Allwyn recorded a sharp increase in second-quarter revenue as the contribution from US daily fantasy sports operator PrizePicks strengthened the group’s North American business and helped offset softer lottery performance.
The company reported net revenue of €1.246 billion for the three months ended 30 June 2026, up 27% from €979 million a year earlier. Adjusted EBITDA increased 29% to €458 million, while the EBITDA margin improved from 36.3% to 36.8%.
PrizePicks has been included in Allwyn’s consolidated accounts since 16 January following the completion of Allwyn’s acquisition of a majority stake in the US operator. The transaction involved an initial $1.6 billion cash consideration for approximately 62.3% of PrizePicks, with additional performance-linked payments potentially due in 2029.
Excluding PrizePicks and the effect of higher gaming taxes in Austria, Allwyn said underlying net revenue grew 5% year on year. Adjusted EBITDA increased 9% when PrizePicks, the Austrian tax changes and higher LottoItalia licence-fee amortisation were also excluded.
North America becomes a major growth engine
North America delivered the most significant expansion during the quarter. Net revenue from the region climbed from €54 million in Q2 2025 to €294 million, while adjusted EBITDA reached €104 million. PrizePicks itself posted 3% year-on-year net revenue growth on a standalone constant-currency basis.
Allwyn has continued expanding the PrizePicks product range since completing the deal. Development has included allowing customers to combine PlayerPicks and TeamPick selections in the same line-up, while prediction-market products are also being integrated alongside the company’s existing DFS offering.
Continental Europe remained Allwyn’s largest region, generating €731 million in net revenue, 4% more than a year earlier. Growth would have been approximately 6% excluding the impact of higher gaming taxes in Austria.
The UK recorded a more modest 2% rise in net revenue to €236 million. Profitability improved more noticeably, however, with adjusted EBITDA increasing from €6 million to €23 million following completion of the technology transformation of The National Lottery.
Allwyn also continued rolling out product changes across its European operations, including new or upgraded draw-based lottery games in Austria, the Czech Republic and Britain. The UK business has also introduced Powerball, becoming the first operator outside the United States to offer the lottery game.
Sports betting and iGaming compensate for weaker lottery revenue
Lottery remained Allwyn’s largest individual product category but declined during the quarter. Net lottery revenue fell 2% year on year to €498 million, partly because the comparable 2025 period benefited from stronger jackpot cycles.
Continental European lottery revenue was down 5% to €262 million, while UK lottery revenue increased 2% to €236 million.
Other verticals performed more strongly. Sports betting net revenue increased 12%, supported in part by betting activity around the 2026 FIFA World Cup, while iGaming revenue rose 24%.
Betano, in which Allwyn holds a minority investment, recorded a 26% increase in total revenue on a constant-currency basis. However, Allwyn’s share of Betano net income decreased 3% to €61 million due to items recorded below EBITDA.
After the quarter ended, Allwyn also agreed to raise its stake in Next Lotto, an online reseller of German state lottery products, to approximately 65%. The increased holding will give Allwyn control of the business.
Allwyn maintains 2026 outlook and shareholder returns
The group has maintained its financial guidance for 2026. Allwyn expects consolidated net revenue to increase by a percentage in the mid-to-high twenties before approximately €60 million of previously identified one-off effects in Continental Europe. Adjusted EBITDA margin is expected to remain close to 37%.
Capital expenditure fell 39% during Q2 to €38 million, while adjusted EBITDA after capital expenditure increased 43% to €420 million.
Allwyn’s board also approved an interim distribution of €0.20 per share for the 2026 financial year. The payment is scheduled for 12 November. Together with the company’s share-buyback programme, Allwyn said total capital returns for the 2026 calendar year have reached €1.19 per share.
The company launched a buyback programme of up to €150 million during the quarter and had repurchased more than 6.5 million shares for €89 million as of 21 August.