Lottomatica’s betting segment was hindered by unfavourable sports results during Q1, with revenue down despite a significant increase in sports bets received.
Continued momentum in Lottomatica’s online business led the company to slight increases in GGR during Q1, despite low hold causing a year-on-year revenue decline in its betting segment.
On Wednesday Lottomatica announced its Q1 earnings for the three-month period ending 31 March, displaying year-on-year GGR growth of 2% to €1.25 million.
Revenue edged up 3% to €602 million, while adjusted EBITDA reached €236 million for the quarter, a 7% rise.
Lottomatica’s Q1 revenue and EBITDA growth was powered by double-digit growth from its online segment, which posted revenue of €264.7 million, a 10% increase.
Lottomatica’s online growth helped to offset flat performance from its gaming segment and a 5% decline in revenue from sports betting.
Sports betting revenue fell to €142.4 million from the €150.4 million generated in the same quarter last year.
This was despite total betting volume increasing 11% to €12.4 million during Q1, as Lottomatica suffered from unfavourable sports payouts compared to Q1 2025.
Lottomatica chairman and CEO Guglielmo Angelozzi noted the company’s strong momentum across its addressable markets, revealing the business expected to reach the upper end of its FY2026 guidance of an adjusted EBITDA between €940 million and €980 million.
The company also expects to return up to €1 billion to its shareholders in 2026 and 2027.
Lottomatica’s share of the Italian online market in Q1 stood at 31.8%, up 1.4% from Q1 2025.
It achieved a 0.7% iSports market share gain to 32.5%, as well as a 1.9% increase in its iGaming share to 32.2%.
Lottomatica highlighted the “good progression” made by its PlanetWin365 (PWO) brand, which was rebranded after the €639 million acquisition of SKS365 in April 2024.
PWO’s total sports market share has recovered to 9%, the same level as before PWO’s migration onto Lottomatica’s proprietary platform. Its iGaming market share was 5.5% in Q1, recovering half of the market share lost during the migration.
No concerns from Lottomatica over prediction markets
After booming in the US, prediction markets are now causing waves across the Atlantic, with several regulators taking steps to block them.
France’s regulator, l’Autorité Nationale des Jeux, blocked the prominent operator Polymarket in 2024, and warned prediction markets were considered illegal earlier this year.
Polymarket has also been blocked in other European jurisdictions such as Germany and Belgium, as well as Italy in October 2025.
Lottomatica described prediction markets as a “non-issue”, citing their illegality in Italy and its belief that there isn’t the demand for the single and pre-match bets that prediction markets base their sports offerings on.
During the post-Q1 investor call Angelozzi added: “The product/consumer mismatch continues to be strong. We don’t believe there is any market space [for prediction markets].”
Kyle Goldsmith
Kyle has been with Clarion since December 2023, joining from the world of sports journalism, subsequently becoming a LatAm-facing senior reporter with iGB.
Kyle Goldsmith
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