Bragg Gaming Group has announced it will reduce its global workforce by around 12% to secure annualised savings of €4.5m.
The restructuring will be undertaken as the supplier looks to “realign the organisation” and “improve its overall cost structure, drive its EBITDA growth and shorten the time required for it to achieve sustained net profitability”.
The Nasdaq-listed firm said the restructuring costs related to personnel terminations would be around €1m in Q1 2026.
Annualised savings should amount to €4.5m thanks to “staff reductions and other restructuring efforts”.
Bragg added that the figure does not include the “expected positive impact” it hopes to derive from the further use of AI across the group.
Bragg is planning to implement an “ambitious AI transformation plan” and, in turn, become an “AI-first company by 2027”.
Management are expecting an “AI-enhanced product” to be standard in more than 90% of all launches by 2027, as well has having more than 75% of operational workflows impacted by AI.
The business said it would provide further details on its new operating model and 2026 plans when it announces its full-year 2025 results.
Bragg’s stock was up 3% following the announcement to $2.24.
Management believe the business continues to be undervalued. The group’s shares are down 35% over the past 12 months.
Matevz Mazij, Bragg CEO, said: “We believe that we are in the enviable position of having great technologies, assets, people and future prospects.
“Nevertheless, given the increasingly complex regulatory compliance requirements, recent tax headwinds across key regions, emerging market opportunities, consolidation in the market and our increased focus on short-term profitability, we needed to take this step now of restructuring the company’s staffing.
“After securing key hires in 2024 and 2025, we believe aggressive operating expense reductions and organisational realignment are the final steps to maintain our cash runway, drive EBITDA growth and achieve cash profitability.
“Our strategic restructuring is designed to capitalise on our strong foundation and position us extremely well for organic growth and concurrent market consolidation opportunities.
“We also believe that the company is currently undervalued by the market and that improving our cash profitability will help address this issue while also making us stronger in meeting consolidation opportunities as they arise.”
Bragg was hit by a major cyberattack last year, although it did not suffer any fall in revenue as a result of the hack.
The post Bragg to slash 12% of global workforce amid shift to AI first appeared on EGR Intel.
Supplier says more than 75% of workflows to be impacted by AI in 2027, with annualised cost savings of €4.5m expected from restructuring
The post Bragg to slash 12% of global workforce amid shift to AI first appeared on EGR Intel.