Raketech Group Holding PLC (RAKE) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to Regtech's Q2 2025 presentation. My name is Johan Svensson and I'm the CEO of Regtech. Today, CFO Måns Vanborn and I are here to present our Q2 report. Starting with financial highlights. We came in at 7.8 million euro in revenues in Q2, an organic decrease of 53.8% year on year and negative 47.9% excluding the divested advisory tips to business. vast majority of the revenue decline comes from the kasumba assets the paid publisher segment within sub affiliation and the now full divested us tips to business i will give more details around this on the next slide adjusted ebitda amounted to 2.1 million euro while reported ebitda was 2 million euro during the quarter we divested our non-core us tipster and subscription assets with a transaction closing at the end of the june These assets, along with a related US operation, had a negative EBITDA impact of half a million euro in Q2. Adjusted EBITDA excluding the divested US tips assets was 2.6 million euro in the quarter. As of July 1st, we no longer have any costs related to the divested tips to business, which is expected to result in improved profitability. Going forward, we have additional limits of approximately 150,000 euro per month. Free cash flow over quarter was 1.8 million euro. Excluding publisher cost, we achieved cost savings of 35% in Q2 compared to Q1 of last year. Q1 last year marked the start of a review of our operating model. Next slide. Now let's look at the performance of each business area during the quarter. Starting with affiliation marketing. Affiliation marketing came in at 5.7 million euro in revenue. Our Casumba assets continue to decline and the overall market conditions for these assets continue to be challenging during the quarter. The Casumba founders are still de...