Entain and Kambi have responded to Brazil’s provisional ban on iGaming and fixed-odds sports betting. While operators are complying with the measure, they have also provided updates on its potential financial impact. Meanwhile, as Global Gaming Insider already reported, Betano is preparing legal action.
Entain confirms compliance, updates outlook
Entain announced that its operations in Brazil will comply with the provisional measure that prohibits iGaming and fixed-odds sports betting.
Nevertheless, the operator expressed disappointment at the sudden development, which occurred without consultation with industry stakeholders.
For its 2026 financial year, Entain expected Brazil to account for about 5% of the Group’s online net gaming revenue (NGR). However, given the challenging and highly competitive operating environment, it expected a modest EBITDA contribution.
The Group emphasized its strong, globally diverse portfolio and reconfirmed its FY26 Group Underlying EBITDA guidance of £910m ($1.2bn) to £960m, as well as its Online Underlying EBITDA margin guidance of 21–22%.
However, it now expects it to be towards the lower end of both ranges due to Brazil’s provisional measure.
Excluding Brazil, Entain expects FY26 Online NGR growth at the top end of its 5–7% guidance, on a constant currency basis. Including Brazil, growth is expected at 4–6%, assuming the ban remains in place through 2026.
Kambi expects limited financial impact
Kambi CEO Werner Becher said the operator will fully comply with the order. He added that the Group expects financial impacts to be limited, considering Brazil currently represents a low single-digit percentage of Kambi’s revenue.
Becher also expressed disappointment, noting that a well-regulated market "provides the best framework for protecting players."
Betano prepares legal action
Meanwhile, Betano is preparing legal action to protect its rights under its five-year license to operate. Allwyn has announced this development, as it participates in the Brazilian market through its 36.75% shareholding in Kaizen Gaming, which operates the Betano brand.
If the measure remains in place through 2026, Allwyn expects the impact on its 2026 Adjusted EBITDA margin 1 to be limited. However, this assessment remains preliminary and is subject to ongoing review as the company keeps evaluating the measure's implications and possible mitigating actions.
Provisional measure remains subject to further developments
Under the measure, operators currently authorized to conduct online gambling business in Brazil must shut down their platforms by October 6.
For now, the measure is temporary. It could remain in effect until early March 2027, but will lapse if either house of Congress rejects it or both houses fail to ratify it within the applicable period.
Brazil collected $1.87bn in federal taxes from businesses classified as gambling during the first eight months of 2026, according to Receita Federal data.
At the time of writing, there are currently 188 authorized betting operators in Brazil – each of which were required to pay roughly $5.8m for a five-year license
