The US-based GAN, which supplies internet gambling software predominantly to the land-based casino industry, has seen a decrease in total revenue in its first quarter of 2025.
The company released the financial results on May 9, with both total revenue, B2B segment revenue, and B2B Gross Operator Revenue all seeing decreases.
“Total revenue of $29.4 million decreased 4%, primarily attributable to a decrease in the B2B segment,” the report states.
The B2B segment revenue was $5.1 million in Q1 of 2025 versus $12.3 million in the first quarter of 2024. This is said to be “primarily attributable to the expiration of a multistate B2B commercial contract.”
This reasoning was given for the drop in B2B Gross Operator Revenue too, which this year totaled $144.6 million. In the previous year’s quarter, this was $632.0 million. Again, the expiration of a multistate B2B commercial contract was listed.
The Net Loss was $6.8 million versus the $4.2 million that was seen previously, with this been related to the lower B2B revenues although this was partly offset by higher B2C segment contribution and lower operating expenses.
GAN sees rise in B2C customer activity in Latin America and Europe
It didn’t all decrease, though, as the number of B2C Active Customers increased due to higher customer activity in Latin America and Europe. This saw the B2C Segment Revenue go from $18.3 million last year to $24.3 million this year.
Seamus McGill, GAN’s Chief Executive Officer, said, “I’m pleased with the continued progress during the first quarter as we continue to execute on our business plan while refining our cost structure.
“Our B2C results were particularly strong and underscore the strength of our market position in European and Latin American markets.
“We are nearing the conclusion of the regulatory requirements to close our merger with Sega Sammy, which we expect to be successfully completed in the second quarter of 2025.”
The operating expenses of the company went from $24.6 million to $23.7 million, with this being linked to the company’s overall reduction of compensation costs and reduced headcount due to ongoing cost saving initiatives.
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