Betsson released a preliminary earnings forecast for Q4 2025, expecting revenues to reach 304 million euros, only 1% lower than the 307 million euros in the same period last year, still withstanding pressure amidst slowing growth in the Nordic and Central Eastern Europe and Central Asia (CEECA) markets. However, operating profit is expected to decline by 24.3%, from 70 million euros in the same period last year to 53 million euros, and the gross margin will also drop from 65.3% to 60.5%. The number of active players in the group has increased year-on-year, with significant differentiation in performance across different regions and business lines, while continuing to invest in product technology and increasing the number of employees. Tax expenditures rose 23% year-on-year to 53 million euros, combined with a slight decline in revenue and increased investment, leading to a decline in profits. Analysis of the performance of related gaming companies and compliance standards can be found on the PASA official website.
Regional Performance Diversification: Growth in Western Europe and Latin America Offsets Decline in Nordic CEECA
Betsson's market performance in various regions shows significant differentiation, with growth areas successfully offsetting the impact of declining areas:
Declining areas: The CEECA market remains the highest revenue area, expected to generate 120 million euros, but down 9.1% year-on-year; the Nordic market revenue is 34 million euros, a decrease of 15% year-on-year, from 40 million euros to 34 million euros;
Growth areas: The Western European market performed brightly, with revenue increasing by 15.1% year-on-year to 61 million euros; the Latin American market benefited from new market launches in Brazil and Paraguay in 2025, with revenue growing by 7.7% to 84 million euros;
Other regions: Global other regions' revenue exceeded 5 million euros, becoming a supplementary growth driver.
This regional differentiation reflects the advantage of Betsson's business diversification, avoiding excessive impact of single market fluctuations on overall performance.
Business Structure: Casino Business Becomes Revenue Pillar, Sports Betting Under Pressure
Looking at business types, different segments show significant performance differences, with the casino business becoming the core of stable revenue:
Casino business: Continuously leading, expected revenue of 220 million euros, up 2.8% year-on-year, is the main pillar of the group's revenue;
Sports betting: Under pressure, revenue down 8.8% year-on-year to 83 million euros;
Other gaming products: Revenue significantly declined, halving year-on-year to just 1 million euros.
It is worth noting that Betsson's revenue from locally regulated markets reached a new quarterly historical high of 68%, significantly up from 60% in the same period last year, which also led to a corresponding increase in tax expenditures.
Growth Expected in 2026: World Cup + Product Investment Empowers Growth
Despite the decline in Q4 profits, Betsson's President and CEO Pontus Lindwall remains optimistic about the future:
Short-term positive: The average daily revenue in the first 15 days of Q1 2026 is 1% higher than the entire Q1 of the previous year, starting the year off well;
Growth drivers: Major investments in product development in 2025 will gradually take effect in 2026, and the upcoming FIFA World Cup is expected to drive business growth;
Investment logic: The group's product development is mainly completed by internal staff, which has led to an increase in personnel costs, but in the long term, it is beneficial for building core competitiveness.
Betsson plans to release the complete financial report for Q4 2025 on February 5, when more performance details will be disclosed.
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This article is from "PASA-Global iGaming Leader" gambling news channel:https://t.me/pasa_news
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