Evolution closed out 2025 with net revenues of €2.06bn ($2.37bn) – essentially flat year-on-year – and an adjusted EBITDA of €1.4bn, representing a margin of 66.1%. For most companies, those numbers would prompt celebration. For CEO Martin Carlesund, they prompted something more nuanced.
"We are proud – but not satisfied," he wrote in the Annual Report, a phrase that neatly encapsulates the tone of his wider commentary. Evolution had entered the year expecting stronger growth, and while it delivered operationally on several fronts, a combination of regional headwinds, regulatory disruption and external threats kept performance from reaching its potential.
Asia: slow recovery, real challenges
Asia remained Evolution's most problematic region throughout 2025. Cyber criminality – a persistent theme in Carlesund's letter – continued to weigh on performance, with the CEO describing the company's response as "a slow and methodical effort" requiring careful balancing between robust countermeasures and maintaining a quality experience for legitimate users.
Some recovery was visible towards year-end, which Carlesund flagged as an encouraging signal. The newly regulated Philippines market added short-term volatility but also opened new opportunities, with Evolution's local studio described as developing well.
North America: stable, but underperforming its potential
North America delivered what Carlesund characterised as "stable development," though he was clear that the region's long-term promise has yet to fully materialise.
Evolution continued investing in dedicated studios across the US and Canada, re-launched Ezugi as a second live brand in the American market and expanded its geographic footprint – entering Rhode Island and introducing titles such as Crazy Time in Connecticut.
The message was one of patience and structural confidence rather than near-term fireworks.
Brazil and Latin America: promising, but behind schedule
Brazil's transition to a regulated market was framed as a major strategic opportunity, but one whose adjustment period "has taken longer than anticipated."
The opening of Evolution's São Paulo studio was highlighted as a milestone, and Carlesund remained bullish on Latin America's long-term trajectory.
It was, however, an honest acknowledgement that the region's early-2025 performance disappointed expectations.
Labour disputes and the Playtech legal saga
Among the more striking passages in the CEO's letter was a reference to resolving "complex labour situations" – a phrase offered without elaboration, but notable for its inclusion. Equally striking was Carlesund's allusion to a "lengthy legal process" that ultimately revealed a competitor had been running a defamatory campaign against Evolution.
While the company stopped short of naming names in the report itself, the reference is widely understood to relate to ongoing litigation with rival Playtech.
The CEO's language was unambiguous: Evolution intends to defend itself with the same determination it brings to building the business.
Innovation and the road ahead
On a more forward-looking note, Evolution delivered over 110 new game releases in 2025 and secured an exclusive multi-year licensing deal with Hasbro – a partnership set to generate major new titles in 2026, including several large-scale game show productions.
As the company approaches its 20th anniversary, Carlesund's focus for the year ahead centres on North America, Latin America and sustained innovation, while maintaining the 66% EBITDA margin range.
The picture that emerges is of a business that remains structurally strong, but is navigating a more complicated operating environment than it has been accustomed to.
Evolution's decision to suspend its 2025 dividend – a significant departure from its established policy of distributing at least 50% of annual net profit – was announced separately in March 2026, with the Board citing long-term shareholder value as the rationale
