On April 22, Evolution released its quarterly report for Q1 2026, revealing a revenue decline of 1.5% to €513 million. While revenue decreased in euros, it increased by 6.8% when adjusted for constant currency rates. Here are the key financial highlights:
Financial Performance:
- €513 million — revenue (1.5% YoY)
- €434.9 million — live casino (3.1% YoY, 84.8% of revenue)
- €78.2 million — RNG (8.1% YoY, 15.2%)
- €335.3 million — EBITDA (1.9% YoY), margin 65.4%
- €292.6 million — operating profit (3.6% YoY), margin 57%
- €251.9 million — net profit (1.1% YoY)
- €1.26 — earnings per share (2.1% YoY)
- 16% — effective tax rate (15.7%) amid Pillar II
- €1.098 billion — cash (13.3% YoY)
Revenue by Region (based on player IP):
- Asia: €197.8 million (2% YoY, 2.2% QoQ)
- Europe: €167.1 million (11.9% YoY, 5.9% QoQ)
- North America: €78.7 million (10.1% YoY, 21.4% in local currency)
- Latin America: €46.8 million (29.3% YoY)
- Other markets: €22.6 million (4.6% YoY)
Operational Highlights:
- 22,867 employees (2.9% YoY), 870 client operators
- 76% — GGR from mobile devices (72% YoY)
- 48% — share of regulated markets (45% YoY)
Key Events of the Quarter:
- Launch of a second live studio in Latvia
- Acquisition of a second live studio in Argentina from a competitor exiting the market
- Completion of a second live studio in Michigan
- Expansion plans in Brazil and Colombia
- Evolution's lawsuit against Black Cube and Playtech regarding a defamation campaign has entered an active phase
CEO Martin Carlesund described Europe as the main disappointment of the quarter due to regulatory volatility and Evolution's measures to separate players from different jurisdictions. He noted that the share of players at licensed operators in Europe is declining, affecting countries, players, and the industry. Carlesund attributes the 2.2% QoQ growth in Asia to progress in combating cybercrime. Group investments totaled €27.6 million, including earn-out and the studio in Argentina.
The 6.8% growth in constant currency indicates global demand, yet Europe has declined QoQ for the second consecutive quarter. Latin America (29.3%), North America (10.1%), and Asia are compensating for the downturn. The share of regulated markets has increased to 48% (up 3 percentage points YoY).