Playtech (LSE:PTEC) reported adjusted EBITDA of €162.5 million for the six months ended 30 June, a step change that came in significantly ahead of levels previously expected at the start of the year.
The online gambling platform, content and services provider, which previously flagged its better-than-expected performance in July, today confirmed adjusted EBITDA margin from operations rose to 30%, up from 19% a year earlier.
B2B revenue, the group's largest segment, rose 14% year-on-year to €394.8 million, with B2B adjusted EBITDA up 75% to €128.1 million; growth was led by the US and Canada, where revenue surged 161%, driven largely by Games powered by Past Motor Racing with Hard Rock Bet in Florida, a performance the company expects to normalise in the second half.
Latin America revenue grew 29% on an underlying basis, helped by Mexico, Colombia and customer acquisition during the 2026 FIFA World Cup, while UK B2B revenue fell 8% on customer changes and higher remote gaming duty.
The group's 30.8% stake in Caliente Interactive and its holding in Hard Rock Digital, now valued at €246.7 million against an initial €80 million investment in 2023, drove adjusted investment income up to €34.2 million from €19.8 million.
Free cash flow reached €101.0 million, lifting the Group to a net cash position of €39.2 million after a further €25 million share buyback, taking total repurchases since September 2025 to around 10% of issued share capital for around €100 million.
"Playtech has delivered a first half significantly ahead of our expectations at the start of the year," said chief executive Mor Weizer.
Playtech said it remains on track to deliver full-year adjusted EBITDA of more than €270 million, within its €250-300 million medium-term target range, and now expects to hit the top end of that range and its €70-100 million free cash flow target "far earlier than anticipated".
News Intelligence what this means for the company
Playtech's H1 adjusted EBITDA of €162.5 million nearly doubled year-on-year, driven by a 161% revenue surge in the US and Canada powered by its Hard Rock Bet partnership in Florida. The company now expects to hit the top end of its €250–300 million medium-term EBITDA target and achieve its €70–100 million free cash flow goal "far earlier than anticipated," signalling a material acceleration in both profitability and cash generation.
The Americas breakthrough—particularly the Hard Rock Bet ramp—has lifted Playtech's near-term earnings trajectory materially above prior guidance, though the company flags that US/Canada growth is expected to normalise in H2. The €246.7 million valuation of its Hard Rock Digital holding (against an €80 million 2023 investment) also demonstrates significant unrealised value in its portfolio stakes, which now contribute €34.2 million in annual investment income.
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