Raketech has reported a 53.8% year-on-year (YoY) revenue decline to €7.8m in Q2 2025, with the affiliate’s share price sliding 7% in trading this morning, 23 July.
The affiliate also saw adjusted EBITDA slump 51.9% YoY to €2.1m, having stood at €4.4m the year prior.
The performance has seen the group’s shares hit SEK2.74 this morning. The stock is down more than 36% in the year-to-date.
Q2 2024’s operating loss of €8.9m shrunk to a loss of €315,000 in the reporting period, with adjusted operating profit of €1.6m in Q2 2024 now a €194,000 operating loss, falling 112%.
Breaking revenue down by vertical, affiliation marketing declined 24.9% YoY to €5.7m, while sub-affiliation saw an even bigger decline of 76% YoY from €8.2m to €2m.
The firm’s betting tips and subscription arm suffered an 89% YoY fall in revenue to €122,000.
Raketech said it had divested its non-core US tipster and subscription assets during the quarter, with the transaction closing at the end of June – it had had a negative EBITDA impact of €500,000 in Q2.
The affiliate noted the sale should result in improved profitability going forward, with monthly cost savings of approximately €150,000.
On a geographical basis, revenue from the Nordics declined 36% YoY to €4.5m while revenue from the rest of Europe dropped 65.3% YoY to €398,000 and revenue from the US slumped 66.9% YoY to €474,000.
Rest of the world revenue for the period between April to June fell 67% YoY to €2.5m.
In further slides, new depositing customers slumped to 15,867 from 49,500 the year prior – a 67.9% YoY decline.
Raketech also reported its H1 figures, with revenue down 51% YoY to €17.6m and adjusted EBITDA slipping 52% to €4.5m.
Commenting on the performance, CEO Johan Svensson said: “In Q2, we continued to make progress on both our platform-first strategy and efforts to streamline our organisation.
“While revenues declined year on year, this was primarily driven by two specific areas: the Casumba assets and the paid publisher segment within sub affiliation, which together accounted for a vast majority of the drop combined with the divested US advisory business.
“Overall market conditions for Casumba continued to be challenging during the quarter, and recent structural changes in Google’s advertising ecosystem, as highlighted in Q1, have further increased the difficulty of scaling paid traffic across the industry.
“Our core strategy however is delivering results, driven by our entrepreneurial partnership model, affiliation marketing, excluding Casumba, grew 5% quarter-over-quarter.
“Sub affiliation, excluding paid, remained stable, with growing momentum in exclusive commercial operator agreements and a promising pipeline of revenue-generating organic publishers.
“Furthermore, we successfully divested our non-core US tipster and subscription assets, which is expected to result in improved profitability going forward.”
The post Raketech revenue slides 54% in Q2 resulting in share price slip first appeared on EGR Intel.
Malta-based affiliate reports Q2 revenue decline to €7.8m, as well as an adjusted EBITDA fall of 52%, while share price suffers
The post Raketech revenue slides 54% in Q2 resulting in share price slip first appeared on EGR Intel.