITDA. Now, let me turn the call over to Elias for a review of the fourth quarter and full year financial highlights and details on our 2025 outlook.