Playtech reported a 10% year-on-year increase in first-half revenue to €425.1 million, with B2B performance in North America driving what the company described as “exceptional growth”.
Revenue from the US and Canada rose 161% year on year, or 176% at constant currency, to €56.9 million. Playtech attributed the increase to its partnership with Hard Rock Bet in Florida and strong performance from games powered by Past Motor Racing (PMR). It expects these factors to normalise in subsequent quarters.
Americas remains central to growth
North America remains a prominent market for Playtech. The company’s US general manager Jonathan Doubilet said in June that performance in the region had exceeded expectations.
Revenue from Latin America increased 29% during the six-month period to €100 million. Playtech linked the growth to customer acquisition associated with the World Cup in Mexico and Colombia.
The company said Mexico’s average audience was 100% higher than during the 2022 World Cup, supporting what it called “excellent new customer acquisition” during the tournament.
Total B2B revenue grew 14% year on year to €394.8 million, while adjusted EBITDA increased 75% to €128.1 million. The UK was the only B2B market to report a decline, with revenue down 8% to €59 million. Playtech said the result reflected “certain customer-specific changes and increased Remote Gaming Duty”.
European revenue excluding the UK rose 2%. Regulated revenue represented 83% of total B2B revenue and grew 21%, compared with unregulated revenue.
CEO defends regulated-market strategy
During an analyst call, Playtech CEO Mor Weizer said regulated revenue would continue to expand, while the company would also “continue to support those markets that we believe over time will become regulated”.
“Unregulated is not illegal,” Weizer said. “We will continue to support those markets that we believe over time will become regulated.”
He added that Playtech’s investment was being directed towards regulated markets and that the company could eventually consider withdrawing from some jurisdictions. Weizer said regulated revenues were “more than 85%”.
B2C revenue fell 22% to €32 million. The segment was affected by Playtech’s disposal of most of its B2C operations during the previous year, including Snaitech and Happy Bet.
B2C now consists predominantly of Sun Bingo in the UK. Playtech said in March that it was reviewing the white-label brand because of the impact of the UK Remote Gaming Duty increase earlier this year.
Playtech said it was directing targeted investment towards high-growth areas such as live casino. The Americas remained its main geographic focus, and the company expects to reach profitability in the US this year.
