BRAG.TO - Earnings call transcript Q3 2022

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Operator

Good morning. My name is Audra and I will be your conference operator today. At this time, I would like to welcome everyone to the Bragg Gaming Group Third Quarter 2022 Earnings Conference Call. Today's conference is being recorded. All lines have been placed on mute to prevent any background noise. there a remarks, session. speakers' the will question-and-answer be After [Operator Instructions]. I At Strategy turn would the time, Officer. conference Chief to Spielberg, like this Yaniv over to Please go ahead.

Yaniv Spielberg

and our and Thank Executive Yaniv discuss I'm Officer, Kannor, colleague, who will hosting quarter Strategy Ronen Gaming who you morning, today's Operator. Bragg Chief XXXX comment everyone, Yaniv will for results. third I'll you, for conference Sherman, Good Spielberg, quarter joining CFO, on Chief Group. and third Officer call. call quarter earnings my performance; thank our our review be third alongside our

have this from you can our call, financial and we'll you Presentations for section follow presentation investors.bragg.games already at & call the review third in Bragg's earnings If XXXX. done results quarter of website called operating not On our the Media. so, Events QX under

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could these assurances can assumptions accurate or reasonable, While different. of many which expectations results, that company other we actual of company's or materially believe the these uncertainties no which any risks, performance to are assumptions a and number control of the be accurate. are be of factors, that There or and be cause the achievement they are outside prove to to subject estimates will these

discussion that turn refer to release With Yaniv I'd factors, complete our like behind disclosure. and a recently call press us, publicly Sherman. other of to our available to For filed the Yaniv? CEO, please these

Yaniv Sherman

Thanks, Yaniv. quarter XXXX us welcome Gaming CEO. Yaniv presentation. for Bragg everyone, morning, Good joining and to third our Sherman, results today. Thanks I'm

of up Moving profit straight revenues adjusted highlights for quarter. record XXXX. into of million the EBITDA some considerably €XX.X in Bragg gross all million, notable €X.X generated €XX.X and million, quarterly of

presented exiting represent also previous tech growth proprietary when a are against impressive edge. to and new business our into ones, competitive into our demonstrates business investment over continued comparable and percentages favorable the market specifically it the was year. content solidify These just the these of While our the and ahead German launching results

iGaming us for leading Bragg As growing content Czech in operational against diligently with which and execute with presentation. North American two We're differentiation launched brands, our our and highly new continue provide content-led entertainment platform with various growing I'll this secured gaming share global Netherlands, needed solution Exclusive in partners, the pressing operational rollout our and aiming the activities share the about enhancing recently business We've yet the our later plan. market. in deals and to more in BXB in the Republic, position were our commercial market, new market. development leading regulated with various existing turnkey footprint our in increase our the a we competitive in states game much new content to making market. activities, on while

like financial review. to our it for Ronen I'd hand Now, to off

Ronen Kannor

X. I'll Good Yaniv. everyone. begin my comments Slide you, on Thank morning,

performance Spin by Wild a X.XX% up and and games from growth games Netherlands, Streak quarter, revenue The in customer was its by to studio XX.X% up customer of total was for Bragg base. content the generated representing From €X.X The revenue year-over-year all-time onboarding record an quarter the U.S. from strong from to previous Third and the to customers billion existing the to particularly wagering existing prior the and offered organic game Bragg. new KPI revenue a the jurisdictions, and previous from up XX.X% mainly quarter. various year-over-year by base. million was Group's perspective, up €XX.X quarter in X.X%

As compared a which in to to year. content, salaries increased XX scale in convertible regulatory in increase slight by previous from of our development cost and Group in mainly and chart in was with cash period and basis change expand by we $X.X right-hand to with EBITDA gross Other from third-party profit capital costs quarter German the portfolio, on The product margins The XX%. €XX.X XX.X%, investments with to the primarily from costs. XX.X% the the iGaming seeing decrease quarter the with working of €XX.X revenue derived managed needs. million flow investment as mix since XX.X% margin a the control. and cash million, slight operations. adjusted onset focus software of the managed million the strategy of an services, margin part by reaching revenue subcontractors points is strengthen from Adjusted on the quarter, its the iGaming we in platform momentum changes to product game you of games can third-party a during change of wagering facility The sales high XXXX. services, margin the in gameplay have million, to the due to QX along of the result and see and margin of We EBITDA restrictions composition up reduction ended our and positive positive the of partially all from side, development debt the decline the completed highlights, €X.X same offset and have profit seen for studios, gross which no our has associated of was proprietary with

we is our From are growth range growth strong. perspective, XXXX full-year and low-double-digit least EBITDA for XXXX revenue guidance trading EBITDA in and guidance revenue adjusted initial full-year current at the of Our for XX%. expectations percentage and is adjusted reiterating

Now turning to Slide X.

has As operators year. I momentum mentioned with earlier, particularly been markets, us in entry in earlier our with strong. has into ramping the this and coupled Netherlands current the client the significant This, new wins, up exceptionally year, financial giving launched new

a XXXX During of Slide financial sales We're can from our from quarter and due profit in has and shift financial trajectory year targeting the first a X, launched efforts. X.X% have XXXX the by XXXX. been new legacy quarter performance margins the from mix. up target Wild XXXX, as X.X% and is pipeline, customers by XXXX grown grew rising of more Slide financial consistently in It underpinning by X, market profit gross that margin quarter, Bragg's note gross XXXX. see previous growing XXXX to driven product Revenue ongoing market. proprietary games. since from also business XX% you from in to quarter year revenue a new revenue an our and are focused Spin entry, QX our strong consistently the from and Dutch Streak Total revenue new as XX.X% important customers result of was of previous

improving trending are both is in third our the and the indicated gross year's of continued growth since scaling has product profit towards up last turnkey to and leading Product mix as this line We proprietary of right-hand It with quarter. mix profitability. in solutions, revenue on margins business side and our noticeably slide. movement changed PAM, content,

our were our As margins. a increase margins Please past, PAM, third-party note benefited Slide we XX, gross we're indicated profit our Dutch new On and amounted new to fees professional and some salaries expect since the performance customers. and solutions, a increase a strong total solutions, the maintain to QX as and limited to and product the time, and result declined total no to of goods since proportion which proprietary total targeted proportion in as that QX growth. content organic in Ultimately, revenue over revenue, employees, have resulting XXXX have the cost of product of line while to and from in PAM turnkey and its delivered highlighting revenues. and costs, growth. in jurisdictions, turnkey material future content with costs. IT, costs developing XXXX from leverage growth declined revenue. of XX.X%, revenue third-party in hosting measured are given All and XX.X% Bragg's Total and and Professional as it's to Group providers At with associated cost with X.X% invest legal QX to efforts XXXX targeted were of entering in games to costs. growing other amounted other expansion same have subcontractors scale U.S. the operating excluding costs technology, growth. costs a of continues future X.X% related Total hosting way. operational audit revenue margins, in a IT scale in to time we line mainly in services licensing,

operating and exceptional Slide June and nine in acquisitions management intangible senior of gap first to mainly and the to and following of financing, quarter third and June Spin as DSUs €X.X the Adjusted the in and costs million convertible by in a to quarter, amortization non-cash the to composed XXXX against for The were and Wild the debt an million. the transaction granted respectively. quarter were items. part amortization September awards with acquisitions. Wild XX. attributed payments, Share-based costs and was €X.X loss Streak acquisition XXXX new third Spin RSUs, EBITDA of driven Moving amounted XXXX, the increase Depreciation, and ended months Streak associated in

of see and working September debt ended XXXX, completed million the upon the beginning compared XX, the €X.X quarter to periods to a December in balance year. As million facility. was the €XX.X compared €XX €XX between XX, million the paid with from convertible acquisitions debt as million at consideration capital Spin a million €X.X €XX.X you'll the €X.X XXXX. cash net was of million on with of main Net of The the the Slide the million difference convertible offering proceeds we

months of investing We're investment completion that, new Yaniv. as We €X.X business receiving ended positive requires in the to the a also strategy technology. as convertible our activity, flow from call turn of while Games in Spin of million post perspective, a €X.X of continue flow operating the nine to cash we CapEx software With €XX.X little acquisition proceeds and technology. million a September and I'll From reminder, the million development generated cash facility. our from XXXX, project of part operations, related free back to the

Yaniv Sherman

Ronen. Thanks,

XX. our on Moving update into operational Slide

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and and as in constituency. enhance safe latest in several Ontario iGaming. encouraged its Illinois it enact to the betting demonstrated healthy and legislation the players licensing continues ensure We by regulation its discussion serve to state and are a regulated in iGaming also firmly the sports the We it experience develop We're of states market market around believe has We Indiana, potential XXXX. will to recently like roll-out. indicators earlier this regulated looking further our presence both during

we a like the micro and XX, in few questions. in volatile I’d a Slide summarize for We're the leave points marking you key to growth environment another Lastly, before open competitive with landscape. on quarter floor

meet on Now and roll-out content-led Europe. North adjusted company successes track EBITDA guidance. focused one executing recent gaming we leverage to our our in America Bragg We're on XXXX our our against effort is strategy which revenue while

aiming to your is into be revenue and I thank Board to take and meet support their goals. happy initial now. deliver at account XXXX, low-double-digit taking and members you team Looking margin growth XXXX, and our our strong tech We'll our into content for in questions giving for We're to EBITDA Bragg's wanted and long-term to to Bragg adjusted time. expectation ongoing shareholders, least performance revenue XX% development ongoing our respectively. investment into

Operator

at you. go Thank I Securities. go apologize. [Operator first. Gianluca We'll to first Instructions]. We'll Haywood Tucci

Gianluca Tucci

is can in and growth wondering there the Is your guys? U.S. Hey, you quarter. if speak outperforming things jurisdiction and shaking there that early secondly in on witnessed a are to how in congrats others the for just out I good days morning, market QX. was organic good guys, you the

Yaniv Sherman

Yes, Gianluca Tucci, I'll it's on Yaniv. Thanks. comment both.

relatively board First of apparent, growth it's growth market but a markets so new but are good of more well. also Dutch as our us, and are good the dominant all we organic healthy in we for seeing player in indexes one we're over terms the seeing naturally as there growth in across other is growth market that

U.S. market the some also operators initial content games by are same we've signs way doing early recently a American showing the to of the games top well. We've deployed Europe Michigan, far in deployed three suite market, new the out on. looking demonstrates in five leverage and As the performance North in the and of good as we're signs they're that

existing And this games looking So, considerably so that is to performing in far we've initial been the very the we're new well some initial the signs focused content. of ramp against overindexing cases rollout next up into year. are incumbents. their But of competition undergoing, on

Gianluca Tucci

Okay. from you World overseas terms your QX have here being of our That's this relationships great. are a happening that compared sportsbook, in and the margin end high side for to the product of the how casino in in just that positioned Cup and Atlantic? guys lastly Thanks. when And our on year, operator you

Yaniv Sherman

prone it's That's the an is the time that is Cup typically that's interesting. traditionally we've in with it's -- also over seen be case summer acquisition typically good Well, strong. it'll first coincide more event in good question. QX. is a World so the then cross-sale this This a an which is next event which monetized It's seasonality, year, QX, into leading because into

some of up. in the overseas We've the timing. Fuze great as of As offer player tool are leading them geared the far with our now engagement We operators deployed our successful sportsbook and is market connected in concerned, products sportsbook. have Europe relationships, PAM very we're over some

on create will operators some offer engagement events we and -- sports effect live and hope the through proposition. the And a of long player that tournaments the So can lasting that casino.

ready. marketing they've typically great started push excited overseas. have are everyone hope on through the prepared, content But quarter market short, So is will is the by very focusing and season already tournament mostly betting deployment we're And stack five In their partners six I less U.S. the soccer our well in tech holiday the -- a in the into apparent event. number pattern, we're there. or and

have effect I across think a lesser that'll So the Atlantic.

Operator

move next We'll Dilawari Sid to Securities. at Cormark

Sid Dilawari

guys, taking All on question thanks and great my a right, congrats for quarter.

Ontario. in you live the and quarter, during Connecticut So went

up the markets wanted markets so how on Just serve? against in And you just these performance all currently general, these far, of thoughts of in to your do two how your markets was versus stack your expectations? get other European sort

Yaniv Sherman

Hi, thanks.

two So different very markets. these are

the of Spin and us Streak Wild put acquisition and -- all Spin the really states. the content The acquisition available is gaming First all, in front key was center. already content

So it's serves that as content growth the predominantly introducing a new into driver. states

actually of licensing total out Ontario, a of is the still just Connecticut you see of because As the early days it's both own sort very duopoly, regime, of signs believe that a to Ontario, or not performance enforcement. is into behave in more Connecticut high the operators just reregulated a rolling initial fair Ontario it addressable and They per market's its it's has from demonstrate growth competitive. capita, but into -- market. on far new a also deep say Connecticut some and differently. It's the market. not there, stepping as very we lot way. can leaning but their it's and

into of will So into or Again, games these the of accelerated games year. small growth probably forces Ontario. deployed small batch group two was next see

performance, we're numbers. it's pleased their far game but a so also And with of

the up pace. So looking to we'll be ramp

It's we're are central from actually and Europe one separates these Indigo the creating behind are developing next. a extent, But or on looking leveraging that approach But different in well logic content models content we're games them all managed start separate the the to game and math that by developed the market European more across to development the main lesser as reason production games with studios. some that of organization. different for North be precisely content ones of analytic Part -- the markets and that and only towards. that's like and focused of the crowds, not this American and reason. that versus in-house players are some year the very the will the Magic U.S., far pond -- I Oryx As an European into only different believe studios the has translate

great over-indexed overall, now Central Some we we're in there's on of between distinction a North European data Even the development. Northern deal develop Europe, But to to Europe, content that the translating focus of clear the game to markets. focus bespoke markets, some different leverage and looking Europe, territories. European and Western inside and of games a American Europe, is then have

investments science initial lot So going very are suite pleased games we're the -- but a and for it. into with again new of content the is

Sid Dilawari

market gains That's to great. then market on a to the were Initially some that very share we you That's follow-up an back. annual sequential a helpful. just quick little to basis. as up for personally guys expected slow Okay. here, and And expected bit sort on operators exited down enter of continue Netherlands put that a initially the good market the of

some been now the you pressures to just quarters seeing in the your competitive market since that growth any three went light, see are you market gain share maybe? the down of where slow sort it's next in So market time

Yaniv Sherman

great question. a That's

of much reregulation are reopened and a was very market that the is I think seeing stretched we sort that typical its catapult limits. of what to

of a lot was market. demand the there pent-up So in

when there you're pressures launch, dominant are But back what market that competitive re-launched grow were on have brands brands I in other think incumbents the they market. there first. like the also seeing that the local is of

product partners continues create So Having identities. the the our the to say grow. have operators, the to the effective market grow, have that been said technology continues to brand I in and very pie that, in separate to customizing market total

we with grow I defend helps think So and for also but compete different player and has angle that very brands the brands, of philosophy to market them each that marketing their power other one shares. base,

taking launched also we've the platform are good momentum. recently showing our partners the the we reason initial and grown very brands our believe we So growth That's why into nicely. competitors. overall, seen are And on existing share market we've from that have

naturally of scale I for overall But and think because offer flexibility again something assets. each when the it's at also it's to to BXB to that differentiate market get a the biggest be partners testimony have we point with different, also different share growth would scale you its you to point and from market naturally, subside. operators the the some the one to important perspective. it But will can able see own matters a want very as

Sid Dilawari

right. All

Okay. just And then one last sorry, -- one for me.

Just on early the -- some your spending still general too operators about that the customer's discretionary in all to the macroeconomic that? of activity seeing on trends, are say iGaming pullback and anything at you impact feel of or to of starting the wagering your

Yaniv Sherman

it's initial also players, very say as from but are focused, on towards iGaming in, on is we're side, mentioned solely or much casino their operators we bit are also margin iGaming the span much either presentation, is back end because or we're to BXB as the I shift and would higher I think products. even actually the our the on opting early very But is BXB. marketing we seeing focused scale shift a what the that or

more but have the service us. should it So on we the we're that we're right addressable it in on sort markets. near will of effect, from the lucrative an that that twice discretionary Naturally, removed regard. focused if and mid-term well-positioned subsides income actually shift worldwide, now, We're see sense

at say point. would susceptible to this we're that I So less it

Operator

to Maxim Aarde at Vander Group. next go Jack Well

Jack Vander Aarde

growth on are outlook. you outlook initial puts see, walk morning, guys. That's Can in Yaniv, as drivers even Congrats solid margins and your adjusted your maybe baked to at relative revenue Maybe the Good potential what's XXXX takes the key Great. and XX%. strong further here? and least low-double-digit through What results us Okay. XXXX, for of positive. just upside to for very initial EBITDA good the plan?

Yaniv Sherman

thanks. Yes, Sure.

So we get again, to it's we guidance hone in. to go able closer our as initial XXXX, be we'll mentioned, as

continue. looking mean strong quite as the business Our is simple. the there, the that one. pre-regulated repositioned business And XX naturally we're moving guidance it still to strong period but no testimony to also the a good. tech, -- has -- Again, we've it's idea more through and rationale over no sort forecasting so one continuing -- mostly a we're I the content that a to done was parts a so trivial expansion margin and regulated to a itself XXXX the and The of task. cost facing growth we've behind leverage of months done but I at few again from had team is it's not period and expand year for through a while that into has exclusive mentioned proprietary naturally trend performance, proprietary

those So we're take said, games focused we there, stable need upside. more time But I what We're details of performing. very and it's that some content on. in as growing that XXX% starts of that's good we're does the but seeing -- and in titles initial much signs, the and devil's

But are expand to sort strategy we we to margins do. up process our expected also the thought so that rather We'd main we we this something the and in that's So is consistent that pretty consistent and see accelerate, those a ramp accelerate to want of lean long-term can content we're make sure message trend than faster. into that that a -- are conscious are that is And production, approach. erratic we even one.

prefer would that. think I everyone

Jack Vander Aarde

remind color. and Dragon helpful of plan new you how you of upcoming follow-up And to are things just titles? That's some just popular Can rollout have development? your under successful remind to those that, sure you us then games changed. of new games or successful games helpful. you content many as these expect Can to many That's Maybe strategy. other still a I'm just us how Egyptian do Magic, be any a if to follow-up your as Power, -- not Great. your

Yaniv Sherman

Yes.

looking that Sammy games a couple. a They're mind. state dozens the we're incredible proprietary few just to a and We're Interactive’s to or being effect, can exclusive technologies through just plan proprietary to a the least we're period team's those The players job stages, First XX We are deals focus sticky level from it up. content very don't of and the now time. developing of content thought we effect. of past Sega looking Nevada accelerate. of that weeks, are resonates have signed main and in deep next again content. I long year's titles testimony wanted recent creating in and content the and roadmap. the operators release market. on developing behind worked Doug and in rollout Right larger couple a we've from ability top The mean of an to name into to into of Bally’s at a our I final Creation, and create quality all say that over still also of also a amazing plan, games reason worked ramp it strategy. few is well the all, the them. exactly what number with being the time done an we're again a the XX continuous That's Fallon to deploy looking tier over his bolster roadmaps content There's those at dump to into team create

over So produce level. quantity. the there that's We're the depth the games and We in believe hundreds going than quality to of rather next not year.

looking -- development the these of scale XX the months next sort XX share months. there. are produce of are we're weeks. those of But to over to that roadmap So That will more next numbers sort shape over we takes the few just and accurate

Jack Vander Aarde

get ramp else in one I expansion near-term of just opportunity of because if great these provides U.S. markets? question growth Ohio just do be a this. see well. Maybe ask market strategy, your illustration pretty in could specifically to Where terms the supposed XX U.S. of thoughts more a on you as that's Slide and And outside launch your big

Yaniv Sherman

Well, these now, are are states. these -- right only sports

So or focused to-date. we happened right But which legislation to probably big existing that all or any do that. smaller and -- turnkey content of one, of for good progressive or a discussions the states sort states. considering states for one a mentioned any that now through one are I see states the whether hasn't basis. not adds see some its first state The state like sort element, that will today do we're of addressable I've that full and have the the Iowa to suite enacted iGaming casino, relevant, that some to if case-by-case basically matter market. And legalized double Sportsbetting is these very state second add by a which states in are the right a iGaming we're it's -- even think iGaming Iowa on looking on and the are to full so -- more you effect some and a net now solution, about we or like it's positive launch Illinois that we're that

versus So I Sportsbetting I XX upside, states mean, think that's tool six the gaming apparent states.

potential the runway that see while. can You a it being there, very been in we're cautious but has because

we're So or top these four state addressing states. additional three just Any there.

The into games because our technology perspective province as additional certification. pure other to there. going is there, any partners distributing upside already Just will build be is be from mainly states requires Canadian

that a in mostly new opens. once market gearing So that it's that kicks effect

Operator

next go to We'll Edward Engel at Instructions]. ROTH [Operator Capital.

Edward Engel

an Hi, what Congrats any review nice thanks the a question. time I on were together and give taking had got quarter combined from the kind from some color everyone the where the Could you for reviewed you If the strategy. of of and takeaways process? on of business recall during results. first my that offsite set

Yaniv Sherman

first naturally Sure. re-honing basically the of intensive team the very time or quarter. We sort workshop, in Slovenia the Hi, strategy. recalibrating earlier Ed. through for had business' the together a ran Yes. got two-day

with hand think in what task -- is. we out a we of the came what clear understanding very I

and content or content channels, the prerogative of capabilities. using into player to you have variety proposition the PAM streamlined whether cohesive ability directly And through translated through it. or or mentioned, structure powering management see behind a business our a unified company system the our proprietary a also and content through deliver strategy aggregation I is our account the led now again we one, As strategy a

content, will in So accelerate how differentiator. with key that end but can we our the bolster as or of a serves our I markets, at to success a of think of means we partners? have a it's variety or deploy proprietary matter all the deliver various much channels it the content day,

action was very I execute behind both after meet always -- getting a that's to it. as very is behind great and but is this items, that team a long excited that was exercise. growth a result a It's And on I very in united building of challenge. great it. in today team always time. mentioned other But was also team I So the rapid variety main a today decisions strategy then much mean, gist. But it think naturally the the a to such in in-person is much and environment

Edward Engel

question Great. a Appreciate does guidance. The then, of the a full-year the quarter that kind dip fourth quick guidance XXXX it. sequentially. implies bit just on And

is kind curious, in Just lightest of of terms kind kind I'm what of quarter the mean I in for of XQ wondering driver of seasonality terms is. seasonality, customers? just typically the

Yaniv Sherman

for months summer a why another -- past current hit We the may all range. trading months point. that hiatus. We've we summer warrant unusual feel just to the of be used at events of that it. this guidance with world -- it's sort and behind trading over our and update. year's again, we're saw that some first of upper the range updated strong the we during I year. at also material parts moving already of but forecast this lot expecting Seasonality typically funny material -- then it the We People be seasonality, the they're deviations. are couldn't And moving -- COVID these were when reason don't think giving higher, It's World don't all growth accurately seasonal another sorts didn't a there'll Well, dip. seen aggressive think just -- target I slightly with quarter, this but be But to two once traveling. see effect is focus of a there's Cup But we way years. the do sports or we've this these we

Edward Engel

just I Perfect. flat. Thanks. revenue pretty in could I were quarter-over-quarter at a And everything kind Gross kind margins less but the your of side. squeeze was generally down if segment one of cost or bit, look more

kind wondering your that Or kind what year XQ, of of in is dampen happened kind of typically sequential that? seasonally, XQ of every dip event that one-time wondering of Just just that from? is of kind kind kind

Yaniv Sherman

Yes. Ronen Sure. this one. take let the Happy. I'll

Ronen Kannor

Ed. Hi, How you're doing? Good morning.

gross the So at from is quarter-to-quarter. we keep basis course, I think a are best on way the look the quarterly profit of growth that trying one to to

revenue and with customers, quarter. the the gross was revenue Having and IFRS, compared with that selling, You're XX%. we flat sometime remained pure are revenue we it's said the and about buying by accounting are did a I recognition movement. suppliers quarter, it right. to This have percentages profit previous of particular couple -- we're deal aggregation, to dealing we recognition with dealing you call

going you at we best the it, at back QX is look best QX, at we XX%-ish, think -- in QX of to go look year-to-date. to normalized to I we the that look have our I the average and that XX% way mean, course, probably the to to from rate way

So same period last XX%. year, was

to earlier. content increasing. numbers. rollout happened and are particular margins have a see the this see beginning will from we're of charge to number, profit suppliers -- a happen. when something, when to gross our the confident heading be true-up, we It I'll one XX%-ish don't XX%-ish, not to accounting the say next are release not we realize just particular that quarter It's I going more I do to going we always we the we hitting we which think have from to are U.S. we going is it's we them it's mostly there's That's profits we adjustment, think we're those But XX%. to in are -- that might going and but XX.X%, around it's Now go questions movement proprietary back quarter another. XXXX to towards quarter it, the analyze later, that, we gross we

So I'm less concerned about that.

Edward Engel

kind the year I kind OpEx. or quarters. in then here. guidance have terms or of decent I operating stable been your one can with core your a in really in to we XXXX, Thanks. uptick OpEx a guess of content is And of should two that or sort costs last read fixed or look guidance If past ramp if some due sometime operating just costs kind in not? -- guess how one, for The squeeze it the Perfect. uptick core I of of implies in during I hiring at

Ronen Kannor

markets best OpEx more look team keep have as We that markets, mentioned -- and proper the our product regulated we in compliance, moving ramping to development sales we keep from can pre-regulated way we course, up. think to is the we we before investing. So Yaniv I of

when percentage So that we content more going going to see from we're our I cost percent be generate, of going fully U.S., up from to to scaling what proprietary perspective. see think -- operational the is in will revenue our the content, course, we're with this

we a our doing it's the be have between can how we it's will first -- see gap say a do overheads, our revenue on ROI then content focused technology see that down to couple nominal Also, from the remember say from investment control. analysis we're always single -- you the return. any in necessarily particular derived period not to in and will that we value. at very cost on rate I or wise, But building the scaling our we business. percentage every doing -- We're definitely, it's are capitalization So the up and cost very, need we're when to scaling trying of to lag we we're months when just period, we're how think all and looking inside; a the investment later starting that

and further XXXX, In seeing That's will going start other in scaling cost other in I see think the revenue words, we're decline I to will cost So will as words, our from we're we there. and see wise what increasing trend. even we're In think deliver the that. margins. margins. percentage we that a That's will

Operator

time, And question-and-answer session. to to I'd that management conclude this our does the any remarks. for like call back At concluding turn

Yaniv Spielberg

your rest all, was call. day. all Thank you the for great and everyone we'll of our on call. Enjoy next you, joining see the It you having

Operator

And participation. for today's conference call. concludes that you your Thank

You disconnect. now may

Bragg Gaming (BRAG) 10 Nov 222022 Q3 Earnings call transcript