ZEAL Network SE Reports Solid Q2 Performance and Maintains Guidance

ZEAL Network SE has reported strong Q2 results despite a less favorable jackpot environment. Sales increased by 24% year-over-year, reaching €50.4 million, driven primarily by lottery sales which grew by 27% to €45.7 million. This growth was supported by a July 2024 price hike and an expanding lottery user base, along with the success of the new "Traumhausverlosung" product.

The "Traumhausverlosung" saw high demand but experienced a drop in monthly active users during Q2. Monthly billings per user for this product remain strong, with an increasing proportion of billings coming directly from the traumhausverlosung.de site.

Additionally, sales from games increased by 43% to €3.3 million due to a larger user base. EBITDA margin expanded significantly, reaching 35%. ZEAL's strategic shift toward brand awareness is proving effective, as evidenced by a 12% increase in marketing spend and notable user acquisition.

The firm reaffirmed its full-year 2025 guidance, with expectations of sequential sales growth in the second half of the year, and maintained a target price of €64 per share.