- 01Ontario contract value rises to C$12.5M+.
- 02Recurring revenue and cash flow boosted.
- 03Further regulated market opportunities are advancing.
DataWorks Group (ASX: DWG) has significantly boosted its iGaming Ontario (iGO) contract value to over C$12.5 million via a change order, reinforcing its recurring revenue streams in the RegTech sector.
DataWorks executed a change order with iGO under its existing Centralised Self-Exclusion (CSE) contract.
This new value comes on top of the existing A$10 million Ontario CSE contract that DataWorks announced in August 2024 and the contract now features an initial 3-year term, with iGO holding discretion to exercise two additional 1-year extension options.
Under the expanded agreement, DataWorks is set to deliver and operate comprehensive end-to-end managed contact centre services for the CSE program.
RegTech Revenue and Cash Flow Boost
This enhanced contract notably strengthens DataWorks' recurring revenue profile within its RegTech division.
The company expects the contract to be self-funding from working capital, with revenue commencing immediately, aligned with delivery milestones.
This development further reinforces the RegTech division as cash-positive and profitable on a standalone basis.
DataWorks continues to advance other commercial opportunities across various regulated markets.
Decisions for some of these opportunities are anticipated in the current half.
Successful awards from these progressing opportunities have the potential to deliver a material uplift to the company's medium-term growth trajectory and overall liquidity.
Strong Cash Flow and Pipeline
This latest development builds on DataWorks' strong financial momentum.
The company previously guided for a positive operating cash flow for the December 2025 quarter, expecting between A$3.4 million and A$3.8 million in operating cash inflow.
DataWorks has also highlighted a robust pipeline of opportunities, with over US$90 million in qualified global leads for its CSE platform.
The company's FY26 revenue target was previously set at US$9.5 million, underpinned by existing contracts and an anticipated R&D rebate.
The substantial increase in the iGaming Ontario contract value provides significant recurring revenue and positive cash flow implications for DataWorks' RegTech division, reinforcing the company's strategy and supporting its ongoing pursuit of further regulated market opportunities.
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