Betsson Q3 Revenue Hits Record €326.5m Despite Tax Hit

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Betsson Q3 Revenue Hits Record €326.5m Despite Tax Hit

Betsson AB has reported record quarterly revenue of €326.5m for the third quarter of 2026, up 10% year-on-year, as active customers climbed 40% to a record 1.9 million. The Betsson Q3 revenue figures mask a sharp profit decline, with EBITDA down 23% and net income falling 44% as gaming taxes and regulatory costs bit into margins.

What happened

Betsson AB reported record revenue in Q3 2026, as the figure grew 10% year-on-year to €326.5m, with total revenue for the first nine months of the year reaching €922.1m, representing 3.2% growth year-on-year.

EBITDA for the quarter dipped 23% to €63.4m from €82.5m as pressures including higher betting duties and gaming taxes, payment provider expenses, a drop in high-margin B2B licence revenue and increased marketing costs hit the business, with the EBITDA margin contracting from 27.9% to 19.4%.

EBITDA was €63.4m, down 23%; EBIT fell 31% to €46.1m and net income fell 44% to €28.2m, with EPS at €0.19 versus €0.34 a year earlier.

Revenue was higher across both casino and sportsbook operations, while active customers hiked 40% to a record 1.9 million, which Betsson put down to continued growth in established and locally regulated markets.

Casino remained not only the primary source of revenue for the group, but also the reason for year-on-year growth, with casino revenue hitting €253.5m, up 14% from Q3 last year.

Sportsbook revenue edged up just 1% year-on-year to €71.8m, despite an 8% rise in gross turnover to €1.37bn, helped by the World Cup, while the sportsbook margin after free bets fell from 8.8% to 8.1%.

Latin America again generated the most revenue of any region at €116.1m, up 52% and a new quarterly record, with Betsson reporting strong growth across Argentina, Peru and Colombia.

The group also flagged the recent shutdown of the Brazil market, saying it remains uncertain over the long-term impact.

Why it matters

The Betsson Q3 revenue split illustrates a structural shift reshaping operator economics across Europe and Latin America.
Revenue from locally regulated markets now represents 78% of total revenue, up dramatically from 45% in Q3 2023, while point-of-sale regulated markets declined to 22% from 55% over the same period.
That shift has been the primary driver of the margin pressure visible in this quarter’s numbers.

For suppliers and affiliates, the figures confirm that volume growth no longer automatically converts into proportional profit. Operators are absorbing higher duty and compliance costs as more revenue moves into regulated channels, which puts pressure on marketing budgets and affiliate commercial terms even as customer acquisition accelerates. Betsson’s casino segment, now the dominant growth driver, suggests partners focused on slots and live casino content are better placed to benefit than pure sportsbook affiliates in the current cycle.

The bigger picture

Betsson described Q3 as its strongest revenue quarter ever, supported by major sporting events, especially the FIFA World Cup and the start of European football leagues, with its casino business also hitting an all-time high.

The quarter showed a clear split between growth and profitability, as revenue and customer numbers reached record levels while margins weakened from more business being generated in locally regulated markets, where taxes are higher.

The Brazil disruption adds another layer of uncertainty for Betsson and its peers operating across Latin America, a region the group has relied on heavily for growth. The result lands amid a broader pattern this earnings season of operators reporting strong top-line growth alongside shrinking margins, a trend already visible in Catena Media’s decision to scrap its 2026 growth target after a weak third quarter. Rising duties in regulated markets across Europe are increasingly the common thread behind these results.

Sources

Comments

One response to “Betsson Q3 Revenue Hits Record €326.5m Despite Tax Hit”

  1. Gibraltar Gambling Tax Lobby Enlists Farage Before Budget

    […] The Treasury has previously shown little appetite to reverse course. Exchequer Secretary Dan Tomlinson welcomed Gibraltar’s engagement but made clear the government would not budge from its decision when Feetham raised similar concerns earlier this year. With the Budget now imminent, Gibraltar’s government appears to be hedging its bets by widening its political contacts beyond the governing party, a tactic that mirrors how Betsson and other operators have already had to adjust guidance around the tax hit, as covered in Betsson’s record Q3 results despite the tax hit. […]

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