GiG Software PLC reported a 5.4% year-over-year decline in Q2 2026 revenue to €8.8 million, alongside a narrowing adjusted EBITDA of €0.8 million, as the company intensified cost-cutting measures and restructured operations. The interim results, published on August 26, 2026, reflected a €3.0 million bad debt provision stemming from the insolvency of Richmond Atlantic, a partner in its white-label operations.
The company implemented over €10 million in annualized cost savings, with the full impact visible from Q2 2026 onward. Operating expenditures fell 3.2% year-over-year to €31.4 million in the trailing 12 months, driven by a 6% reduction in gross cash operating expenses to €10.4 million. Personnel costs declined by €0.9 million, or 3.8%, while operational cash flow improved by €0.5 million quarter-over-quarter. GiG also exited unprofitable markets, including the U.S., the Philippines, and white-label businesses.
GiG’s strategic focus on Africa gained clarity through the €16.4 million acquisition of an 80% stake in 888AFRICA, which added approximately $50 million in annualized net gaming revenue. The asset contributed €14.8 million in quarterly net gaming revenue in Q2 2026, up 32% from €11.3 million in Q4 2025, alongside a 77% surge in gross profit to €6.2 million. Adjusted EBITDA for 888AFRICA swung from a loss of €2.2 million in Q4 2025 to a positive €1.1 million in Q2 2026. The business reported 800,000 monthly active users and 200,000 daily active users, with 6 million first-time depositors since Q4 2022.
Cash reserves declined to €3.5 million as of June 30, 2026, from €9.9 million at year-end 2025, reflecting the acquisition and restructuring outflows. Underlying recurring revenue growth, excluding non-recurring items, accelerated 14% year-over-year, while sportsbook performance rose 6%. The company launched nine new brands in Q2, bringing the year-to-date total to 13, exceeding full-year guidance. GiG reduced its full-time workforce by 25% since January 1, 2026.
Management outlined updated guidance for full-year 2026, incorporating 888AFRICA, projecting revenue of €44 million to €48 million and adjusted EBITDA of €5 million to €7 million. For 2027, standalone GiG (excluding 888AFRICA) is expected to generate €36 million to €37 million in revenue and €8 million to €9 million in adjusted EBITDA, with €3 million to €4 million in cash flow. The combined group is forecast to reach €85 million to €90 million in revenue and €18 million to €20 million in adjusted EBITDA in 2027, supported by a projected 14% compound annual growth rate in Africa’s addressable market from 2025 to 2030.
Shares of GiG fell 17.68% to $1.42 following the presentation, extending a decline from a 52-week high of $6.61. CEO Richard Carter emphasized the company’s progress in cost management and operational efficiency, stating that the €10 million-plus in annualized savings would support a leaner, cash-generative core positioned for sustainable growth in 2027.
