Meridian Holdings reported a stronger second quarter of 2026 despite sportsbook conditions that favoured bettors and two major casino payouts totalling more than $1.2 million.
Revenue rose 16% year on year to $50.2 million. Adjusted EBITDA increased 43% to $5.9 million, while net income attributable to Meridian Holdings reached $2.2 million, or $0.17 per diluted share. The company recorded its second consecutive quarter of GAAP profitability, compared with a net loss of $3.6 million a year earlier.
The quarter is notable because Meridian continued to grow despite weaker sportsbook margins. Sporting results can have a significant short-term effect on betting profitability, so growth in customer activity and cash generation provides a clearer view of how the underlying business is developing.
Meridianbet, the group’s core operation, generated approximately $35.8 million of revenue, up around 23%, and accounted for 71% of total group revenue. New customer registrations increased 37%, first-time depositors rose 24% and total deposit volume increased 24%. Betting gross gaming revenue grew 37% on record wagering activity.
Meridian is also reducing its dependence on the sportsbook business by expanding into proprietary game development, B2B aggregation, online casino, prize competitions and subscription-based digital membership businesses.
Expanse Studios, its proprietary game-development operation, increased revenue by 138% year on year and gross gaming revenue by 90%. Its games were distributed across 1,881 operator sites, with a portfolio of 95 proprietary titles. During the quarter, Expanse added partnerships, expanded certifications in regulated markets and introduced additional engagement products including jackpots, tournaments and the Achievo gamification system.
Operating cash flow increased to $7.8 million from $2.4 million a year earlier. Net debt fell 65% to $9.4 million, while net debt leverage declined to 0.39 times annualised Adjusted EBITDA. Meridian also reported its sixth consecutive quarter of deleveraging, with interest expense falling by approximately 80%.
The company is also using its UFC partnership in Belgrade to support wider brand recognition. The partnership connects Meridian’s Serbian roots with an international sports brand as the business seeks to position itself as a broader gaming technology group rather than a single-market sportsbook operator.
Meridian Holdings plc (formally Golden Matrix Group, Inc.) (Nasdaq:MRDN) positions itself as a leader in the iGaming technology space, offering casino, sportsbook, and competition products and combining cutting-edge solutions with a strong portfolio of partnerships to drive growth and innovation in the digital gaming market.
