Playtech continues to regard its legal dispute with Evolution in the US as only a ‘contingent liability’, revealing that its competitor has yet to file a formal claim in the notorious Black Cube case.
Playtech stands by its decision to commission independent business intelligence firm Black Cube to analyse the business practices of Evolution and disputes any allegations of unlawful conduct.
As a result, no actual cash provisions have been set aside in Playtech’s balance sheet within its recently published FY2025 financial report to cover potential lawsuit losses.
In the notes section of its report, Playtech stated: “On 21 October 2025, Evolution AB publicly identified Playtech Software Limited, a subsidiary of the Group, as the commissioning party behind a 2021 report prepared by Black Cube, which has been referenced in ongoing US proceedings but not involving any Group entity.
“In addition, on the same date Evolution AB publicly stated that it will amend its complaint to add Playtech Software Ltd to the lawsuit. However, as at the date of approval of these financial statements, Evolution has not requested the permission of the Court to add any Group entity to the New Jersey proceedings and no claim has been served on Playtech Plc, Playtech Software Limited or any other Group entity.
“The Group disputes any allegation of unlawful conduct. Given the early stage and the absence of any claim served on the Group, including any indication of the amount that may be claimed, this is considered a contingent liability only.”
In October last year, Evolution claimed Playtech subsidiary Playtech Software Limited was accountable for commissioning Black Cube to investigate the provider’s activities in prohibited and sanctioned markets, as well as its supply to unlicensed operators in regulated markets.
Playtech responded at the time by stating that the suggestion that its subsidiary took part in a smear campaign is “wholly untrue and is designed to distract from serious questions about Evolution’s business practices”, adding that it stands by its decision to commission the report and that it welcomes a court examination.
Back in February, Evolution was also tight-lipped about any updates on the litigation in its Q4 report to investors, but Chief Executive Officer Martin Carlesund said that the company is “looking forward to moving forward with the lawsuit”.
Revenue dip but Playtech happy with FY26 start
Playtech noted that its FY25 group revenue from continuing operations was down 10% year-over-year to €763.6m (FY24: €848m), as B2B and B2C revenues declined in comparison to the previous year. Group adjusted EBITDA was €197m, a 9% decline (FY24: €217.5m).
B2B revenue fell by 9% YoY to €688.3m (FY24: €754.3m), largely due to a revised agreement with Caliente Interactive impacting Latin America operations. Regulated markets revenue dropped by 7% to €559.4m (FY24: €598.4m) due to the Caliente change and declines in the UK, which were partially offset by growth across the US and Canada. On an underlying basis, regulated revenue rose by 6%.
B2C revenue declined by 20% to €78.5m (FY24: €97.8m). HAPPYBET in Germany is nearing completion of its wind-down, with its anticipated completion expected in 2026.
In May 2025, Playtech reached an agreement with NetX Betting, a subsidiary of the Frankfurt-listed operator pferdewetten.de AG, for the sale of certain HAPPYBET hardware assets. The process has been finalised, with contractual arrangements in place with the relevant franchise partners.
Meanwhile, Sun Bingo and other B2C operations were impacted by regulatory measures and marketing restrictions. Sun Bingo operations are under review as a result of online gambling tax changes in the UK.
As of 31 December 2025, net cash stood at €28.5m, rising from a net debt position of €142.8m at the end of 2024. Free cash flow stood at €29.5m, down from €73.1m in FY24.
Mor Weizer, CEO of Playtech, described 2025 as a year of “significant transition for Playtech”, following the completion of the sale of Snaitech.
He added: “The US delivered a particularly strong performance, with revenue nearly doubling as momentum accelerated across our partnerships. We achieved a number of important strategic milestones, expanding into additional iGaming states and continuing to grow our Live offering.”
“Our position in Latin America also strengthened, supported by the revised agreement with Caliente, which is performing well and further enhances our position in Mexico.
“The strong momentum we saw in 2025 has carried over into the start of 2026, particularly in the Americas. We remain confident in achieving our ambitious medium-term targets and see exciting opportunities for the Group across our markets.”
