GiG Software PLC

Hi, and welcome to Rada and today's presentation of GIG Software's Q2 results, which will be presented by CEO Richard Carter and CFO Phil Research. After the presentation, we will have a Q&A session. And if you have any questions, please send them through on the web. With that, I will leave it over to you, please.

Thank you very much. Good morning and welcome to our 2025 quarter two results presentation. And it's been another strong period of execution, both in terms of results and strategic developments. And we're really looking forward this morning to updating you on the positive progress we are making across our business verticals, as well as the slight shift in strategic developments, which is going to, we believe, position GIG to accelerate our medium term growth. So like our previous presentations, I'll first start by taking you through the key highlights. I'll then hand over to our CFO, Phil Richards, who will take you through the financials before coming back and updating you on our strategic progress and on also the outlook. So now turning to key operational highlights, and it's been another strong period for the company with revenue increasing 27% year on year to 9.3 million and adjusted EBITDA increasing by 2.1 million year on year to 1 million. And this performance has been driven by a combination of further focus on operational improvements, on new partner launches and also on an increasing contribution from our existing partners and a continuing razor-sharp focus on costs. Q2 also saw further pipeline conversion momentum with seven new commercial agreements signed. And I'm really pleased to announce that post-period end, we agreed to supply our technology to a European lottery. And this is a significant milestone for GIG as it not only adds a significant new market for future growth, It also validates that our technology is ideally suited to tier one partners. In addition, we successfully launched three new clients and our first client in the Philippines market And we also ended the quarter with a very healthy cash position of 4.3 million. And that excludes the 4.7 million we raised in July. Now, subsequent to that, we've added an additional 22 million to the balance sheet, which further strengthens our balance sheet and will allow us to act on strategic investment and business opportunities, as well as accelerate the execution of our business strategy. And I'll touch on this in more detail later on in the presentation. Now I'll hand over to Phil, who will take you through the financials.

Thanks, Richard. Through to the cash flow and then finish up with where we looked at for the half year. And then I'll pass back over to Richard again. So I'm delighted to present these results because we saw a really significant increase, 27% revenue increase quarter on quarter, year on year even, and 2.1 million EBITDA increase year on year also from Q2 2024 to Q2 2025. Our cost base decreased in the meantime by 0.2 million. This shows a significant increase in profitability and therefore demonstrating the scalability of our business model. And I'll talk through that a little bit later on in my presentations. So what drove the revenue increase year on year? What added our 27% increase year on year? I'm delighted that this predominantly delivered by new launches and customer growth, which is exceptional. That added 1.5 million to our revenue year on year as well. And we also had the additional setup fees from partners we are going to launch in the future, which is extremely exciting revenue growth for us going forwards as well. If I go now to our OPEX, and again, our focus on cost control has been absolutely key in this quarter as every other one. And I'm delighted that our costs are going down even more by 0.2 year on year. That's adding to the 0.2 we had in Q1 as well. Predominantly, our costs are going down because we're focusing on the cost control. We're maximizing our profitability, ensuring that we're realizing the scalable business model. So where does this all leave us when it comes to profitability in adjusted EBITDA? And bear in mind, we only adjust EBITDA for our share-based options charges. So our adjusted EBITDA turned around from a negative 1.1 in Q2 2024 to positive 1 million in Q2 2025. And therefore, you're seeing revenue dropping directly through down into the bottom line, which is really exciting. So that, as I said, again, is demonstrating our business model and the scalability of it. and really this you know our focus on cost reduction combined with our revenue and combined with our growth strategy going forwards is going to deliver yet more scalable margins in the future so how does this end up on our cash flow then so we started the quarter with 4.9 million we finished the quarter with 4.3 million and that's without the 4.7 million as richard alluded to from the directed share issue that came through in july In addition to that, as Richard alluded to as well, we're going to be strengthening our balance sheet further with an additional 22 million approximately from a second directed share issue. So we are leaving this quarter with an extremely healthy balance sheet that's going to position us really, really well for growth and underpinning our expectations going forwards as well. So where does this leave us for the half year? So how is it looking for the half year up to 30th of June, 2025? Revenue is up 18% year on year. EBITDA has transformed dramatically by 3.5 million to a positive 1.4 million. Our cost base has dropped by 0.4 million. And we have sequential growth in revenue, costs remaining constant, EBITDA growing. So all of our key metrics we're delivering upon across the half year from last year. I'm delighted with that for Richard to come and talk to you more about our growth strategy guidance for 25-26 onwards. Thank you. Thank you, Phil.

Thank you for that. So, okay, in this next part of the presentation, I'm going to take you through how we are executing against our key strategic growth pillars and how that's positioning Gig for an acceleration in all of our key KPIs in the remainder of 25 and beyond. I'm then going to update you on our 2025 new partner launch cadence and how that flows through into our revised 2025 financial guidance. And today we have also introduced 2026 and 2027 financial guidance. And this is to allow you to better understand how the current activity and momentum is going to underpin our growth going forward. As a reminder, we started the year with four key growth pillars, enhancing our technology and product, improving operational execution, new market expansion, and new business growth. And following the recent strengthening of our balance sheet, we're adding a fifth growth pillar, strategic partnerships and M&A. So now let's take our first growth pillar, enhancing our technology and product offering. And I'm really pleased to report that we're making very strong progress here, with our existing customers really starting to drive much stronger growth following the enhancements of our technology. It's also helping us to add new customers, and I'll touch on this shortly. And it's also giving us additional revenue streams. During Q2, we developed a mobile native framework, and that gives us now the capacity to deliver in-house built apps across all of our verticals. And we believe this will easily add at least 2 million of incremental revenue going forward. We've also added an additional product vertical. We now have a social casino, which again is going to drive incremental revenue and is widening our addressable market. And we continue to upgrade our sports book. And we did a major overhaul of the bet slip display and also navigation. And again, I'm pleased to report that that's having a positive improvement on underlying performance. Now, our second growth pillar, which is improving operational execution and efficiencies. And as Phil highlighted during his presentation, cost control is a very, very key focus for the company. And I'm pleased to report that we continue to double down on this area. And during Q2, we launched AI agents to help our service team both diagnose and fix operational issues faster and at a reduced cost, which will also enable us to generate higher incremental revenue going forward. And I'm also pleased to report that the Alira platform decommissioning work that we announced in our last quarter is moving forward in line. And that's setting ourselves up for a material cost saving to come through in H1 26 onwards. Now, our third growth pillar, which is new market expansion. Entry into new markets is going to be one of our key drivers of growth in the near term, as it not only helps grow our addressable market, but it materially increases the size of our new partner pool opportunities. And so it's going to be very, very important. And as I've already said, we're very, very excited to have launched in the $4 billion Philippines market during Q2. And we have very big expectations for both the Philippines and Asia in general. And we're actively exploring other opportunities in this region. Now to further underpin our medium term growth outlook, we've brought forward the launch into the Brazil market to the end of this year. We had originally planned to launch in Brazil at the end of 2026. However, since the period end, we have signed up a tier one partner, which is targeting a top five position in this market. And this was just too good an opportunity to pass by. Now, very much like the Philippines, we think Brazil holds a major opportunity to help accelerate GIG's revenue growth. It has both scale and growth. It's currently worth just under 4 billion euros and is estimated to grow to over 7 billion euros by 2030. It has strong digital habits, and it has a well-developed gaming culture. And it's also at the very beginning of its regulatory journey. And as I just mentioned, we've won a major tier one customer there, and we believe we have a significant pipeline of further opportunities in that market as it transitions from a dot-com to a regulated market. And we look forward to updating you further on this in the following quarters. Now on to our fourth growth pillar, new business growth. and we continue to see strong engagement here. As I already mentioned, we signed seven commercial agreements in Q2, and since the period end, we've signed our first European lottery and also a major tier one operator. And it's also really positive to report that our pipeline is seeing improvements month on month. We're now talking to much bigger partners, which are also more interested in taking multiple products from us. And I think on the back of the recent balance sheet strengthening, we would expect to be able to target larger opportunities moving forward. And that's obviously going to help in terms of accelerate our revenue growth and from a margin perspective. And as I mentioned, we've added a new growth pillar, which is strategic partnerships and M&A. And just to put this in context, so over the last 12 months, we've unfortunately lost out on some very major opportunities whereby we would have injected a small amount of capital to get a much bigger share of the pie by injecting also our technology into it. This is commonly used by land-based casinos and also other non-gaming entities like media companies. However, now that we've got this balance sheet strengthening, we now believe that we have the flexibility to pursue these high-value strategic partnerships and to capture a greater share of the economics. We also believe now that we've got some M&A optionality, but we're going to be very targeted. We'll only do deals if it's highly complimentary and it creates very strong shareholder value. Now, how is all these enhancements and improvements to our tech and technology and product helping position Gigg to capture greater growth? Well, I think firstly, Gigg is now one of the very few full turnkey suppliers offering an end-to-end suite of products. We're very strong in platform, casino, sports. We recently introduced a new social casino vertical. We have a sweepstakes vertical. We also have managed services. and it's very, very compelling for the bigger operators. We also are in 31 regulated markets, and that gives us one of the highest regulatory market penetrations in the sector. And as you can see in this slide, that allows GIG to be strategically placed at the heart of the sector, and we believe ideally positioned to capture very strong growth going forward. Now let me update you on our 2025 new partner launch cadence. So we had previously targeted 10 launches in H1, and we delivered seven, with two launches delayed due to awaiting regulatory approval, and one project on hold due to increased negative sweepstakes regulatory developments. And for H2, we were targeting 18 launches, nine in Q3, nine in Q4. However, following the winning of our first lottery partner and also the tier one operator focused on Brazil, we've taken the decision to accelerate our market entry into Brazil by the end of the year and to also focus on onboarding larger, more profitable partners. That's a strategic decision to focus on bigger clients and we believe that will enable GIG to grow faster and more profitably over the medium term. Now, in terms of the moving parts, we're removing five sweepstake launches due to the change in market environment. We're also removing four smaller high-risk partner launches from H2, and we're also delaying four launches from H2 into H1 2026. But I think it's also worth just briefly touching on our underlying ARR is actually increasing, and so is our medium-term outlook. So what do these changes do to our 2025 revenue? Well, as you can see here, we expect a 0.9 million impact in Q3 revenue, with the bigger impact obviously occurring in Q4 with a 3.1 million impact. And we expect 2 million of this impact to come from the removal of five sweepstake launches. We expect 0.5 million revenue impact to come from the delay of launches from H2 into H1, and then another 0.5 million revenue impact to come from the removal of the smaller, higher risk launches. But if we look at 2026, we don't expect any impact. And as you can see in this chart, we show that the sweepstakes impact is four and a half million next year. The smaller clients is two and a half million and the delayed launches is one million. However, given that we're focusing on these bigger client launches in Brazil and other markets, we expect that to add at least six million into our numbers next year. And we've got very good visibility on that. And we've taken actually a very conservative view. And also, as I mentioned, we're seeing lots of upsell opportunities and we've been sort of running for the trend we've seen recently. And this is around mobile apps, managed service and sports. And we believe that will add at least 2 million next year. So we don't expect any change to our current 2026 consensus. So now let me take you through our financial guidance. So for 2025, the revised guidance is for revenue to be in the range of 39 to 42 million. And for this change in revenue to be reflected in EBITDA, with EBITDA target now of 5 to 7 million for the year. And as Phil mentioned, we expect our cash flow break even to now be in H1 2026. In essence, with the strengthened balance sheet, we now have room to consolidate our strong market position and focus on quality and greater product improvements. And we believe this will build even more secure foundations for longer-term growth. So there'll be no more sacrificing long-term growth for short-term gain. Now let me update you on our medium-term outlook for 2026 and 2027. For 2026, we expect a continuation of very significant double-digit revenue growth, and we're now targeting a revenue range of 56 million to 60. And for 2027, we're introducing a range of 70 to 75 million of revenue, and we expect our underlying ARR to be at least 65 million by the end of 2027. And obviously we have a very scalable business and we're going to continue to focus on cost optimization. And so we expect our EBITDA margins to be greater than 25% in 2026. And at the midpoint of our revenue guidance, that would imply at least 15 million of EBITDA. And then for 2027, we expect our EBITDA margins to be greater than 30%. And again, at the midpoint of the revenue guidance, that would imply 23 million of EBITDA. So in summary, Q2 has been a transformational quarter for GIG, both from an operational perspective and also a strategic perspective. Q2 saw significant increases in both revenue generation and EBITDA. We launched our first partner in the highly attractive Philippines market, increasing our addressable market by 4 billion, And as I said, we're following up on a lot of opportunities in that market. And we expect this to be a very significant revenue contributor to our business over the medium term. We also continue to see very strong contract momentum. And as I also mentioned, we signed two major tier one partners at the period end. And we also see a very healthy current pipeline with bigger customers and customers wanting to take more products. We've taken the strategic decision to focus on bigger partners, and that's going to enable Gig to grow faster and more profitably over the medium term. The strengthening of our balance sheet now provides the headroom for a period of consolidation for us to focus on quality product development alongside exploring additional strategic options. And we remain very, very confident about Gig's future growth prospects. So thank you for listening and we're happy to take any questions.

All right, thank you for an extensive presentation. I have a few questions at least, and a few from the audience as well. Maybe starting with equities, I mean, you have a substantially stronger balance sheet now, and you touched a lot on how you can use this. But I mean, how will you prioritize maybe from M&A or other growth opportunities? And you also mentioned maybe investing with partners, if I understood correctly.

Yeah, so I think let's take them in turn. I think M&A will, you know, we just recently raised this money. So M&A will definitely, it's not top of the priority list. But as I said, we now have some optionality. So the industry's consolidating. So now at least we can be at the big table and partake in those conversations. And obviously now we will have the ability to really transform our business potentially. So that's M&A. Now in terms of the strategic sort of opportunities in terms of investing, I'm going to personally be taking that. You know, as I said, we've not been able to do a couple of those opportunities in the last 12 months. I think, you know, there'll be definitely a couple of opportunities each year. It's definitely a competitive market. But as I said, if you have the ability to put a small amount of equity in, you put your technology in, we put our managed services in, and then we can take a much bigger share of the pie, then that's obviously very, very attractive. In terms of trying to sense, I mean, the sort of things that we've not been able to do, we're looking at sort of $5 million, that sort of range. So it's not as if we can do lots of them. So we'll be very, very picky. But I think, you know, I'd be disappointed that, you know, if we're not here this time next year, that we haven't at least tried to do one.

Right. And the longer term, I mean, how should you view the kind of net cash position? Do you still think this business should have a net cash position to be able to act on opportunities?

Well, I think, well, I'm a shareholder, you know, we listen to our shareholders. And, you know, one of the key things when we have discussions with our shareholders was our balance sheet. And I think also, as you've seen recently, I don't think it's a coincidence that we're signing these bigger tier one customers. Because one of the first things, I mean, I got an email last night from a big tier one saying, we want to do DD on your balance sheet. So if we want to If we want to get these bigger clients that can generate significantly more revenue and profitability and cash flow, we needed to have a really solid balance sheet. The board listened. Our shareholders also agree. And that's why we decided to do what we did, because we think that will really transform our growth trajectory over the medium term.

All right. And looking at the near-term outlook, I mean, you have some delayed launches and some that you have removed. I mean, taking sweepstakes firstly, is there less potential for that market in the long term as well?

I think it's difficult to gauge. I think what we've just done is we've raised the bar. So unless you're extremely well capitalized, we're not going to take a risk. So, you know, we were chasing sort of near term gains, as I mentioned, to bring cash flow in because of the way the balance sheet was, you know, nine months ago. We don't need to do that. So what's the point of wasting resource and time launching into the sweepstakes with partners that we're not so sure about? Why would you not prioritize a growing regulated market like Brazil with a tier one operator that wants to spend a lot of money on marketing and grow a top market five position and have the ability to significantly generate more revenue than those five launches alone would have done? When you look at it like that, I don't think it's a very difficult decision to make. And obviously regulated Brazil from a multiple perspective versus on sort of, you know, gray US sweepstakes, it's quite a big delta.

Yeah, yeah, understood. And when you look at your launch schedule going forward, have you taken a more conservative approach to that? Or is it more like you've changed the customer mix? How's the risk going forward in terms of customers?

Yeah, so as you can imagine, if we're reducing... second half by 13 launches yet we're probably going to be generating more revenue next year so you get an idea of the sense of the size of the clients we're launching near term um i don't think we'll be you know if i'm if you're gonna ask me about what how many launches new launches we're gonna do next year You know, it's certainly not going to be 28. But I think, you know, it's going to be more around sort of, you know, 12 to 15. But I mean, again, I'd rather do four launches, really, really big than 15 smaller ones. But I think what we're seeing in terms of the pipeline is the mix of much bigger clients is increasing. And also, we're seeing that the bigger clients want to take a lot more products. So, you know, doing that one project, the opportunity from a margin perspective is significantly greater. Now, there's not hundreds of them out there, so you have to take a mix depending on the market. But I think there's no doubt that, you know, we'll be on a more conservative sort of run rate in terms of client launches going forward.

Got it. And maybe a question for Phil. I mean, if you look at the cash flow generation, I mean, you previously expected positive cash flow by Q3, now H1, I guess, obviously, because DBTA is pushed a bit forward. But do you also see any change in terms of CapEx requirements from here?

No, I mean, we want to keep that very constant as we've been talking about throughout. So, you know, hence why this focus on cost control is still absolutely paramount. Raising the cash and not raising the cash is irrelevant to our focus on cost control. You know, the whole point is delivering the margins that are scalable to demonstrate how the business can grow. So for me, you know, yes, it gives me a bit more run rate. It means we don't have to make short term decisions. As Richard was saying, we can work on the longer term. But still, I'm not anticipating that we really need to raise our cost base to deliver the growth that Richard's been talking about.

And then maybe a quick question for both of you. I mean, if you look at the guidance for 2026 and compared to kind of run rate profitability in Q4, it seems like the margin is not expanding that much during 2026. It's more flattening out maybe, but then expanding again in 2027. If you look at the guidance, I mean, how should you view that? Is it because you see more, you might need more resources during the bigger launches or if you can put some

Yeah, we've taken a view in terms of, as I mentioned, the key here is investing in our product. That's what's going to make us win in the long term. That's what's driving incremental revenue from our existing clients, and it's what's making us win new partners. So we're taking the view that we're going to step that up near term. And we obviously expect that to translate into higher revenue growth as well. And then in 2027, that's when you should see a big kicker because we'll have got to a level where incrementally we don't have to really add anymore. And actually, if you look at next year on a sequential basis, with the Alira migration at the end of Q4, you'll start to see a lot more cost coming out. And that's when you'll see quite a big ramp up in terms of the margins in 2027.

Right. And I mean, you also, the 2027 margin is excess of 30%. Is it like a floor or how should you? Well, no, but I mean, there's big levers, right?

I mean, we're not going to do less than 30%. Yeah. Okay. Could we do 40%? Yes. But it's just looking at those levers. I'd rather invest more money to add five new clients in Brazil and looking at 28, 29. So we want to get to a billion dollar company here. So we do that quite quickly. So looking at sort of a million here, a million there next year, is not really sort of how we want to run this business. So it's about really driving towards capturing more market share and the margins and the scalability of the business will take care of themselves. And as Phil said, we'll continue to be focused on our cost base. But we'll also look to invest if we think we can generate a very significant ROI. And we now have that balance sheet flexibility where we can actually be strategic and say, do you know what? Let's move Brazil from next year when we were planning on having more cash. Let's bring it forward to now. Let's add some more investment to get this client live. Because actually, once we get this client live and they want to get to a top five market position, you know, that by far makes this the biggest customer that we've had in our history by sort of 10x. So that's why we're accelerating and changing the strategy to facilitate this.

Makes sense. And regarding your pipeline, you mentioned that you signed a new lottery client here. Can you talk a bit about that type of customer? How many are there that you are speaking to, maybe, or how big is the opportunity?

It's a little bit like London buses with lotteries. It takes a long time, but once you get your first one, there seems to be a lot that follows behind. So, look, if you look at the global gaming industry, lotteries control a very big chunk of it. specifically in the US and specifically in Europe. So there's a lot of opportunities. In my previous businesses, I've worked very closely with lotteries. They're great partners. They're long-term. The contracts tend to run for a long time. So it's a really, really exciting area that we're going to focus on. And as I said, we think now we've won one, that will really open up hopefully the floodgates to win more. But they don't come around very often. So there's a lot of people chasing them. The other thing is there's a very small number of suppliers that actually work with lotteries. So we're in sort of rarefied grounds here. So it's a very, very positive development.

Interesting. And looking at the markets you mentioned a bit here in the presentation, I mean, the Philippines is a newly regulated market. You've launched there. Maybe firstly, how has the launch been with your partner there?

Yeah, really good. Yeah, we're very excited about the Philippines. It's a $4 billion market. We think our product is really well suited to that market. We're really excited about the traction we're getting there. As I said, we're talking to a lot of opportunities, and we think the Philippines will be an increasingly larger share of our revenue going forward. We're actually very excited about Asia as a region. We think there's going to be more regulation there over time, so that's an exciting opportunity for us.

Another market you mentioned where you also signed a big client, Brazil. I guess it's a market that has been both very exciting because it's huge, but also some regulatory uncertainty with tax changes and so on. Do you see that stabilizing and do you see what you think will happen with regulatory uncertainty there?

Well, for us, it's all incremental, so it's actually quite good what we're seeing. For me, if I'm launching into Brazil now, and a lot of operators are having to pay back taxes and things like that, that's a great opportunity. So we're just very fortunate that we weren't in Brazil before, so we haven't got the headwinds in terms of tax and regulation. What tends to happen with regulated markets, you go from dot-com to regulation, there's a little bit of dislocation in the first year or two, the regulator's trying to find his feet, you've got the uncertainty around tax and some other areas, and that's usually a fantastic time if you're not in the market to try and attack the market. Fingers crossed. I think it's really good timing for us. We've got this new client. They've got very high expectations. And also, as I mentioned, because the market just recently regulated, you've got a lot of players in Brazil which you would categorize on the dot-com legacy platforms. And obviously, our business and our product and our technology is really set up for regulated markets, especially from a reporting perspective and analysis perspective. And a lot of our competitors don't have that. And we sense that as this market obviously, you know, becomes more challenging from a regulatory perspective for the local guys, that will present a lot of opportunities for us. And, you know, we'd expect to be winning more clients in Brazil in 2026 and into 2027.

And in terms of upselling and maybe partly your sports book and the native app, how do you see that? Is the sports betting book generating a lot of interest, the app, and what's the most potential there you see?

Yeah, so the Brazil market is sports, yeah, 60 or whatever percent. So obviously this new partner we're launching is transformational for our sports product. But over the last sort of four months, we're seeing more of our existing customers wanting to take our sports. We've announced this week, one of our customers, we just recently launched our sports book in the UK. And we're seeing that actually across our product portfolio, which is really encouraging. And again, goes back to the investments we're making. So managed services, we're seeing more partners wanting to take managed services. And then obviously mobile apps is very, very significant. So we've created this new framework, which we didn't have before. Our view is that every single one of our new clients will want to take mobile apps and we'll start upselling to our existing partners. And as I said, you know, that's going to create a whole new revenue stream for us, which we didn't have in the business, you know, sort of six months ago. And it's also increasing the overall quality of our proposition. So it will enable our clients to be able to compete more aggressively in the markets they're in. So it's a very positive development.

And another question in terms of maybe upselling, cross-selling, if you look at your current customers and which market they're available at compared to which market you can provide to them, is there opportunity for existing clients to add new markets?

Yeah, so I think we'll talk about this probably in future results, but when I talk about our healthy pipeline, we're currently sat talking to quite a few of our bigger clients who are wanting to go into more markets with us. And I think, you know, that's one of the really exciting positive trends we're seeing in our business, which is existing partners now wanting to go into more markets. And so, you know, the Philippines is a good example. Brazil will probably be a good example. Canada's a very good example. You know, you go into these markets with one partner, you know, and then you've got three, four, five. And so that initial cost is leveraged. So, you know, I'm hoping to come back here, you know, let's say in 12 months time. And, you know, we'll be talking a lot more about our existing customers being a bigger portion of going into our new markets.

Right. Going to look through the questions from the audience here as well. I mean, one is on, I think you mentioned previously the growth rate of your existing customers. How do you compare that to the market? Are they growing the same rate or faster growing or is it very different?

I think it's a mix. we've got quite a few customers that are growing 60, 70% and really accelerating, partly driven by going into new markets. And obviously you've got other customers that are slightly behind. So with a business like this, obviously there's timing, marketing spend, things like that. So it's very difficult to sort of, you know, pull out individuals. But just in general, you know, our bigger customers, you know, I would say is, you know, a growing sort of, in line to slightly above the markets. And we've also obviously got some, you know, very, very important big customers, so you'd expect them to do that.

Yeah. And I think you maybe already touched upon this, but also one asking about the switch of strategy priority. Brazil couldn't do everything.

No, no, not really. You know, if you try and do too much, then you probably fail. So, you know, we've taken a strategic decision. Again, you know, these type of tier one partners don't sort of they don't grow on trees. So, you know, we've looked at this. We think this is the right decision. We think this is the right partner. And I think it's also worth just mentioning that this partner is not going to just focus on Brazil. We think this is going to be a multijurisdictional partner. It's just our first market is on Brazil. And, you know, we've taken the decision in terms of resource. We want to move away from doing the smaller, higher risk partners. And I think, you know, if you look back at the history of this company, we've had quite a lot of partners that have fallen away. And so we now have, you know, that headroom to say, actually, is this the right partner we want to be working with? And what is the sort of average revenue that we think we can target? And that obviously, you know, there's a lot of metrics that go into that. But, you know, looking obviously at our current run rate and what our current customers are doing, we're looking at the customers we've signed and the new launches and then looking at our pipeline. And so putting all that together and given, obviously, the change in sentiment around sweepstakes, you know, we're still going to launch some sweepstakes customers. But we've just taken the view that this, you know, we only want to work with the best of the best, which reduces our risk. So, you know, we put all that together and we think... you know, focusing on this sort of strategy, reducing the number of launches, consolidating. And then I think you'll see us come out of the gate next year in 2026, a much more sort of streamlined organization.

Also a question on customer mix and the larger, smaller customers and momentum on the tier one, but it feels like you just answered that, I think. Another one on the pipeline. I mean, historically, you communicate a pipeline. You didn't have it on the slide this time, I think, but could you give any...

Yeah, I mean, the pipeline, as I said, you know, it's very healthy. As you can see, we've removed five sweepstakes customers. So you can imagine we've taken out quite a lot of sweepstakes out of that pipeline, but we're actually adding higher quality, bigger clients coming into it. So in terms of the pipeline, you know, I obviously alluded to it, but yeah, it remains very strong and growing nicely.

And also one question on the migration from the Alira platform. I think it sounds like it's on track. Anything that is not going as planned or is it just, have you started doing customers?

No, no, no. Spain CoreX is in production. It'll be with the regulator in Q4. So now it's all going to plan. And then obviously, as the migrations unfold in Q1 and Q2 next year, then you'll start to see the decommissioning of the platform And so by, you know, the end of 26 into 27, we'll be realizing quite significant synergies. And obviously, at the same time, the new clients who are transitioning from that legacy platform onto our new platform, you know, we expect to be able to compete a lot more aggressively and drive higher revenue for us.

And also, it was the last one here, maybe I think you talked a bit about the business, but maybe it would be worth mentioning again. I mean, you mentioned investments, capital needed to invest with larger clients. Can you talk a bit about that again?

I'll talk you through a few that's happened over the last 12 months. We were told we won a big partnership in a very exciting country, but they wanted a capital contribution of at least $5 million. We didn't have $5 million, and so unfortunately we weren't able to do that deal. And, you know, there has been other deals in other markets where, again, they've asked for a relatively small contribution, you know, one to two million dollars injection to take equity. And then as part of that, become the technology provider partner. But obviously, that would have enabled us to get better economics in the deal. And actually, you know, that deal, the person that did do that deal, they made 20 times, I think, on their equity investment. You know, there are these opportunities and now, you know, we just, we can be at the table. I'm not saying we're going to do lots of them, but they're out there. They're done by a lot of our bigger competitors. A couple of our big competitors do this on a regular basis and it's really transformed their business. So I think we've been approached historically over the last 12 months. So just by having that optionality on our balance sheet, you know, gives us the opportunity to potentially look to execute on these deals.

All right. I think we'll have the last question there. And yeah, looking forward to hear you about launching this new tier one clients and also utilize your strong balance sheet. Thank you.

Thank you very much. Thank you.