Betmakers Technology Group (ASX:BET) reported a sharp improvement in first-half FY26 earnings, with management attributing the performance to a “technology-driven turnaround” that has improved operating efficiency while supporting revenue growth. Executive Chair and President Matt said the company is now “compounding on the great work that the team have done over the last two years,” citing stronger demand, new customer wins, and margin expansion.
First-half FY26 results: EBITDA swings to a profit
In the first half of FY26, BetMakers delivered EBITDA of AUD 6 million, compared with an AUD 1.3 million loss in the prior-year period (first half FY25). Revenue increased to AUD 46.1 million from AUD 40.5 million, which management described as “double-digit top line revenue growth.”
Operating leverage and cost discipline
Management emphasized that the turnaround is not solely a cost-cutting effort, but rather a product and technology-led shift that is allowing the company to scale revenue with a lower cost base. Matt said the business is “cheaper to run today than it was before,” while generating “more revenue today than ever before.” He added that the company is seeing benefits from “AI-driven technology production,” which he said is helping reduce costs, increase product quality, speed up delivery, and lower error rates.
In the Q&A, management said it expects any near-term cost increases to be “somewhere around CPI and not much more than that,” unless material opportunities arise. The company also discussed its effort to become more capital-light by moving away from historical terminal purchase models toward structuring customer arrangements focused on service, supply, and ongoing support.
Customer wins: CrownBet and Stake
BetMakers highlighted customer demand as evidence of improved market perception of its technology. Matt referenced wins including Stake and CrownBet and described a “significantly strong pipeline of customers going forward.”
Chief Executive Officer Jake Henson outlined two major agreements during the half:
- CrownBet: An exclusive five-year agreement to power the relaunch of crownbet.com.au in Australia. Henson described it as a “landmark” deal, with CrownBet using BetMakers’ Apollo platform including trading and risk technology, plus RaceLab content, and connectivity to payments, KYC, CRM, and sports providers. He said the agreement uses “hybrid terms” intended to align incentives. Management noted the CrownBet brand went live “just last week,” and later said the business launched on February 26.
- Stake: A three-year extendable agreement for the RaceOdds+ product, incorporating trading, pricing, BetStream, RaceLab, content management, and access to international tote pools via BetMakers’ Global Tote Hub. Henson said the contract was secured through a global tender process, with go-live “slated for Q4 of FY26,” and described the commercial structure as a hybrid revenue mix supporting Stake’s international racing expansion.
On the CrownBet agreement’s expected revenue contribution, management said the terms include a minimum fixed component plus variable upside. Henson said that based on what the company has seen so far, CrownBet is expected to be “at the higher end” of BetMakers’ Australian customers, though he added it is too early to quantify how high without more data.
LVDC acquisition: Las Vegas as a North American hub
The company also discussed the completion of its LVDC transaction in Las Vegas. Henson said BetMakers completed the SPA during the half and “got the keys fully on February 1,” positioning Las Vegas as a major North American hub.
Management described Nevada’s digital racing market as “severely underserviced,” citing that “just around about 5% of bets” are placed digitally versus “50% across US statewide average.” Henson said the company sees “massive untapped potential” to deploy its GTX turnkey solutions and help customers increase digital penetration, while generating higher incremental margins for BetMakers.
Henson said BetMakers is working with operators including Caesars, MGM, Wynn, South Point, and Stations to roll out new products and modernize wagering journeys both online and in venues.
Asked about additional investment needed to bring LVDC beyond breakeven, management said it was not ready to provide detailed commentary yet and would prefer to update the market in a future quarter as it learns more about the business. Henson indicated the focus is less on incremental capital investment and more on applying internal time, resources, technology, and global infrastructure to improve efficiency and deliver more BetMakers products into the Las Vegas market over the next four to six months.
Strategy and market commentary
Henson framed BetMakers’ mission as becoming “the central interconnected platform for horse racing betting,” emphasizing its “market-leading cost per bet,” platform ownership, and streamlined operations. He described BetMakers as a fully integrated racing ecosystem spanning fixed odds, platform, tote, and data, and said it uses a hybrid variable model rather than a pure SaaS approach, with vertical integrations and opportunities to share in customer success.
Management also discussed potential expansion into adjacent verticals beyond racing, including sports wagering (fixed odds, managed trading, and in-play), sports tote pools, iGaming integrations, and tote ticketing applications for lottery and keno. Henson also noted a recently announced partnership with virtual racing provider Kiron, and said the company expects to provide further updates in coming halves.
On macro conditions, Matt said gaming and wagering is “recession-resistant” and that the company is not seeing meaningful consumer pullback across key markets in Europe, North America, and Australia. He added that the company’s digital delivery model positions it to benefit from ongoing growth.
Looking ahead, management said it would view the second half as successful if it continues delivering the same fundamentals: double-digit revenue growth, gross margin expansion, and cost control. Matt emphasized the company’s focus on operating leverage and free cash flow, and said that momentum from new contracts and the LVDC foothold supports continued execution.
About Betmakers Technology Group (ASX:BET)
Australian based wagering operator
