Latin America continued to be one of the most dynamic growth regions in the global gaming industry in the first quarter of 2026. From Brazil's regulatory adaptation period to stable output, to Mexico and Peru continuing to act as performance engines for multiple operators, this gaming market spanning Central and South America is delivering its own unique quarterly report card. Flutter's revenue in Brazil surged 722% year-over-year to $74 million, and Betnacional's average monthly player count grew by over 40%; Codere Online set a quarterly record with a 13% NGR increase in Mexico; Betsson's revenue in Latin America climbed 25%, accounting for one-third of the group's total revenue; Rush Street Interactive's monthly active users in Latin America soared 54% to about 543,000, with revenue per user jumping from $32 in Q4 last year to $54. However, this seemingly all-green data set hides a common dark line—unfavorable sports event payout results are eroding the profit margins of various operators.
Brazil has passed the regulatory shock period, and sports payouts have become a common headwind
Flutter is the most notable winner in the Latin American market this quarter. This gaming giant's $74 million quarterly revenue in Brazil represents a 722% leap from the same period last year, which was only $9 million, thanks to its strategic layout that began to pay off with the acquisition of a 56% stake in Betnacional operator NSX Group for $356 million last May. Betnacional's average monthly active players grew by over 40% year-over-year, which Flutter attributes to continuous improvements in sports betting and online gaming products, even though brand revenue only increased by 1%—the growth in volume and online gaming revenue was severely offset by extremely unfavorable sports event results. Flutter's Betfair Brazil achieved a 10% organic growth, successfully overcoming the customer acquisition barriers brought by the re-registration process after the regulatory market started in January 2025, and the company clearly plans to further enhance parlay products and promotional efforts to meet the traffic peak of the World Cup in June.
Entain also felt the chill of sports payouts in Brazil. The international segment's net gaming revenue only increased by 1%, and the 8% growth in online gaming revenue barely filled the 3% decline in sports betting revenue, which still bled despite an 11% surge in betting volume. CEO Stella David candidly stated in the earnings call that the sports profit margin in the Brazilian market has been extremely low for the past three quarters, reminding all players betting in this market to stay vigilant. She has a pragmatic expectation for the World Cup, estimating that it will contribute about 1% to the annual revenue, and should not overpromise its pulling effect, but admits that it provides an excellent customer acquisition window, with the Brazilian market deeply involved.
Mexico and Peru continue to attract money, and the supply chain pattern in Colombia emerges
Codere Online's engine in Mexico continues to run at high speed. NGR grew 13% year-over-year to 34.6 million euros, average monthly active players climbed 20%, and adjusted EBITDA soared over 60% to 2.9 million euros. CFO Alireldsen emphasized in the earnings call that the company continues to invest in expanding its customer base, improving products and customer experience, while adopting a selective strategy in World Cup-related marketing, preferring to pursue efficient returns rather than blindly competing in the market. This focus on core markets effectively hedged the combined 2% NGR decline in the three secondary markets of Argentina, Panama, and Colombia.
Betsson's layout in Latin America also reaped substantial rewards. The region's revenue grew 25% year-over-year, contributing about one-third of the group's total revenue, with Peru being specifically praised by CEO Lindval as an exceptionally performing market. He explicitly stated that the company will continue to increase marketing and sponsorship investments in core markets, maintaining a certain expectation for continued growth in the region.
On the supply chain side, Kambi disclosed a set of data with dominance in Colombia—the company currently provides technology supply to about 70% of the operator market in the country. CEO Beshel claimed Kambi is a clear leader in Colombia and revealed that more developments in Latin America are about to unfold. He also mentioned the political noise heating up in Brazil before the October 4 elections—the recent public stance of President Lula leaning towards banning gambling, although Beshel personally believes this is not the correct path to guide the business to a regulated market, but also acknowledges that Brazilian operators may face more policy pressure in the coming months.
PASA official website continues to track the growth dynamics and regulatory evolution of the Latin American gaming market, noting that Latin American countries are transitioning from post-pandemic recovery growth to differentiated competition—Brazil is gradually stabilizing amidst regulatory shocks, Mexico and Peru continue to act as growth poles, while Argentina and Colombia need to find their own balance amidst political noise and structural adjustments.
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