Meridian returned to GAAP net income profitability, delivered its fastest revenue growth in four quarters, improved adjusted EBITDA and reduced leverage.
Revenue increased 17.3% year on year to $50.1 million, up from $42.7 million in Q1 2025. This was the strongest growth rate since the merger consolidation, and it came while the company was still managing reorganisation and brand transition work. That suggests the core business is growing despite internal change, rather than waiting for the integration process to finish.
Profitability also moved in the right direction. Adjusted EBITDA rose 26% year on year to $6.3 million, with the margin improving to 12.6%. Operating profit reached $3.2 million, compared with a small operating loss a year earlier. GAAP net income was $2.3 million, compared with a loss of $0.26 million in Q1 2025, while EPS improved to $0.18 from a loss of $0.02.
The main investor takeaway is that revenue is now growing faster than expenses. SG&A increased only 2.8% to $25 million, while revenue grew 17.3%. This shows improving operating leverage. Meridian is handling more business through its existing technology, infrastructure and staff base without a matching rise in costs.
Gross profit rose 16% to $28.1 million, while gross margin held steady at 56%. For a betting and gaming business, this is important because expansion into new markets can pressure margins through launch costs, marketing and regulatory spending. Meridian maintained its gross margin while continuing to build in B2C markets such as Brazil and Mexico, and B2B markets such as the US and Canada.
The balance sheet also improved. Total debt fell to $29.7 million, down 54% year on year, while net debt fell 62%. The net leverage ratio declined to 0.53x, giving the company more flexibility to invest in growth, manage market-entry costs or pursue acquisitions. Cash ended the quarter at $16.2 million, lower year on year as the company used cash to reduce debt.
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.
