NorthStar Gaming Holdings

Investor Insight

NorthStar Gaming offers a differentiated, premium iGaming and sportsbook experience that sits at the intersection of media and betting technology. The company continues to demonstrate scalable growth with double-digit revenue increases, record gross margins and expanding market access across Canada’s estimated C$9.5 billion total addressable market.

Overview

NorthStar Gaming (TSXV:BET,OTCQB:NSBBF) owns and operates a casino and sportsbook gaming platform in Canada under the name NorthStar Bets. Since its listing on the TSXV in March 2023, the company has seen significant success with its uniquely differentiated offering that combines high-quality sports journalism with betting/casino games. Specifically, NorthStar utilizes targeted content to engage, attract and retain sports bettors, which leads to higher retention rates and higher player values.

NorthStar's competitors may provide insights, but they are hosted within a different platform causing inconvenience to the end-users who must swap between apps. NorthStar's proprietary Sports Insights editorial features, offered seamlessly to customers within the NorthStar Bets website and app, continue to be a strong differentiator and driver of value.

Sports Insights (with its latest iteration Sports Insight 2.0 supports the company's position as a premium brand and industry leader at the intersection of betting and sports media. The content includes analysis of upcoming events, betting strategies and helpful tips. Since Sports Insights is integrated directly within NorthStar's sportsbook, users can wager directly from the content without leaving the betting environment.

Sports Insights users demonstrate enhanced performance metrics, including 13 percent higher VIP penetration, 58 percent higher average total deposits, 50 percent higher average casino turnover, and 138 percent higher average sports turnover.

Technology and Market Expansion

The company’s industry-leading technology stack is powered by long-term partnerships with Playtech and Kambi, two of the most established global providers in online gaming and sports betting. Playtech, the world’s largest online gaming software supplier, serves both as NorthStar’s technology partner and its largest shareholder, having invested more than C$22 million since launch, including a C$10 million infusion in October 2023. In 2025, Playtech deepened its support by backstopping NorthStar’s C$43.4 million credit facility with Beach Point Capital Management, further validating the company’s strong potential in Canada’s rapidly expanding iGaming sector.

NorthStar, which initially launched exclusively in Ontario through NorthStarBets.ca, expanded its national reach in 2023 through the acquisition of Slapshot Media, the managed services provider to NorthStarBets.com. This site is owned and operated by the Abenaki Council of Wolinak under a license from the Kahnawake Gaming Commission, enabling NorthStar to generate revenue outside Ontario. With Ontario representing approximately 39 percent of Canada’s population, NorthStarBets.com unlocks access to the remaining 61 percent of the national market, a major catalyst for future growth.

Financial Performance

NorthStar continues to deliver consistent, scalable growth. In Q2 2025, revenue rose 15 percent year-over-year to $8.5 million, with gross margin up 25 percent to $3.5 million (a record 40.8 percent of revenue). Profit before marketing and other expenses increased 87 percent to $0.7 million, demonstrating expanding operating leverage.

For the first half of 2025, revenue reached $16.4 million (up 23 percent year-over-year), and gross margin rose 39 percent to $6.5 million, driven by a doubling of managed services revenue and lower marketing costs. Marketing expenses decreased 16 percent year-over-year, highlighting improved acquisition efficiency and financial discipline.

Supported by its C$43.4 million long-term financing from Beach Point Capital Management, NorthStar is fully funded to profitability and well-positioned to scale across Canada’s projected C$9.5 billion iGaming and sports betting market.