What is Net gaming revenue?
Net gaming revenue (NGR) is gross gaming revenue minus bonus costs and, depending on the company's definition, gaming taxes and other deductions such as payment fees.
There is no single standard definition. Some operators deduct only bonuses and promotional credits, others also deduct gaming duties and platform or supplier fees. A company with £100 million GGR and £15 million in bonuses might report £85 million NGR before duty.
NGR is often the base for affiliate revenue share deals and for B2B supplier fees, so its definition matters in contracts. Because of the varying definitions, NGR figures from different companies should be compared with care.
In earnings reports, the gap between GGR and NGR is a quick indicator of how much an operator spends on promotions to win and keep customers. Analysts therefore usually check the definition in the notes to a company's accounts before comparing NGR margins between operators, and many prefer to compare GGR where possible.