Meridian Holdings Inc.

Good morning, everyone, and welcome to Meridian Holdings' first quarter 2026 earnings call. On today's call are William Scott, Interim Chief Executive Officer of Meridian Holdings, Rich Christensen, Chief Financial Officer of Meridian Holdings, and Zoran Milosevic, Chief Executive Officer of Meridian Bet Group, a subsidiary of Meridian Holdings. Following management's prepared remarks, we will conduct a question and answer session. At the conclusion of the call, the recording and supporting materials will be available on the Meridian Holdings Investor Relations website at www.meridian-holdings.com. As a reminder, today's call will contain forward-looking statements within the meaning of applicable securities laws. These statements are based on various assumptions and subject to risks and uncertainties that could cause actual results to differ materially. For a complete discussion of these factors, please refer to our most recent 10-K and 10-Q filings and other public disclosures available at sec.gov. Non-GAAP financial measures will be discussed on today's call. Reconciliations to the nearest GAAP measures can be found in our earnings press release available on our investor relations website. I will now turn the call over to William Scott, Interim Chief Executive Officer of Meridian Holdings. William?

Thank you and good morning, everyone. We appreciate you joining us for our first quarter of 2026 earnings call. I begin with some context on what this quarter represents for Meridian Holdings, because I think it merits a moment of reflection before we move into the numbers. Q1 2026 is the first quarter in which we reported gap profitability under Meridian Holdings' brand. And that is not a milestone we take lightly. It reflects the collective work of every team across our 25-plus regulated markets. And it reflects the operational discipline and strategic clarity that we are committed to when we began this journey together. Now, let me take you through the headline results. We delivered revenue of $15.1 million in Q1, up 17% over the same period last year, exactly in line with the guidance we issued during our Q4 2025 rolling score. Adjusted EBITDA came in at $6.3 million, representing a 12.6% margin and a 26% increase year over year. Importantly, we seeded our previously issued Adjusted EBITDA guidance of $6.1 million, which reflects both the strength in our Meridian operations and our ongoing commitment to cost discipline. And we delivered net income of $2.2 million, 18 cents per diluted share, compared with a net loss of $300,000 last year. I want to be direct about what these results mean, to demonstrate that our model is working. We are growing the top line at scale, managing costs with discipline, generating profits, and continuing to fortify the balance sheet. Total debt declined 54% year over year. Net debt fell 62% year over year. Our leverage ratio now stands at just 0.53 times annualized adjusted EBITDA, the strongest capital structure since the 2024 merger. 2025 was the year we proved our operational delivery, record revenue, meaningful debt reduction, and a rebrand that positioned this company for the next chapter of its growth. 2026 is about executing against that positioning with discipline and confidence. Our priorities in 2026 remain clear and consistent. Deliver on guidance. Maintain operational discipline across every market. Continue the balance sheet trajectory we established last year. And communicate clearly with you every quarter about what the numbers mean and what drives them. Every decision we make has got a long-term shareholder value. With that, I'll turn it over to Rich to walk you through the financials in detail.

Rich? Thank you, William, and good morning, everyone. I'll walk through the first quarter results in detail, covering revenue, margins, profitability, the balance sheet, and our guidance for the second quarter of 2026. Revenue for the first quarter was 50.1 million, an increase of 7.4 million, or 17%, compared to 42.7 million in the first quarter of last year. This growth was broad-based across our portfolio, but was led by Meridian Vet, which delivered $34.9 million in the quarter, up approximately 26% over last year, and accounted for approximately 70% of total company revenue. Revenue growth was driven by continued expansion in active users and depositors, scale in our established markets across Europe and Africa, and early contributions from our Brazil operations, which launched in 2025. Gross profit reached $28.1 million for the quarter, representing a gross margin of 56.2%. This compares to gross profit of $24.2 million and gross margin of 56.6% in Q1 of 2025. Gross margin was consistent with the prior period, declining only 46 basis points, despite the evolving revenue mix, particularly with Meridian Bet's high margin contributions being partially offset by the early stage economics in our smaller markets as they begin to scale. In nominal terms, gross profit grew 16% year over year, reflecting a combination of strong top line momentum and our continued focus on high margin B2C casino and sports book operations. Turning to operating expenses, selling general administrative expenses were $25 million in Q1 of 2026. compared with $24.3 million in Q1 of last year. This modest increase reflects discipline expense management, even as we continue to invest in technology, regulatory compliance infrastructure, and market expansion capabilities, including our AI-powered platform investments that Zorin will speak to in more detail. Income from operations was $3.2 million for the quarter, a significant improvement from the operating loss of $0.1 million, in Q1 of last year. This $3.3 million swing reflects the operating leverage inherent in our business model as we scale revenue and maintain cost discipline. Net income was $2.2 million or $0.18 per diluted share. This compares to a net loss of $300,000 or $0.02 per diluted share in Q1 of last year. This represents a return to profitability, the first of many profitable quarters under the Meridian Holdings brand, and a meaningful milestone as we demonstrate the earnings power of our scaled diversified platform. Adjusted EBITDA for the quarter was $6.3 million, up 26% from $5.0 million in Q1 of 2025, and ahead of our previously issued guidance of $6.1 million. Adjusted EBITDA margin was 12.6%. representing approximately 86 basis points of margin expansion versus last year. The adjusted EBITDA outperformance was driven by the strength in MeridianBet's core operating metrics and a continued operating leverage of our B2B content business. The balance sheet continues its positive trajectory in Q1 of 2026. I'd like to highlight on a few key metrics that demonstrate the financial strength we're building. Cash and cash equivalents were $16.2 million at that quarter end. Total debt was $29.7 million, down from $34.7 million at year end 2025, and representing a 54% reduction compared to Q1 of 2025. Net debt stands at $13.4 million, a 62% reduction from last year, translating to a net debt leverage ratio of just 0.53 times annualized adjusted EBITDA. The balance sheet is in great shape and it's improving. Operating cash flow for the quarter was $5.2 million, underscoring the cash-generating nature of our business and supporting our ongoing debt reductions trajectory and reinvestment in technology and regulated market expansion. Turning to our segments, Meridian Debt Group delivered Q1 revenue of $34.9 million, up 26% year-over-year and representing 70% of total company revenue. Segment gross margin was 69.3%, reflecting the attractive unit economics of our core sports betting and online casino operations. Segment operating income grew 37% year-over-year to $6.6 million. Soren will provide more detail on Meridian Bet's operational performance in just a moment. Our Arkeens and Classics for a Cause segment delivered combined revenue of $12.1 million in the first quarter. This is up 9% from the prior year, and it represents 24% of total company revenue. At Arkeens, our UK-based pay-to-enter price competition business, revenue reached $7.7 million in Q1, up 12% year-over-year. Average order value increased 29% to $16.91, and the value per new registration improved 15% to $17.72. Metrics that speak to the improving unit economics of this business and our focus on high-value customer engagement. At Plastics for a Cause, our Australia-based subscription digital membership and trade promotion lottery platform new users rose 18% year-over-year to 9,813. Total transactions grew 12% sequentially and VIP subscriptions surpassed 10,000 for the first time in 12 months, ending Q1 at 10,750. The return of VIP subscriptions above this threshold is a strong indicator of customer loyalty and future revenue momentum. Finally, GMAG, our B2B iGaming aggregation segment, which includes Nextplay, contributed $3.1 million in revenue in the quarter, representing approximately 6% of total company revenue. While the segment's revenue declined 18% from $3.8 million in Q1 2025, we are investing in our MexPlay business, which grew 28% over the last year. MexPlay, our Mexico-facing regulated online casino, continued its impressive growth strategy. Registrations reached 74,000. up 271% year-over-year, and first-time depositors climbed 6,101, up nearly 200% over last year. These registration and conversion metrics reflect strong early market penetration and a compelling value proposition in the Mexican iGaming market. This revenue mix shift from the competitive B2B aggregation business to MexPlay revenue improves gross margin by over 5 percentage points, over last year as well. Turning to our outlook for the second quarter of 2026, we are issuing revenue guidance of 51 to 53 million, representing approximately 18 to 23% growth over Q2 of 2025's revenue of 43.2 million. This outlook reflects continued growth in core Meridian Vet operations, seasonal uplift in retail and online wagering activity, our general confidence in underlying business fundamentals, and our ability to execute against our operational priorities. We remain committed to transparent, consistent guidance, and we're pleased to enter Q2 with strong business momentum and financial flexibility to pursue the growth opportunities ahead of us. With that, I'll turn the call over to Zoran to discuss Meridian Vets operational performance.

Zoran. Thank you, Rich. Good morning, everyone. I'm pleased to report that Meridian Bet delivered another strong quarter with revenue reaching 34.9 million, up approximately 26% year-over-year. This performance reflects continued execution across our 25 regulated markets and the ongoing scaling of our strategic growth initiatives. User acquisition and engagement Our customer metrics tell a compelling story of sustained quality-driven growth. Auto registration reached 428,400 Registrations in Q1 2026 up 41% year-over-year. This is not simply growth in absolute numbers, it reflects the effectiveness of our localized acquisition strategies and the resonance of our brand across diverse markets. Active users increased 21% year-over-year to 333,000 and depositors grew 27% to 283,000. The progression from registration to active use to depositing is a critical measure of platform engagement quality and these metrics demonstrate that we are not only acquiring customers at an accelerating pace, we are converting and retaining them. The gap between registration growth and active deposit growth reflects healthy customer maturation patterns and suggests continued revenue upside as our new cohorts develop. In Brazil, our operations continue to scale following the successful launch in 2025. Brazil is one of the world's largest single country for bettering market by population opportunity, and we are pleased with the pace of early market penetration. Our team has built strong local partnerships, invested in local relevant content and user experience, and positioned Meridian Bet as a credible compliant operator in this high potential jurisdiction. Regulatory framework in Brazil continues to develop favorably, and our early positioning backed by our 25 years of regulated market experience across Europe and Africa provides meaningful competitive advantages as the market matures and competition intensifies. We will continue to invest in Brazil with discipline, targeting sustainable market share growth rather than short-term promotional volume. Expand Studios, our B2B gaming content subsidiary, operating within Meridian Bed Group, delivered another strong quarter of operational progress. Our operating network expanded to 1,519 active distribution sites during Q1, 2026, adding 175 new sites on cumulative basis in the quarter alone. Our proprietary game portfolio now encompasses 77 titles, including 6 new games launched during Q1. The strategic importance of Expand Studios to our overall business cannot be overstated. The content business generates reoccurring B2B revenue with attractive margins and strong operating leverage. Each new game title we launch is distributed across our entire 1,519 site operator network with minimal incremental cost. And as our network grows, so does the revenue potential of every title in our library. On technology front, we continue to make meaningful investments and AI-powered capabilities across our platform. These investments are enhancing personalization at the individual player level, improving risk management and pricing accuracy in our sportsbook operations, and driving operational efficiencies across our markets. From customer service automation to trading floor optimization. We view technology investments not as a cost center, but as the core driver of our long-term competitive differentiation. In a market where scale and platform quality determine winner takes most outcomes, our proprietary technology stack built in-house over 25 years of regulated market operations is a durable advantage The third-party and white-label competitors cannot easily replicate. Looking ahead, our strategic priorities remain consistent and clear. Scale Brazil with discipline, deepen our presence and share of wallet in existing markets, continue expanding our Expand Studios content distribution network, and maintain the operational discipline that has driven our results. The strategic investments we have made over the past several years in technology, market licenses and talent are now translating into accelerating growth and expanding margins. We are well positioned to continue this trajectory through 2026 and beyond. With that, I turn the call back to William for his closing remarks.

Thank you, Zoran. Before we open the line for Q&A, I want to leave you with a few direct thoughts on where we stand and where we are going. Q1 was a quarter of continued execution, and the results speak for themselves. 17% revenue growth. First proper quarter under Meridian Holdings brand. 26% adjusted EBITDA growth with March 2nd expansion ahead of our guidance. Strong balance sheet and declining leverage. I'm generally proud of what this team has built and I'm even more excited about what comes next. Our focus in 2026 is four things. Delivering on guidance, maintaining operational discipline across our markets, continuing the balance sheet trajectory we established last year, and communicating clearly and consistently with our shareholders every quarter. Remain committed to disciplined capital allocation, focusing on high return growth investments, Technology, Content and Strategic Market Expansion. This includes supporting our continued scaling in Brazil, deepening our footprints across Europe and other regulated markets, expanding the Expanse Studio Content Network, investing in strategic acquisitions and alternatives where they meaningfully enhance our market position and create durable shareholder value. A fortified balance sheet combined with a highly scalable and proprietary technology platform gives us financial flexibility and an operational foundation to take prudent, decisive action when the right opportunities arise. Do not feel pressure to deploy capital recklessly. We feel confident to deploy it thoughtfully. To every shareholder, analyst, and partner on the school, thank you for your continued support and trust. We're committed to earning. With that, we will now open the call for questions. Operator.

Thank you. We will now begin the question and answer session. If you have a question, please press star one on your telephone keypad. If you wish to remove yourself from the queue, press star two. Please limit yourself to one question and one follow-up. We will pause for a moment to allow questions to queue. We'll take our first question from Jack Vander. Are they with Maxim Group? Please go ahead. Your line is open.

Okay, great. Good morning, guys. Great update. Great profitable results. Thanks for taking my questions. You know, maybe I'll start with to limit myself. which is hard to do because there's a lot to talk about. William, maybe can you just touch on some of the key upcoming catalysts? Obviously, there's some strong QQ guidance here with a growth assumption. Maybe can you just touch on some of the key upcoming catalysts since this is kind of a unique summer with the World Cup? And then, obviously, you have Brazil ramping up as well. And Expand Studios continues to expand. Let me touch on a handful of the top two catalysts you see coming up here that could provide upside to the business going forward. Thanks.

Thank you for the question, Jack. I hope it was working, but my phone seems to be linking in and out on mute all the time, which I haven't actually watched. But let me answer your question. I think the World Cup is going to be an interesting time for us because it is a big World Cup. It's got six players. What we find is the World Cup, you really don't know what's going to happen with it, but it's a great asset to help us drive the business. So that's really one of the big catalysts that we're going to have. The other thing is really what we're focusing on is on execution in all the markets. So it's really about delivery. and also strategic acquisitions as we go through. And it's going to be ones where we can have operational limits because we really want to deploy our capital with care.

Okay, great. And, yes, you are cutting in and out there, but I got most of that. Go ahead, Jack. Hey, Zoran. Yeah, no problem, guys. Hey, Zoran, maybe it'd be helpful to just touch in on the Expand Studio front with the pending – approvals or, you know, review processes in New Jersey and Ontario. Can you just provide an update there? What's the sense of timing and just how important or significant these approvals are?

Jack, thank you for the question. And if I may just to answer your prior question related to the potential growth in Q2, as you know, Second part of June, we will have World Cup, the beginning of World Cup. And basically World Cup is always big if you have your national team playing. And from our portfolio of countries where we operate, four of our countries actually have their national teams. That's Belgium, Brazil, Mexico, and Bosnia. And basically in these countries we expect maximum growth. Especially with Brazil. So that's most significant, by far most significant event when it comes to marketing. And we are preparing special marketing promotions in the countries where we each have their own national team train. And when it comes to possible profits, World Cup is always tricky. because we have emotional betting patterns involved all the time, especially where in the country, as I said, where national teams are playing, it's like all emotional rollercoaster. So we did several simulations. And when it comes to World Cup, we would say from neutral to mild positive when it comes to profit. at the end. But as I said, on marketing level, that's by far the biggest event we can get because most of the attention of the local public is driven to that event, which we must use. When it comes to expense, whatever you mentioned is basically days away. We are just waiting for approvals. And I really cannot give any predictions when it can be. And dealing with regulatory, as you know, you always hope for days, but It's another day, but actually we did everything what is on our side. We did everything what is on our side, so we're just waiting, but we have never been closer to that. Both related to New Jersey and Ontario, and it's really big news for us. I cannot tell much, but basically, let's say 100% of our efforts are made in these two directions.

Excellent. Well, congrats again on the momentum, guys. I'll hop back in the queue and look forward to watching you execute. Thank you. Thanks, Jack.

Thank you. We will move next with M. Marin with SACS. Please go ahead. Your line is open.

Thank you. So, in the prepared remarks and the scripted commentary, You talked a little bit about the relationship between registrations being up and then active users also being up. Do you have a sense based on, you know, operating history and things that you're able to glean from any marketing that you do, do you have a sense of how long in advance of a potential catalyst? And I'm thinking specifically of the soccer. of the World Cup soccer games. Do you have a sense for how far in advance people who are new to the platform actually would consider registering or there's really no way to get a good help for that?

Zoran, do you want to take that? Zoran. Yes.

Yeah, this is a really good question. When it comes to, this is like my World Cup in Meridian. So it's very different. Do you have your national team playing or not? So in the countries where your national team is not playing, this is like, this is a big attraction. It is bad. It keeps you, you can actually get good revenues during summertime, during July and August, because Usually major soccer leagues don't play during this period. So if you have World Cup, but your national team is not playing, that means you can have, like, good results in June, July, and August, but nothing special. It is just like season as it used to be. But if your national team is playing, it can go multiple a lot, multiple four, five, six, comparing to all previous periods. Because, instead, this is all driven by emotional batting, and all the companies which operate in the countries where national teams are playing are like all in when it comes to marketing so basically this is like we have Brazil, Mexico huge countries and we expect a lot so it can be easily multiple 5 even multiple 6 when you have national teams playing. What is also Something new which we have is that the process from registration to get an active player also depends from regulatory neutralization. We call it how because basically in the past you didn't have this segment. It was from registration all activities will be related how to get first deposit, how to convert this customer to make it first deposit, and everything was related to your user experience. But these days, unfortunately, but this is the situation, last several years, due to inflation of regulatory, especially in KYC, IML, and customer protection, actually, there is increased delay from Registration to have an active customer only because of these processes. And we call them onboarding processes, which really depends on regulatory. So in some countries, Brazil definitely this process will be harder because Brazil is by far the most regulated country in the world when it comes to KYC, IML, and customer protection. Or, for example, on the other hand, Let's say all other countries have lighter regulations. So we are focusing our attention to this onboarding process of how to make it seamless for the customer. So we have this period from registration until sharing him as an active user to try to be as smooth as possible. And this is like by far most complicated process, which I said it didn't exist five, six years ago. And now we are focusing like 90% of the time between these two.

Well, okay, good. So that's good call. So let me just make sure, you know, that I'm understanding. So there's the onboarding process. But I'm also thinking, you know, my sense is that active users are not active consistently. all the time or not necessarily active, you know, for the same length of time. And I think one thing you have talked about in the past is the power of the, you know, AI capabilities of the platform in terms of increasing the long-term value of customers. So, if you have customers or, you know, let's talk about a, you know, one customer example, If you have a customer that was active and no longer is, you're not looking at the same kind of trajectory there to try to turn that customer back on, right? Because that customer has already gone through that onboarding process that you just spoke about.

Yeah, so thank you for the clarification. Basically, what I was talking previously was about acquisition process. how to acquire new customer and turn him into active user. And that has significant onboarding process because of all regulatory requirements related to KYC, IML, and customer protection. And that relates for acquisition. But with your clarification, what you ask now is related to retention. So what do we do with customers that are already in our database, that are already made their first deposit. We have special marketing activities, we call them retention processes, which we drive through our CRMs. We basically use several CRMs into our marketing process and decide which is the best one for each market. So there are really comprehensive retention activities behind the scenes happening, and we foresee also that Our database will be reactivated especially in the countries where we have national teams playing up to 40-50% more than we can have them if we didn't have World Cup. So retention processes are like in that sense also subject of the marketing activities which will happen during the World Cup. So we have acquisition processes Strategies, that means how to acquire new customers. So we think it's like it can be multiple five, multiple six comparing to the periods previously. And when it comes to retention, so our existing customers, which we registered before World Cup, we can reactivate the database 40% to 50% more than if we didn't have World Cup.

Okay, thank you. Now, last question from Nate. You know, you've touched on that Brazil is a very, you know, strict regulatory environment, and my understanding is that that also extends to the number of licenses that have been awarded. Do you see that continuing, and do you see that as a positive in terms of, you know, creating competitive barriers to entering the market for a while?

This is an excellent question. Brazil, as you know, this is by far the most regulated market in the world in terms of population, and especially having in mind that there is only one, there is a federal license in place as well. So you can get state license in Brazil as well, but you can get a federal. And the federal license so far was awarded to approximately 50 companies, which each company can have three domains. So basically, like 150 domains are operating in Brazil, on 50 licenses and more or less, so I'm not like 100% accurate, but this is a possible situation and we don't see in 2026 more licenses being awarded. So all this first enthusiasm of getting into this market is stopped now. So Brazil needs to be seen only from strategic perspective, nothing else. So this is something what we need to see that we operate next 20 plus years. Huge gigantic market and also in parallel, since it's heavily regulated, that means that short-term scaling will be impacted. And that happened in 2025. Everyone thought, every single operator thought that once you get a license in January, as you know, Meridian was one of the first companies that got a license, then immediately in February we can just go and go into the market and invest a lot in marketing. But that didn't happen. That didn't happen for us. That didn't happen for anyone else. Only because we had additional regulatory requirements. I think I counted like 13 additional requests which came after the license was awarded. all related to KYC, verification process, customer protection, and so on, which we all find sensible. So there was not a single barrier that would prevent us of, like, penetrating further in the market. But can we do it fast? No. Especially not in 2025. So we see this, like, a little bit slowing down. So we can, especially because of the World Cup and Brazil's participation, and Brazil expects a lot from this World Cup, we see that these things are a little bit slowing down in a regulatory sense, so we can dedicate our resources and timing to Brazil. And we have also been lucky that we didn't overspend in Brazil in pre-licensing period, because companies started to advertise in Brazil even six, seven years before licensing was in place. So we think if you continue with discipline and if trends go this way, that we will be a long-term winner. But we just need to be very careful and have a disciplined approach to this market. So the game changed. So all companies had one set of plans, which changed along the way. So we need to adopt. But to be careful not to overspend in the beginning. So that is where the situation is there. But as I said, we are extremely positive about it because as I said, 22 million people are obsessed with soccer and that's really a good place to be. But nothing will come, especially those profits will not come over the night, so that's not happening. Not for us, not for anyone.

Understood. Thank you. Thank you.

Thank you. And once again, that is star N1 if you would like to join the queue. We will move next with Steve Silver with Argus Research. Please go ahead. Your line is open.

Thanks, Operator, and thanks for taking my questions, and congratulations on the quarter. So you've spoken extensively about Meridian BET, but you've also mentioned in the prepared remarks robust registration expansion, albeit off of a small base for MexPlex. I was hoping you could provide some insight as to your views of the size of Mexico's gaming market and maybe the long-term growth potential and the fit within the overall portfolio you see for the business.

So I will kind of address that. I actually don't have the, I'll kind of address the markets. Mexico is, I don't have the kind of numbers on the size of the Mexican market, but it's a very robust market. And it's a regulated regime, which is where we like to play. And it is growing. So it is a very strong growth market. We're having very positive registrations. But Zorin, who knows as my baby, Zorin's going to come in here on Mexico as an overall country. As a brand, we've got an excellent brand there and having, because of our branding, real success of acquiring players.

Basically, yes, so whatever I said for Brazil, more or less in the same situation, marketing is like half of the size of Brazil, but still it's huge, and we expect a lot. So we are doing a lot of preparations also for the World Cup, and you can expect more. So far, we are very happy. This is actually one of the most in top five countries when it comes to new customer registration, number of free depositors and so on. So we are really, really positive about Mexico as well.

Great.

Because it's an old regulated market and it's not much in the media, but you're quite right that it's of huge significance. Brazil is just more of a hot subject in the media, so media exploit Brazil because it's just new material. Thank you. But you are completely right. Mexico is great. It's great for us also. Our business there is great. It can be better, but we are working tirelessly on that.

I just agree. And one more. So with the now stable balance sheet, positive operating cash flows, gap profitability, can you provide your current thinking just in terms of your needs and the plans just to balance capital deployment between, I guess, technology investments, market expansion, and even potentially down the road to the return of capital shareholders?

So, you know, I think that, you know, we're very careful. We have a very disciplined approach to our investment. You know, so we focus and make sure wherever our investments are, we get a great return on that, very careful with the funds. We are looking over the next couple of years with regards to shareholder returns, and we may announce funding in the future with regards to that, because traditionally, from a Meridian perspective, it has been a – when it was a private company, it declared dividends. And so we do feel that that is something which we believe that should give a mix of growth in the share price, but obviously some returns from the – to the shareholders as well. The perspective is we don't have the mix of where we're deploying. I think we've had a lot of capital investment in the technology and continue to invest in it. But a lot of the big investment has been done. And then with regards to new markets and continued investments in this, we really look at what the returns we want to get. We're constantly looking at our acquisition costs and our lifetime values to make sure we're doing a very disciplined approach to that investment. And, you know, as we say, we look at regulated markets. Markets come and get regulated. We're in that. And we'll make a careful investment in it and not rush to throw money against the wall in the hope that we will make money. We make sure that whatever money we do invest, that it is going to get a good return.

Great. Thanks for the color and best of luck in Q2 leading to the World Cup.

It's going to be exciting because it straddles both Q2 and Q3. Yep.

Right.

Thank you. And that concludes our Q&A session. I will now turn the call back to the Meridian team for any closing remarks.

Thank you, everyone. Hopefully you are as excited as we were about our results. Thank you for your time and your questions. We look forward to updating on our progress as we go forward. All I can say is wishing you a very great day. Thank you.

Thank you. This concludes today's conference call. Thank you for your participation. A replay of this call will be available on the Meridian Holdings investor relations website at www.meridian-holdings.com. You may now disconnect.