Key points:
- Inspired Entertainment has posted a $60.4m revenue figure for Q1 2025
- This figure represents a fall of 3% year-on-year
- Net loss was reduced to $0.1m, with adjusted EBITDA also rising by 19%
Supplier Inspired Entertainment has posted a Q1 2025 revenue figure of $60.4m – down by 3% year-on-year and paired with an adjusted net loss of $2.8m.
This negative downturn in quarterly revenue has come alongside a notable jump of 75% year-on-year in adjusted EBITDA from its interactive segment. Overall adjusted EBITDA was up 19% in comparison to results from the first quarter of the year prior, settling at $18.4m.
Full Q1 results
A number of falls in company sector revenues year-on-year contributed to the slight decline of 3% in the overall revenue figure for Inspired. By sector, the supplier’s most lucrative business segment with regard to revenue was gaming, which generated $21.7m during Q1, down by 6% year-on-year. Following closely behind was leisure revenues, which amounted to $17.9m, a fall of 4% in comparison to results from Q1 2024.
The only business sector that experienced revenue growth was Inspired’s interactive department, which saw a notable uptick of 49% year-on-year to $12.1m. However, this upswing has not been enough to offset the revenue decline of 30% posted by Inspired’s virtual sports department, settling at $8.7m.
Overall, company net loss was reduced by $6.3m when compared to the figure posted last Q1 – resting at a loss of $0.1m during the first quarter of 2025. Elsewhere, operating income (loss) also dropped from a profit of $1.6m during Q1 2024 to a loss of $2.1m in the quarter just passed. This fall was, however, juxtaposed by an 18% year-on-year rise in adjusted EBITDA.
Q1 highlights
It was a busy initial quarter for Inspired, who drew an enhanced focus on the UK market during the quarter, launching into the year by unveiling its Hybrid Dealer Roulette product in the UK via a partnership with bet365 in January. Shortly after, the supplier announced the launch of a new slot game in collaboration with Caesars Entertainment.
Back in the UK market, in February, Inspired extended its pre-existing deal with Moto Hospitality for an additional five years. More recently, in March, the supplier sought to expand its UK outreach further via a new collaborative deal drawn up with Ivy Casino.
Good to know: During Q1, Inspired Entertainment also posted its FY 2024 results, highlighting a revenue of $297.1m, up 2% year-on-year
CEOs comments
Speaking on these latest results, Inspired Entertainment Executive Chairman Lorne Weil said: “We are pleased to report a strong start to 2025, reflecting the continued momentum across our diversified business segments. Our Interactive segment continues to be a standout performer, with revenue increasing by 49% year-over-year, driven by robust growth in the UK and North America. Interactive adjusted EBITDA grew 75% as the adjusted EBITDA margin expanded approximately 1,000 basis points versus prior year to 64%, showcasing the scalability and efficiency of our digital operations.
“We are excited about the progress in our Hybrid Dealer rollout strategy, including the successful launch of new games and partnerships that position us well for continued future growth. In the Gaming segment, we achieved a solid performance with an increase in adjusted EBITDA compared to last year driven by new terminal deployments in Greece and the UK as well as enhanced efficiency and profitability through our operational initiatives executed in the back half of 2024. The installation of new Vantage cabinets in partnership with William Hill has been completed, driving high single-digit year-on-year growth and setting a strong foundation for the rest of the year.”
