Camelot acquisitions double Allwyn revenue in Q3

The lottery giant drives growth despite challenging conditions.

Czech Republic.- The Czech lottery giant Allwyn Group, formerly Sazka, has reported consolidated revenue of €2bn for Q3, double its results in the same quarter last year. The leap in revenue was due to its acquisition of Camelot UK and Camelot Lottery Solutions in the US from the Ontario Teachers’ Pension Plan Board.

Excluding Camelot, pro-forma Q3 revenue was level with last year. The group said it had been a challenging quarter, particularly in Greece and Cyprus, where revenue fell by 4 per cent to €503m. The company said that “customer-friendly sports results”, unfavorable jackpot cycles in lottery and the closure of some points of sale due to floods and wildfires added to the impact of wider economic challenges.

However, revenue was up 2 per cent in Austria, 6 per cent in the Czech Republic and 6 per cent in Italy. The company said it also made progress on expansion plans. Adjusted EBITDA for the quarter was €368m, up 16 per cent year-on-year but level at €319m when excluding the Camelot acqusitions. The EBITDA margin was 41.7 per cent.

Allwyn Group CEO Robert Chvatal said: “The steady performance in our existing geographies was underpinned by continued progress in digital, where we see the benefits of our ongoing focus on product development and the customer proposition. Alongside this, we continue to roll out a number of important game innovations, including new launches in the exciting annuity category in Austria, the Czech Republic, and Greece and Cyprus. In doing so, we remain committed to our responsibilities to all our stakeholders, including our relentless focus on safe play. 

“Overall, despite the sector headwinds in the quarter, I am very pleased with Allwyn’s continued progress and believe we are well-positioned to end 2023 successfully and for the next chapters of our growth story.” 

Allwyn will take over the running of the UK National Lottery under its own name in February. Meanwhile, it’s emerged that Northern & Shell, a failed bidder for the National Lottery tender, is taking legal action against the Gambling Commission. It’s seeking damages to cover the costs of its failed bid, which the British regulator had deemed to be “fanciful”.