ZEAL Network has reported double-digit year-on-year (YoY) growth in revenue and EBITDA for the first six months of 2025, on the back of an increase in gross margin and monthly active users (MAUs).
Revenue for the Hamburg-based lottery brokerage jumped 32% YoY to €101.5m (£88.4m), comprising €90.9m for lotteries and €6.7m its igaming arm, while EBITDA leapt 76% YoY to €35.4m. EBITDA margin improved to 34.8%.
Lottery MAUs grew 12% YoY to 1.5 million, though average billings per user fell 7% YoY to €58.03 because of a “weak jackpot environment”.
New registered customers for the six months ending 30 June slid 16% YoY to 499,000 – also due to the weak jackpot situation.
Cost per lead jumped 41% YoY to €46.93, once again due to the weak jackpot situation, an increase in media prices and “special marketing tests”.
Elsewhere, ZEAL Network’s online casino portfolio expanded to more than 480 games during H1, while icasino MAUs were up 32% YoY to 26,000. Average revenue per user (ARPU) jumped 15% YoY to €42.40.
The company posted net profit after tax of €19.5m, which was down 47% YoY due to the “recognition of deferred tax assets of €27m in the previous year”.
For Q2, revenue increased 24% YoY to €50.3m, while EBITDA surged 65% YoY to €17.6m.
Commenting on the H1 results, CEO Helmut Becker said: “We once again achieved strong results in the first half of 2025. ZEAL’s continued growth path proves that our business model is highly robust and scalable over the long term.
“We are in an excellent position to further expand our market leadership in a growing industry.”
Andrea Behrendt, ZEAL CFO, added: “Our half-year results are a true team success – especially given that the jackpot situation was rather weak compared to the previous year.
“Challenging market conditions particularly underscore our operational excellence. The significant increases in revenue and EBITDA were driven by further expansion of our customer base and profitability.”
Highlights for the business in the first half of 2025 include naming Stefan Tweraser as the new CEO, who will replace Becker on 15 September, and Carola Gräfin von Schmettow as the new chair in May.
ZEAL reaffirmed its full-year 2025 guidance of €195m to €205m. EBITDA is forecast to fall between €55m and €60m.
The firm also said it will increase its marketing spend in Germany to between €60m to €70m.
Following the release of ZEAL’s H1 results, its share price increased 1.7% to €47, at the time of writing.
At the start of the year, EGR spoke to Becker and co-founder Jens Schumann on the growth of the business since its inception in 1999.
Last month, investment division ZEAL Ventures announced it was collaborating with FDJ UNITED Ventures to co-invest in Swedish ilottery and bingo studio Random State.
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German lottery brokerage attributes 32% YoY spike in revenue to higher gross margin and increase in monthly active users
The post ZEAL Network posts double-digit growth in revenue and EBITDA for H1 first appeared on EGR Intel.