Galaxy Gaming Recurring Revenue Reaches New Record
United States.- 12 August 2026 | www.zonadeazar.com Galaxy Gaming delivered solid performance during the second quarter of 2026, with revenue increasing to US$7.9 million from US$7.5 million in the same period last year.
Growth was driven by organic expansion and, in particular, the company’s strategy of prioritising higher-margin recurring revenue over one-off licence and system sales.
News Details
Recurring Core and Digital revenue, net of royalties, reached a record US$7.9 million, representing an 8% year-on-year increase and growth of 12% compared with the second quarter of 2024.
Recurring revenue now accounts for 99% of Galaxy Gaming’s total revenue, compared with 82% two years ago.
Perpetual licence sales of progressive gaming systems fell to US$100,000 from US$300,000 in the prior-year period, reflecting a strategic decision to favour more stable and higher-margin recurring revenue.
Digital and Land-Based Growth
Galaxy’s Digital segment increased revenue by 11% year-on-year and 23% compared with the second quarter of 2024.
Growth was supported by additional content distributed through both new and existing operator partners.
Within the Core segment, the installed base of recurring-revenue progressive systems increased 11% year-on-year and 40% compared with the second quarter of 2024.
Galaxy attributed this growth to continued demand for its Galaxy Operating System (GOS) and strong early interest in the MONOPOLY-branded progressive systems launched during 2026.
Financial Context
The company also highlighted significant improvements to its financial position.
Since refinancing in January 2025, quarterly interest expense has been reduced by almost two-thirds.
During the second quarter, total debt leverage fell below 3.0x, allowing the company’s interest-rate margin to decline to SOFR plus 3%.
Free cash flow increased 25% to US$1.7 million, while year-to-date investment in product development increased by 50%.
Following the end of the quarter, Galaxy also received a US$5.2 million termination fee related to the cancelled merger agreement with Evolution.
Statements
Matthew Reback, Chief Executive Officer of Galaxy Gaming, said the second-quarter results once again demonstrated continued momentum across the business.
He highlighted the company’s focus on recurring placements, which generate value throughout the lifetime of an installation, while noting that Galaxy will continue to consider one-off sales selectively where they represent strategic opportunities.
Reback also stressed that the company’s balance sheet has shifted from consuming cash flow to funding growth, leaving Galaxy better positioned to invest in new products and technology.
Next Steps or Impact
Galaxy Gaming will continue investing in technology, product development and talent.
In July, the company appointed Anand Singh as Chief Technology Officer, bringing more than two decades of gaming technology experience, including nearly 20 years at Light & Wonder.
Several new products are currently undergoing field trials with major operators, while Galaxy plans to unveil its next wave of games and innovative progressive systems at G2E.
The company’s strategy will remain focused on replacing one-off revenue with more predictable, scalable and durable recurring income streams.
Editó: @fonta
