Lottery.com 2025 Q2 Earnings 33.2% Net Loss Reduction

Lottery.com (SEGG) reported mixed results in its Q2 2025 earnings, with a notable reduction in net losses but a sharp decline in revenue. The company’s performance fell short of expectations, and it did not provide specific guidance for future periods.

Revenue
Lottery.com’s total revenue declined significantly in the second quarter of 2025, dropping 25.4% year-over-year to $191,762 from $256,998 in the same period of 2024.

Earnings/Net Income
The company’s earnings improved markedly, with losses narrowing to $0.13 per share in Q2 2025, compared to a loss of $1.12 per share in Q2 2024, representing an 88.4% improvement. Additionally, the net loss decreased to $-3.99 million in Q2 2025, down 33.2% from $-5.97 million a year earlier. Despite these improvements, the company has sustained losses for five consecutive years in this quarter, underscoring ongoing financial challenges.

Price Action
Lottery.com’s stock price has continued to weaken, falling 2.26% in the latest trading day, 0.97% for the week, and 29.22% month-to-date.

Post-Earnings Price Action Review
A strategy of buying Lottery.com shares following a quarter of revenue growth and holding for 30 days has yielded poor returns over the past three years. The approach returned -6.15%, underperforming the benchmark by 7.32%. The investment strategy exhibited a maximum drawdown of 0% and a Sharpe ratio of -1.17, reflecting its high risk and volatility, which reached 68.25%.

CEO Commentary
The CEO emphasized the company’s commitment to enhancing the user experience and addressing challenges in customer acquisition. He noted that the recent app update aims to improve engagement and simplify ticket purchases. From a strategic standpoint, the CEO highlighted the importance of investing in technology and customer support to strengthen market positioning and drive long-term growth.

Guidance
No quantitative guidance was provided for future performance. The CEO expressed confidence in the company’s strategic direction and long-term potential but did not specify revenue or earnings targets.

Additional News
A significant and tragic incident occurred in Plateau State, Nigeria, on July 25, 2025, when at least 14 villagers and a mobile police officer were killed in two separate attacks by gunmen in the Bokkos Local Government Area. The attacks occurred as the villagers, primarily from the Chirang community, were returning from the market to Mangor village. The local community leaders described the situation as “very unfortunate” and an “emergency,” with security personnel deployed to secure the area. The attack followed the earlier killing of a police officer at a checkpoint, raising concerns about insecurity in the region. Residents have called for the Federal Government to establish state police forces to address the growing threat of violence.