evoke has once again warned of the dire consequences that loom after UK tax increases, after its Q4 success was driven by gaming growth.
Yet, progress showcased by its retail operations in the fourth quarter could fuel investors looking to capitalise on the availability of the operator’s assets.
The operator – which is heavily exposed to UK turbulence through its William Hill, 888 and Mr Green brands – is in the midst of a transformational period, emphasising that strategic options are being assessed in this area.
A strategic review of its operations was initiated by evoke in December 2025, in the wake of the UK government increasing remote gaming duty to 40% from April this year. All options are on the table, including the potential sale of the group.
With the review still in process, the operator has decided not to provide any performance projections for this year, despite 2025 revenue expected to rise 2% year-over-year to approximately £1.79bn and adjusted EBITDA is expected to be in the range of £355m to £360m (approximately 14-15% increase YoY), in line with market expectations.
Retail resurgence
evoke experienced an uplift in its retail vertical with revenue rising by 10% year-over-year, yet despite this, the group continues to trim the fat in terms of its UK retail portfolio, confirming the closure of more shops as a result of tougher taxation rates.
The operator’s retail footprint consists of its William Hill UK presence, which, further streamlined amid shop closures, will have alerted the attention of potential investors eyeing the assets of the embattled operator.
Whilst it is a sector that has struggled in recent years, the appetite for the UK high street is on the verge of a resurgence. The sector was provided a reason for optimism after it avoided the tax hikes, which were cited as crippling for other aspects of UK gambling.
evoke’s UK retail trajectory has provided a reason for optimism, after the second quarter of last year saw it produce one of its best quarters since 2023 – largely fuelled by the installation of an abundance of new gaming machines.
However, mitigation actions have been executed by the operator with the strategic review and UK remote gaming duty increase in mind, including the closure of retail locations that are no longer sustainable. This could coax in investors as they hunt for corners of the UK market that remain profitable despite being squeezed by tougher taxation rules.
evoke expressed its disappointment with the UK tax changes, believing it to be a “significant blow” to the operator and the wider regulated industry.
“We continue to believe these tax increases will negatively impact the industry’s economic contribution, customer protection, and will ultimately serve to support further growth in the illegal black market,” stated Per Widerström, CEO of evoke.
“As a result of these significant UK tax increases, the board is assessing its strategic options, with a resolute focus on maximising shareholder value.”
Q4 revenue
Q4 concluded as evoke’s strongest quarter of 2025. Gaming increased by 9% YoY, with a return to growth for 888casino in the UK and international operations rising by 14% YoY. However, betting revenue declined by 22% YoY “due to a strong prior year comparative”.
Revenue during the period was approximately £464m, up 7% quarter-over-quarter but down 3% YoY, attributed to a “strong comparative period with operator-friendly sporting results” last year. A strong start to 2026 has been achieved as well.
“During Q4 we made good progress against our strategic plans, delivering our best quarter of the year and demonstrating the underlying momentum in the business,” noted Widerström.
“Our focus on core markets continued to drive our profitable growth, with Italy and Denmark both delivering record quarterly revenues in Q4. This positive momentum has continued into 2026 with a strong start to the year with good growth across all divisions.”
Widerström added that evoke will update shareholders on its progress and updated strategic plan in due course.
