Better Collective’s Q1 2025 revenue dropped 13 percent year-on-year to €83 million, with organic growth down 18 percent. Regulatory changes in Brazil and a slower US market were key factors behind the decline.
Revenue decline amid market shifts
In the first quarter of 2025, of €83 million, marking a 13 percent fall compared to the same period last year. Organic growth slipped by 18 percent, largely due to external challenges in key markets such as Brazil and the United States.
Brazil’s transition to a regulated betting market negatively impacted revenue by €7 million, while a €5 million comparison effect from the North Carolina launch in Q1 2024 and reduced marketing spend from US partners added to the downturn. These combined effects created a €17 million shortfall.
EBITDA margin steady despite lower revenue
Despite the revenue drop, the group posted earnings before interest, taxes, depreciation, and amortisation (EBITDA) before special items of €22 million for the quarter, reflecting a 27 percent margin. The company reaffirmed its full-year guidance, projecting revenue between €320–€350 million and EBITDA of €100–€120 million for 2025.
Cost-saving measures introduced in October 2024 helped cushion the impact. Group costs declined by €5 million or 8 percent in Q1, with over €5 million saved through staff and operational reductions. The ongoing programme targets €50 million in annual savings.
Mixed performance across revenue streams
Recurring revenue declined by 8 percent year-on-year, primarily driven by a 13 percent fall in revenue share. However, CPM-based revenue grew 13 percent, supported by the early growth of Brazil’s digital advertising market and the February integration of 바카라maker Capital. 바카라maker contributed a €7 million boost to the group’s revenue.
Brazilian operations brought in €10 million in Q1 revenue. However, delayed payments under the country’s new regulatory regime negatively affected cash flow by €9 million.
Decline in customer acquisition
New depositing customers (NDCs) for the quarter stood at 316,000, down 30 percent year-on-year. The drop was mainly due to bonus restrictions in Brazil and slower acquisition rates. These factors impacted the group’s ability to grow its customer base during the quarter.
Organisational restructuring
Better Collective undertook a major operational restructuring during the quarter. Christian Kirk Rasmussen was appointed Co-CEO alongside Jesper Søgaard. The company also reorganised into three global business units: Publishing, Paid Media, and Esports. From Q2 2025 onwards, Esports will be reported as a separate business segment.
Søgaard, Co-founder & Co-CEO, said, “Overall, our Q1 results landed in line with our expectations. As we are now building the “New BC”, we are setting the stage for future growth by focusing on global scalability and streamlining our House of Brands. This marks the beginning of an exciting new chapter for Better Collective. Thanks to all my colleagues for your continued support as we continue navigating market changes.”
Outlook and recent highlights
Better Collective confirmed a €10 million share buyback in April 2025 and reported a digital audience reach of 450 million monthly visits worldwide.
These results follow a strong FY 2024 performance, where the company recorded €371 million in revenue and €113 million in EBITDA.
While facing short-term pressure in Brazil and the US, Better Collective continues to streamline operations and expand its reach across global markets. The group remains committed to delivering on its 2025 financial targets.
