In Q1 2025, Better Collective reported revenue of €83 million, in line with expectations. Recurring revenue reached €49 million, while EBITDA before special items came in at €22 million, corresponding to a 27% margin. The company’s cost efficiency program remains on track, contributing to improved operational discipline.
The full-year financial guidance for 2025 remains unchanged. Better Collective continues to observe positive developments in the Brazilian market following the regulatory changes introduced on January 1, 2025. Momentum is expected to build further as the sports season gains pace in Q2.
Additionally, Better Collective has initiated a new share buyback program of up to €10 million.
Full-Year 2025 Guidance (Unchanged):
- Revenue: €320–350 million
- EBITDA before special items: €100–120 million
- Free cash flow: €55–75 million
- Net debt to EBITDA: Below 3x
Jesper Søgaard, Co-founder & Co-CEO, comments:
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.
Highlights Q1, 2025:
The financial guidance for the full year 2025 remains unchanged. Revenue declined by 13% to 83 mEUR, with organic growth down 18%. The performance was in line with expectations. This was driven by five main factors:
- The Brazilian business delivered 10 mEUR in revenue during Q1. The regulatory developments in the Brazilian market impacted revenue and EBITDA with 7 mEUR compared to Q1 2024.
- The comparisons from last year’s state launch in North Carolina created a 5 mEUR headwind.
- The previously communicated decrease in activity from US partners impacted the quarter negatively with approximately 5 mEUR
- Growth in other business areas, including full effect from acquisitions and positive exchange rate (USD) had net positive revenue impact of 7 mEUR
- The sports win margin impacted revenue and EBITDA negatively by 2.4 mEUR.
