Meridian Holdings Inc. (NASDAQ: MRDN), a global operator and licensor of online and retail sports betting, gaming and casino platforms, reported financial results for the second quarter ended June 30, 2026, highlighting continued growth and improved profitability. The company delivered revenue of $50.2 million, a 16% increase year-over-year, and reported net income attributable to Meridian Holdings of $2.2 million, marking its second consecutive quarter of GAAP profitability. Adjusted EBITDA rose 43% to $5.9 million, while the company strengthened its balance sheet by reducing total debt by 45% year-over-year to $26.7 million and net debt by 65% to $9.4 million, resulting in a net debt leverage ratio of 0.39x.
First-half 2026 revenue surpassed $100 million for the first time in the company’s history, reaching $100.3 million, up 17% year-over-year. The growth was driven by record new customer registrations and double-digit increases in wagering and deposit volumes in core Meridianbet operations, partially offset by an unusually bettor-favorable run of World Cup results during the early stages of the tournament. Gross profit increased 10% to $26.9 million, with gross margin of 53.5% compared to 56.4% in the prior-year period, reflecting lower sportsbook and casino hold during the quarter.
William Scott, interim CEO of Meridian Holdings, commented, “Our second quarter reflects the discipline we have built into this business. We grew revenue 16%, expanded adjusted EBITDA 43%, delivered our second consecutive quarter of GAAP profitability and reduced net debt by 65% year-over-year, all against a sporting-results backdrop that was unusually favorable to bettors across the industry during the quarter. Furthermore, crossing $100 million in first-half revenue for the first time is a milestone that speaks to the scale we have reached.”
Segment performance showed Meridianbet Group revenue of $35.8 million, up 23% year-over-year, representing 71% of total company revenue, with segment operating income growing 91% to $6.1 million. Zoran Milosevic, CEO of Meridianbet Group, noted that new customer registrations surged 37% year-over-year, with first-time depositors up 24% and total deposit volume up 24%. The company’s proprietary game studio, Expanse Studios, saw revenue grow 138% year-over-year and gross gaming revenue up 90%, while expanding distribution with new operator partners including Maxbet Serbia (part of Flutter Entertainment), Synottip and Joker.lv. The studio also entered a North American distribution partnership with Bragg Gaming and secured new market certifications in Latvia, Colombia, Portugal and Slovenia.
RKings Competitions Ltd. and Classics For A Cause Pty Ltd combined revenue of $10.8 million, up 4% year-over-year, representing 22% of company revenue. GMAG segment revenue was $3.6 million, flat year-over-year, but MexPlay, its Mexico-facing online casino, saw revenue up 31%, new customer registrations up 50% and first-time depositors up 53%.
The company provided a preliminary outlook for the second half of 2026, expecting constant currency revenue growth of approximately 8% to 10% year-over-year, with the fourth quarter expected to be the strongest due to major sporting events and holiday-period wagering activity. A full visual presentation and earnings call replay are available at the Meridian Holdings investor relations website: https://meridian-holdings.com/quarterly-results/.
