Playtech has experienced initial headwinds in several Latin American regions following new regulations during the first four months of 2025, particularly Brazil and Colombia, but added that it is positive about the opportunities in these markets.
As part of its annual general meeting trading update, the company noted that it has produced a solid start to 2025 with trading in line with expectations, adding that it has made good progress with its strategic objectives as it moves to become a predominantly pure-play B2B business.
In addition, Playtech has completed the sale of Snaitech to Flutter Entertainment, with approximately €1.8bn of the sale proceeds to be paid out to shareholders as a special dividend on 12 June.
Mor Weizer, CEO of Playtech, stated: “It has been a busy start to the year for Playtech as we transition to a predominantly pure-play B2B business.
“With the sale of Snaitech now completed, we have significantly strengthened our balance sheet and will return approximately €1.8bn to shareholders as a special dividend.”
Optimism in Latin America
Regarding Caliplay, Playtech noted that its software fees “continue to see strong growth”, with the revised strategic agreement coming into effect on 31 March, the company is now receiving dividends as a 30.8% equity holder. However, it is no longer entitled to receive additional B2B services fees.
As previously mentioned, Playtech highlighted initial headwinds following new regulations in Latin American markets, but it is positive about the opportunities in these regions. The company said that it was impacted by the transition to the regulated market in Brazil, while a temporary VAT change affected operations in Colombia.
In the US, the company stated that “very strong revenue growth” across its live, casino and platform operations has continued following launches with major operators in the previous year. Investments will continue to be made in live as well to meet the demand for the product across the Americas.
Playtech added that live is a “key driver of performance” with healthy growth, while “the higher margin, less capital-intensive SaaS business showed continued momentum with very strong revenue growth across multiple operators and geographies”.
Weizer added: “Our core B2B business has delivered a solid performance in the first four months of the year, with a standout performance in the US. Given the strategic and operational progress being made across the business, we remain confident in Playtech’s ability to execute on the exciting growth opportunities over the medium term.”
Snaitech sale and board changes
At the end of April, Playtech completed the sale of Snaitech to Flutter for a cash consideration based on an enterprise value of €2.3bn. On 12 June, the company plans to pay approximately €1.8bn of the sale proceeds to shareholders as a special dividend.
Playtech added that it continues to make progress with the sale of the remaining German HAPPYBET business, with an update to be provided soon.
Several board changes have occurred for Playtech in 2025 so far, with John Gleasure set to assume the role of Chair following the AGM after Brian Mattingley stepped down from the position and the board back in January.
Regarding its balance sheet, on 2 May, Playtech served notice to redeem at par the remaining €150m of the €350m senior secured notes on 2 June, which were otherwise due to mature in March 2026.
In March, Playtech reported a 5% year-over-year increase in overall revenue to €1.79bn (FY 2023: €1.7bn) in its FY 2024 results.
Weizer said on the financials: “2024 was a landmark year for Playtech. We successfully reached an agreement to sell Snaitech to Flutter Entertainment, delivering significant value to our shareholders while enabling Playtech to refocus predominantly on its core strengths as a pure-play B2B business.
“Additionally, we are pleased to have secured a revised strategic agreement with Caliplay, our partner in Mexico, providing greater certainty and a strong foundation for future growth.”
