BetMakers Technology Group recorded higher revenue and a sharp improvement in profitability during the 2026 financial year, as the Australian racing technology provider continued its operational turnaround while preparing for a proposed acquisition by Tabcorp.

The company reported FY26 revenue of AU$92.6 million (£49 million), representing an 8.8% increase compared with the previous year. On a constant currency basis, revenue growth reached 11.2%. At the same time, adjusted EBITDA climbed from AU$4.6 million to AU$14.1 million, an increase of 205%, while the adjusted EBITDA margin improved to 15.2% from 5.5% a year earlier.

The results arrive during a significant period for BetMakers, which is navigating a proposed AU$267 million takeover by Australian wagering giant Tabcorp. The transaction was announced last month and is not expected to be completed until later in the next financial year.

Profitability Improves as Cost Controls Take Effect

A major feature of BetMakers’ FY26 performance was the continued improvement in profitability. The company reduced its net loss after tax from AU$25.3 million to AU$5.2 million, while operating expenses fell by 6% year-on-year to AU$49.4 million despite higher revenue.

Adjusted gross margin also increased, rising from 64.1% in FY25 to 66.9% in FY26 according to the company’s official ASX release. During the fourth quarter, unaudited gross margin reached 68.5%, bringing the company closer to its long-term objective of achieving a 70% margin.

Management credited the progress to a combination of revenue growth, technology efficiencies and disciplined spending. Over the past three years, BetMakers has improved adjusted EBITDA by approximately AU$46 million, moving from a loss-making position to sustained positive earnings.

“Over the last 12 months, the company has continued to deliver against the operating turnaround that we set in place several years ago,” said BetMakers Chairman Matt Davey according to SBC News.

“This is most dramatically shown through the positive EBITDA, up over 200% to $14.1m over the last 12 months. In addition to that, revenue has grown at double digits on a constant currency basis. We are proud of that.

The racing industry is a difficult industry, and in some parts it is experiencing contraction. In other parts, it is experiencing growth, and the company was able to deliver solid growth in the top line.”

Digital Growth Offsets Challenges in Tote Operations

BetMakers generates revenue through three primary categories: tote products, digital wagering services and content distribution.

Global Tote remained the largest contributor, accounting for AU$49.3 million in revenue during FY26. However, the segment declined slightly from AU$50.6 million in FY25. Management attributed the decline partly to customer churn and foreign exchange impacts, noting that revenue increased on a constant currency basis.

Stronger growth came from Global Betting Services, the company’s digital wagering division. Revenue in that segment rose 25.5% year-on-year to AU$43.3 million from AU$34.5 million. The increase reflected growth among existing operators and the addition of new customers.

BetMakers continued expanding its international footprint during the year. The company strengthened relationships with European customers including the UK Tote Group, Betfair, Racecourse Media Group, William Hill and Norwegian operator Rikstoto.

Recent commercial agreements also supported growth. Stake signed an arrangement to integrate BetMakers’ fixed-odds pricing, tote and trading capabilities, while Swedish horse-racing operator ATG adopted the company’s fixed-odds wagering solution for its Swedish and Danish racing products.

In Australia, partnerships with Sportsbet, Ladbrokes and TABtouch remained key contributors to revenue growth.

Technology and Global Expansion Remain Central to Strategy

Management continues to position BetMakers as a technology platform serving racing operators globally rather than a traditional software provider.

During FY26, the company completed the acquisition of Las Vegas Dissemination Company (LVDC), now operating as GT Vegas. Management said the business has become profitable and is contributing to group EBITDA. The acquisition also strengthens BetMakers’ presence in the United States, where it continues to pursue opportunities through GT Vegas and MonmouthBets.

The company highlighted a broad network of industry partnerships that includes operators such as Caesars Entertainment, Penn Entertainment, Ladbrokes, Sportsbet and the UK Tote Group. A revised agreement with Penn Entertainment also contributed to margin improvements during the second half of the year.

Looking ahead, BetMakers plans to expand the use of artificial intelligence across several operational areas. Management outlined applications including automated software development support, predictive wagering models, enhanced customer-facing content, operational monitoring and strategic partnerships with AI vendors.

Chief Executive Officer Jake Henson reiterated the company’s long-term vision: “Our goal is simple, to be the central scale platform that connects horse racing betting globally.”