€9M Revenue. 90% of 2026 Revenue Contracted – Can Richard Carter Turn GiG Software into a Scalable Platform Business?
GiG Software reported Q1 2026 revenue of €9.0m, broadly flat year-on-year, as the B2B iGaming supplier continued restructuring operations around its CoreX migration strategy, regulated market expansion and recurring revenue growth priorities.
Adjusted EBITDA fell 58% to €0.2m, while EBITDA margin narrowed to 2% from 4% a year earlier. Operating losses widened to €5.0m from €4.4m, reflecting restructuring costs, ongoing platform investment and implementation of AI-driven automation initiatives.
The quarter underlined the pressure facing mid-tier B2B suppliers attempting to balance product investment, regulatory expansion and profitability recovery in increasingly competitive regulated markets.
Cost Reduction Programme Becomes Critical to Margin Recovery
Management said a €4.5m annualised cost-saving programme implemented during Q1 will begin contributing from Q2 onwards. Measures included headcount reductions, operational streamlining and increased use of AI-supported automation tools.
The scale of the programme is significant relative to GiG’s current earnings profile. With adjusted EBITDA at just €0.2m for the quarter, execution of the restructuring plan will likely determine whether the company can achieve its full-year EBITDA guidance of €10m-€13m.
Full-time equivalent headcount fell to 348 employees from 404 a year earlier.
Liquidity remains an area investors will continue monitoring closely. Net cash outflow reached €4.3m during the quarter, while cash reserves declined to €5.4m from €9.9m at the end of 2025. GiG subsequently secured a revolving credit facility of up to €3m to strengthen short-term balance sheet flexibility.
Recurring Revenue Growth Offsets Decline in Setup Fees
While total revenue declined 2% year-on-year, GiG said revenue excluding one-off setup fees increased 9% to €8.6m.
The shift highlights an increasingly important transition within the company’s revenue mix. Like many B2B technology suppliers, GiG is attempting to reduce dependence on implementation-related income in favour of more predictable recurring platform revenue.
That transition should improve long-term revenue visibility and contract quality, although it also pressures near-term margins because setup fees historically carried higher profitability characteristics.
GiG additionally reported a €0.3m revenue impact from weakness in the Argentine peso during the quarter.
CoreX Migration Strategy Expands Existing Client Economics
GiG continues migrating operators from its legacy Alira platform onto CoreX as part of a broader effort to simplify operations and reduce duplication across its technology stack.
The migration strategy is designed to increase wallet share within existing operator accounts through sportsbook integrations, market expansion and product upsells, reducing reliance on new client acquisition.
During Q1, the company signed a platform and sportsbook migration agreement with Jupiter Gaming in the UK, alongside three product upsells in Spain tied to existing customer migrations onto CoreX.
The UK agreement comes as higher remote gaming duties introduced in April increase consolidation pressure across the market. Suppliers with scalable compliance infrastructure and established market certification are expected to benefit as smaller operators face rising operating costs.
Spain also remains strategically important for GiG, with management stating that partners collectively account for an estimated 9% market share in the regulated market.
Alberta Expansion Strengthens North American Positioning
Under Richard Carter, GiG is positioning Alberta as one of its primary expansion opportunities for 2026 following regulatory approval to provide services in the province. The company has already signed LuckyDays ahead of the market’s expected July launch.
Management said the Alberta rollout will increase GiG’s regulated and locally certified footprint to 32 markets globally.
For suppliers already active in Ontario, Alberta represents one of the few near-term regulated expansion opportunities currently available in North America. Early supplier positioning could become valuable if Alberta develops along lines similar to Ontario’s multi-operator market.
GiG currently operates with four partners in Ontario and said two additional launches are imminent.
Guidance Depends on H2 Execution Acceleration
GiG reiterated full-year guidance of:
- €44m-€48m revenue
- €10m-€13m adjusted EBITDA
- EBITDA margin above 20%
The outlook assumes successful delivery of the €4.5m cost-saving programme, 12-14 brand launches during 2026, accelerating second-half revenue growth and continued progress migrating clients onto CoreX. Approximately 90% of projected 2026 revenue is already under contract, according to management.
With Q1 adjusted EBITDA at €0.2m, the company will require a significant acceleration in second-half profitability to reach its full-year target range.
The key challenge now is execution. GiG must convert launches, migrations and regulated-market expansion into sustained EBITDA recovery and improved cash generation if it is to meet full-year guidance.
Source: Gaming Innovation Group
