Evolution maintains profitability despite slight revenue dip for Q2

Evolution has reported a modest decline in revenue for the second quarter of 2026, as strong performances in Latin America and North America helped offset continued challenges in Europe and Asia.

For the three months ended 30 June, the supplier generated net revenue of €517.8m ($592.6m), down 1.2% year-on-year from €524.3m. 

EBITDA totalled €341.0m, compared with €345.3m in the prior-year period, while the EBITDA margin remained unchanged at 65.9%.

Profit for the quarter increased slightly to €251.4m from €248.3m, with earnings per share rising to €1.27 from €1.22.

For the first half of 2026, net revenue fell 1.4% year-on-year to €1.03bn, while EBITDA reached €676.3m with a margin of 65.6%.

Profit for the six-month period remained broadly stable at €503.4m.

CEO Martin Carlesund said the company delivered improved performance compared with the first quarter, highlighting stronger cash flow, disciplined cost control and continued investment across key markets.

Europe returned to quarter-on-quarter growth following several weaker quarters, although Evolution said declining channelisation rates remain a concern.

Latin America continued to be the strongest-performing region, recording year-on-year growth of 26.3%. During the quarter, Evolution relaunched its acquired live casino studio in Argentina and introduced a localised version of Ice Fishing in Brazil.

North America also recorded 9.5% annual growth, supported by the rollout of Monopoly Live across four US states and the opening of a second live casino studio in Michigan.

Asia remained the weakest-performing region, with management attributing continued volatility to increased cybercrime activity.

Evolution also confirmed that it recently reached a £4.75m ($6.4m) settlement with the Gambling Commission, concluding a licence review relating to its content appearing on six unlicensed gambling websites.

Separately, Carlesund noted that the agreed closing period for the proposed acquisition of Galaxy Gaming has expired, meaning either party may now terminate the transaction.