Casino table game developer Galaxy Gaming has reported a 9% rise in third-quarter revenue, with recurring revenue reaching a new record and now making up more than 99% of the total.
Net income for the quarter ended 30 September 2026 rose to $5.1m, boosted by the termination fee Galaxy received after its planned merger with Evolution was called off.
Q3 2026 at a glance
- Total revenue: $7,975,219, up 9% from $7,325,142.
- Recurring revenue (net of royalties): $7,963,649, up 10%.
- Core recurring revenue: $4,959,111, up 11.4%.
- Digital revenue: $3,004,538, up 7%.
- Net income: $5,129,364, against $1,039,139 a year earlier; diluted EPS of $0.20.
- Adjusted EBITDA: $3,221,792, broadly flat on $3,238,495.
- Free cash flow: $1,434,708, up 9%.
The Evolution fee
Galaxy received a termination fee of $5,234,678 from Evolution after the merger agreement with Evolution Malta Holding Limited ended on 21 July 2026. The quarter also carried about $1.2m of professional fees and transaction costs, mostly linked to the terminated deal, which is why income from operations fell to $664,738 from $1.9m.
Balance sheet
Cash stood at $9.06m at 30 September, up from $4.31m at the end of 2025. Long-term debt, net of issuance costs, fell to $37.4m from $39.3m, and total leverage improved to 2.75x. Galaxy spent $1.7m on share repurchases and a warrant cancellation in the quarter, cutting its diluted share count by 4.2%; about $2.3m remains under its $4.0m buyback authorisation.
What the CEO said
Matthew Reback, Chief Executive Officer, said:
“The third quarter was a milestone quarter for Galaxy, both in our results and on the show floor,”
“Recurring revenue reached another record and now makes up essentially all of our revenue,”
The full results are in Galaxy’s third-quarter release. Other suppliers reporting this season include Light & Wonder and Inspired Entertainment.
