Peel Hunt has reiterated its 'buy' recommendation and 60p price target on Gaming Realms PLC (LSE:GMR, OTCQX:PSDMF, FRA:RNE1), following the company’s pre-close trading update, which confirmed another year of double-digit revenue and profit growth, led by continued US momentum.
Revenue for the last financial year rose around 10% year-on-year, with adjusted EBITDA up approximately 15%.
This was powered by a 23% increase in US revenues (at constant exchange rates), which now represent 61% of the group total. The UK, by contrast, saw revenues decline due to staking limits introduced in April 2025, although that drag is now lessening.
Peel noted a minor £0.4m FX-related hit to EBITDA, prompting a small reduction to its FY25 estimate by £0.5m. FY25 EPS has also been trimmed by 5%, but there is no change to FY26 forecasts.
The broker views UK risk as increasingly marginal, forecasting the market to contribute just 16% of core revenue by FY27. It also pointed out that recent UK duty increases had already been factored into its models.
Peel highlighted Gaming Realms’ strength in geographic and partner diversification, with content now live in 30 regulated markets and the Slingo portfolio supported by an expanding base of global licensees.