Allwyn saw a big shift during Q2 as a marginal decline in lottery revenue was outpaced by growth in betting and iGaming, and the addition of fantasy sports revenue.
The multinational lottery operator published its Q2 preliminary results this morning, coming after an active 2025 which saw it acquire a majoirty stake in US daily fantasy sports (DFS) firm PrizePicks and merge with Greek lottery and betting operator OPAP.
Q2 trading saw lottery revenue decline 2% to €498m (Q2 2025: €507m). This was still the largest segment for Allwyn by a long shot, however, with the firm’s status as a “lottery-led entertainment group” unchanged.
Much of this lottery revenue comes from the UK, where the firm’s local division, Allwyn UK, has been the operator of the National Lottery since February 2024. It won the Gambling Commission’s tender to run the lottery in 2022, and has consolidated its position in 2026 after seeing off a series of legal challenges.
UK revenue came in at €236m, up 2% year-over-year from Q2 2025 (€232m). Adjusted EBITDA also increased to €23m, up from €6m the year prior, in what will likely be a big confidence boost for Allwyn UK’s new interim Chief Executive Officer, Phil Walker.
Group leadership has also praised its UK performance, citing the increased profitability in the UK as a particularly positive sign. The group is under a lot of pressure to deliver in the UK, having set itself the task of doubling weekly returns to good causes from £30m to £60m by the time its 10-year contract concludes in 2034.
Allwyn’s group CEO, Robert Chvatal, remarked that Q2 saw “strong progress against our growth strategy, continuing to invest in our products and player experience and delivering major product enhancements across the group since the end of the first quarter”.
Allwyn’s European powerhouse
Outside the UK, continental Europe is by far Allwyn’s most significant geography. The firm has a huge amount of heritage here, being based in Switzerland, listed in Athens, and majority owned by Czech investment group KKCG.
The company is active in several markets in Europe outside the UK – Austria, Greece, Cyprus, the Czech Republic and Slovakia, while it is also involved in joint efforts in Germany and Italy, the latter as part of the four company Lottoitalia consortium running the state lottery.
Continental European revenue stood at €731m, up 4% from €701m the year prior. Adjusted EBITDA was down 3%, however, from €303m to €293m, attributed to changes such as increase in gaming tax in Austria, where Allwyn runs casino businesses.
Commenting on Q2 performance across both the EU and UK, Chvatal highlighted new enhanced draw-based games in Austria, the Czech Republic and the UK as particular highlights.
In the UK, the company became the first to run the popular US lottery format Powerball outside its home nation. Chavtal remarked that Allwyn takes a great deal of pride in achieving this milestone.
Beyond lottery…
As mentioned earlier, however, Q2 was notable due to lottery revenue actually declining, albeit by a small margin, while sports betting, iGaming and fantasy sports revenue were up.
This was partly due to the World Cup, with Allwyn’s interests in sports betting via a stake in Kaizen Gaming’s global Betano brand and OPAP’s betting operations in Greece and Cyprus paying off during the quarter.
Sports betting revenue stood at €145m, up 12% from €130m, while iGaming revenue also grew 24% to €147m (€119m). By far the most notable non-lottery revenue segment was daily fantasy sports (DFS), however.
Allwyn acquired a majority stake in PrizePicks last year, with the valuation establishing the company as the world’s largest publicly listed lottery company and one of the biggest publicly listed gaming companies.
Although the takeover continues to contribute to corporate debt in 2026, the revenue it has brought can’t be scoffed at. DFS operations brought in an extra €231m in Q2 2025, with no comparative to the year prior.
Further growth is on the horizon as PrizePicks beefs up its status in the growing prediction markets space.
Cvatal explained: “In North America we continue to rapidly develop PrizePicks’ offering, enabling players to combine PlayerPicks with a TeamPick within a single line-up, integrating prediction markets alongside DFS and helping to deepen engagement and expand the ways in which customers can play.”
All in all, Allwyn’s group-wide review was up 27% to €1.2bn (€979m), alongside EBITDA growth of 29% to €458m (€355m) and a 35% increase in profits after tax to €239m (€177m).
The company expects to close 2026 with net revenue growth in the mid-to-high 20% region, with an accompanying adjusted EBITDA margin of 37%.