NorthStar Gaming: Strong Financial Performance in Q2 2025

NorthStar Gaming Holdings Inc. (TSXV: BET, OTCQB: NSBBF), the parent company of NorthStar Bets, has reported robust financial results for the second quarter of 2025, demonstrating significant growth and operational efficiency.

Key Financial Highlights

• Q2 Revenue: C$8.5 million, a 15% increase from C$7.4 million in Q2 2024.

• Managed Services Revenue: C$0.9 million, up 125% year-over-year, reflecting the company's expanding service offerings. 

• Gross Margin: C$3.5 million, a 25% increase from C$2.8 million in Q2 2024, with a gross margin percentage of 40.8%, up from 37.6% in the previous year. 

• Profit Before Marketing and Other Expenses: C$0.7 million, an 87% increase compared to C$0.4 million in Q2 2024. 

• Marketing Expenses: C$3.1 million, a 16% decrease from C$3.6 million in Q2 2024, representing 35.8% of revenue compared to 48.8% in the previous year. 

Strategic Initiatives and Market Expansion

NorthStar Gaming continues to focus on operational efficiency and expanding its market presence. The company has launched the "Summer of Spoils" marketing campaign, featuring "Exceptionally Canadian" branding to strengthen brand loyalty and player engagement. Additionally, NorthStar is exploring opportunities in new Canadian provinces, such as Alberta, as regulatory frameworks evolve.

Michael Moskowitz, Chair and CEO of NorthStar, commented:

“Our team maintained our pattern of solid year-over-year growth, led by managed services revenue more than doubling over the second quarter of last year. Operating leverage driven by continued growth of the business has led to gross margin continuing to outpace revenue growth, with Q2 2025 gross margin percentage reaching an all-time high of 40.8%, advancing our path to profitability.”