Hacksaw Gaming Signals Exit from California

Hacksaw Gaming has announced its decision to leave the California sweepstakes casino market. The decision was shared by the Hacksaw Gaming team during its Q3 earnings call. 

Although the primary objective of the call was to highlight the company’s solid third-quarter earnings and product expansion, it also touched on its sweepstakes casino plans in the US, particularly in California. 

Hacksaw Group’s CEO Christoffer Källberg shared how they’re coping with California’s looming ban on sweepstakes casino operations. During the call, Källberg announced that the company is pulling all its games from the California market before January 1st, 2026. It’s the first day of the full sweepstakes casino ban, after Governor Gavin Newsom formally signed AB831 into law.

Källberg Boasts an Impressive Third Quarter Growth

In the provided Q3 earnings call transcript, CEO Christoffer Källberg highlighted Hacksaw Gaming’s solid growth, saying that the company’s third quarter of the year “was a quarter of growth”. He also shared that the company’s performance exceeded their expectations in terms of new deals. 

Then, there’s the successful go-to live in Pennsylvania. Källberg argued that the company’s success lies in the strength of its platform, by releasing innovative and entertaining casino gaming content.

CFO Per Alnefelt, on the other hand, highlighted Hacksaw Gaming’s financial efficiency. He pointed to the company’s strong free cash flow conversion rate of 89%, reflecting the company’s robust financial metrics.

On the same call, the company’s execs also identified a few of its weaknesses and challenges. The executive team acknowledged saturation, making it difficult for them to sustain growth in a competitive environment.

Then, there are the tightening regulations on gaming, particularly on sweepstakes casino operations, that may impact their operations.

Hacksaw Gaming Follows a Broader Industry Shift

With increasing competition and a looming ban on sweepstakes casino operations, Hacksaw Gaming is making a move out of California. CEO Christoffer Källberg stated that the company will stop supplying games to the state before the January 1st deadline. This decision follows similar moves in other states like Montana and Louisiana, where sweepstakes casinos have been banned. 

Hacksaw Gaming games are still live in top sites like WOW Vegas, but we expect pullouts before the deadline.

REFERENCES:

• AB831
• Hacksaw Gaming
• Investing.com