Bragg Gaming Cuts Staff Again in Push to Generate Cash

Bragg Gaming Group, the Toronto-based supplier of online casino games and player-account technology, is cutting about 19% of its global workforce — its second round of layoffs in six months as the company tries to stop burning cash. The reductions, announced on July 9, 2026, come on top of the roughly 12% of staff Bragg let go in January 2026.

Bragg expects the new cuts to save about €6 million (roughly $6.9 million) a year once fully implemented, on top of the €4.5 million targeted from the January restructuring — a combined annualized saving of around €10.5 million, or close to $12 million. It will book about €0.6 million in severance-related costs in the second half of 2026. Chief Executive Matevž Mazij cast the move as a continuation of January’s plan, pairing a tighter organization with a faster push to run more of the business on artificial intelligence and reach what he called “sustained cash generation.”

The company is a business-to-business supplier rather than a consumer brand: it builds casino games through in-house studios such as Wild Streak Gaming, Atomic Slot Lab and Indigo Magic, aggregates third-party titles through its Bragg Hub platform, and licenses its player-account-management system and Fuze engagement tools to operators in more than 30 regulated markets across the US, Canada, Europe and Brazil.

Why the savings matter now

Bragg needs the money because it is still losing it. In its first-quarter results, revenue was essentially flat at €25.7 million (about $29.7 million), up 0.6% from a year earlier. The company narrowed its operating loss to €1.4 million and its net loss to €1.2 million, but adjusted EBITDA slipped to €4.0 million, a 15.7% margin, and cash on hand was just €3.4 million at the end of March 2026. Against full-year guidance of €97 million to €104.5 million in revenue and €16 million to €19 million in adjusted EBITDA, that is a slim cushion.

The market has been unforgiving. Bragg’s Nasdaq shares traded near $1.83 on the day of the announcement, toward the low end of a 52-week range that tops out at $4.78, and the stock has lost roughly 60% of its value over the past year. January’s restructuring was pitched as the last major step toward cash profitability; six months later, management is going further.

Leadership and clients in flux

The retrenchment comes during a bruising stretch. At Bragg’s June 18, 2026 annual meeting, more than 55% of votes cast opposed re-electing Mazij to the board, and under the company’s majority-voting rules he offered to resign as a director — though he remains chief executive while the board works out a transition.

Bragg has also been shedding business and talent. Entain has moved its Dutch brand BetCity, for years one of Bragg’s biggest platform customers, off Bragg’s player-account system and onto its own technology. The supplier separately lost senior staff from Wild Streak Gaming, its Las Vegas slot studio, and last year drew on a US$6 million Bank of Montreal credit line to repay a promissory note tied to the studio’s founder. It is not alone in feeling the squeeze: across the sector, operators are rethinking cost and structure, from Flutter shifting Sky Bet’s licensing base to Malta to steady consolidation among mid-tier brands.

A leaner, AI-first bet

Mazij’s answer is to make Bragg smaller, more automated, and more reliant on content it owns outright. Building on a January 2026 partnership with data-science firm Golden Whale Productions, the company is targeting an “AI-first” operating model by 2027, with AI-enhanced features in more than 90% of new game launches and AI woven into three-quarters of its internal workflows — the efficiency argument management uses to justify cutting headcount without, it says, hollowing out its product engine.

Growth is meant to come from owning more of what it sells. In May 2026 Bragg agreed to buy Drayton International, a gaming-technology and content platform, in a deal it says would add more than 100 proprietary titles and widen its US reach to over 30 states. That acquisition is tied to a boardroom shift: Matt Davey, the Tekkorp Capital founder and a well-known gaming investor, is set to become non-executive chairman and hold about 10% of Bragg after anchoring a small, insider-backed share placement in June.

The logic runs straight through the balance sheet. Cut costs fast enough to turn cash-flow positive, then use a leaner, content-heavy platform to compete for the consolidation Mazij expects as more markets regulate — the same wave behind Bally’s push to buy both 888 and William Hill and new jurisdictions such as Alberta lining up its first wave of iGaming operators. Whether Bragg’s AI savings and Drayton’s titles arrive fast enough to outrun its losses is what the next few quarters will decide.