Canadian online gaming operator NorthStar Gaming has announced a strategic plan to improve its financial performance.
The company said in a statement Monday that it plans to reduce general and administrative expenses by approximately CA$3 million this year.
In addition to the $3 million in annualized general and administrative expense savings, NorthStar’s management is also evaluating and implementing operating and marketing efficiencies through oversight of discretionary advertising spend decisions and ongoing optimisation of vendor and services contracts.
“We are focused on taking deliberate, measured steps to position the company for profitability,” said Corey Goodman, who took over as interim chief executive officer in December from former CEO Michael Moskowitz.
“The expected annualised G&A savings reflect measures that have largely been implemented. Building on these reductions, management is actively deploying additional efficiency and operating leverage initiatives across services, marketing spend, and cost of goods sold that are expected to materially enhance the company’s EBITDA profile.
“In parallel, targeted investments in the product experience are being made to improve retention and increase the stability and predictability of revenue over time,” Goodman added.
Key initiatives supporting these objectives include improving advertising productivity, reducing reliance on external advertising agencies, selectively reducing salaried personnel and contracted services, and continuing to prioritise customer retention through enhancements to the player experience.
The company expects to continue to incur a declining portion of cash expenditures associated with resources being phased out of the business during a transition period through 2026, with the revised expense run rate expected to be fully reflected beginning in 2027.
In November 2025, NorthStar Gaming warned that it may breach its debt-related covenants in the first quarter of 2026, having incurred a net loss of CA$13.7 million in the first nine months of 2025.
NorthStar Gaming is yet to report its financial results for the fourth quarter of 2025.
Shares in NorthStar Gaming Inc. (CVE:BET) closed 25 per cent lower at CA$0.015 per share in Toronto Monday.