Meridian Holdings returns to profit in Q1 2026
Table of contents
- Meridian Holdings reported Q1 2026 revenue of $50.1 million, up 17% year over year.
- The company returned to GAAP profitability with net income of $2.2 million, or $0.18 per diluted share.
- Adjusted EBITDA reached $6.3 million, beating guidance and rising 26% year over year.
Meridian Holdings Inc. has delivered its first GAAP-profitable quarter since rebranding from Golden Matrix Group, reporting strong revenue growth, expanding margins and a significantly strengthened balance sheet in Q1 2026.
The Nasdaq-listed company posted first-quarter revenue of $50.1 million, representing a 17% increase from the prior-year period.Net income reached $2.2 million, or $0.18 per diluted share, reversing a net loss of $231,608, or $0.02 per share, in Q1 2025.
Adjusted EBITDA rose 26% year over year to $6.3 million, comfortably ahead of management’s guidance of $6.1 million.
Meridianbet fuels group performance
Meridianbet remained the primary growth engine, generating $34.9 million in revenue during the quarter, up 26% year over year. The B2C division accounted for approximately 70% of total group revenue, while segment operating income climbed 37% to $6.6 million.
Zoran Milosevic, CEO of Meridianbet Group, said:
“The first quarter of 2026 demonstrates the scalability of our platform across multiple regulated markets. At Meridianbet, new customer registrations reached 428,400, up 41% year over year, with depositors up 27% to 283,000 and active users up 21% to 333,700.”
Expanse Studios also continued its expansion, increasing its operator network to 1,519 sites and launching six new titles during the quarter, bringing its total portfolio to 77 games.
The studio secured certifications in Latvia, Estonia, Sweden and Portugal, while its Ontario certification remains pending regulatory approval.
Balance sheet reaches record strength
Meridian significantly reduced leverage during the quarter. Total debt fell 54% year over year to $29.7 million, while net debt declined 62% to $13.4 million. The company’s net debt leverage ratio improved to just 0.53x, the lowest level in its history. Operating cash flow for the quarter totalled $5.2 million.
Rich Christensen, CFO of Meridian, said:
“We delivered revenue at guidance and exceeded our Adjusted EBITDA target while materially strengthening the balance sheet. With $16.2 million of cash, a clean deleveraging trajectory, and accelerating growth, we have meaningful financial flexibility to invest behind our 2026 growth plan.”
Guidance points to continued momentum
For Q2 2026, Meridian expects revenue between $51 million and $53 million, implying year-over-year growth of 18% to 23%.
William Scott, Interim CEO of Meridian Holdings, said:
“Q1 2026 marks our first GAAP-profitable quarter under the Meridian Holdings brand and reflects the disciplined execution of our growth plan.”
He added that the company remains focused on scaling across more than 25 markets, integrating technology and maintaining disciplined capital allocation. Beyond its financial results, Meridian completed its corporate rebrand and began trading under the MRDN ticker on 3 March.
Its Mexican online casino brand, MexPlay, posted particularly strong growth, with registrations rising 271% year over year to 74,000. First-time depositors increased 198% to 6,101. Meanwhile, UK competitions platform RKings generated $7.7 million in revenue, up 12%, with average order value climbing 29%.
During the quarter, Meridianbet also completed its acquisition of Fairbet in Malta and extended its EuroLeague title sponsorship through 2030.
Investor focus shifts to sustainability
With leverage now below one times adjusted EBITDA and substantial liquidity on hand, Meridian enters the second quarter in its strongest financial position since acquiring Meridianbet. The central question for investors is whether the company can sustain GAAP profitability while integrating recent acquisitions and expanding into additional regulated markets.
For now, Meridian’s first quarter suggests the newly rebranded group is executing well on both growth and profitability.
Keep reading
Do you have a story worth sharing?
Send it over to our editors!
