Evolution Gaming confirmed that its operational strategy in the United Kingdom will remain unchanged following a regulatory settlement with the UK Gambling Commission. The agreement was finalized earlier this week after a probe into the supplier's distribution practices.
The regulator ordered the company to pay £4.75 million ($6.4 million) after discovering that Evolution content was accessible on six unlicensed websites through two operators. During the Q2 earnings call, CEO Martin Carlesund stated that the settlement would not alter the company’s current procedures in the region. Carlesund also addressed the recent increase in the UK Remote Gaming Duty, which rose from 21% to 40% on 1 April.
He noted that excessive taxation can negatively impact market channelisation, pointing to the UK and the Netherlands where formal market share has reached 50%.
Q2 Financial Performance
Europe returned to quarter-on-quarter growth in the second quarter, with revenue increasing by 3.5% compared to the first quarter. Latin America recorded 26.3% year-on-year growth, while North America saw a 9.5% rise over the same period last year. In Asia, revenue declined by 3.7% quarter-on-quarter due to heightened cybercrime activity.
Overall, net revenue for the period fell 1.2% to €517.8 million, and EBITDA decreased to €341 million. For the first half of the year, net revenue dropped 1.4% to €1.038 billion, while EBITDA stood at €676.3 million.
The regulatory investigation that led to the settlement originated in December 2024. Despite the slight decline in total figures, Carlesund described the Q2 results as positive, highlighting strong cost control and improving cash flow as key factors in the company's continued expansion.