Playtech has raised its full-year adjusted EBITDA guidance to more than €300 million, citing a “continued strong performance” across its Americas business.
Following higher revenue and earnings in the first half of 2026, Playtech had maintained a medium-term adjusted EBITDA range of €250 million to €300 million, with an initial full-year forecast of €270 million.
However, in its trading update covering 1 July to 30 September, the company said adjusted EBITDA is now expected to exceed that range and current analyst estimates of €271 million to €285 million, with a consensus of €279 million.
US growth supports earnings despite regulatory pressures
Playtech attributed its stronger outlook partly to the performance of its past motor racing (PMR) product, which has generated significant revenue through its partnership with Hard Rock Digital.
The company benefited from being first to market with the product but expects increased competition from third-party PMR suppliers to affect its market share more significantly in 2027.
Playtech also anticipates that regulatory developments in Brazil will affect adjusted EBITDA for three months in 2026. Although the company expects to absorb the impact this year, the consequences could be greater in 2027 if the market shutdown continues.
Meanwhile, higher UK Remote Gaming Duty (RGD) and increased gambling taxes in other European markets are expected to add further costs, with the full-year UK impact beginning in 2027.
“We have continued to deliver an excellent performance in 2026 to date,” said CEO Mor Weizer. “We saw sustained momentum in regulated markets, notably the Americas.
“Performance in the US, driven by our partnership with Hard Rock Digital, has remained strong, contributing significantly to profitability and cash flow, while Mexico and Colombia have benefitted from tailwinds after the Men’s FIFA World Cup.”
Playtech maintains confidence despite uncertain 2027 outlook
Current analyst consensus places Playtech’s adjusted EBITDA for 2027 at approximately €266 million. The company has not issued its own guidance for next year, although Weizer acknowledged that regulatory changes, taxation and competition could affect performance.
Despite these pressures, he added: “We remain confident in the underlying strength of the business and the significant opportunities ahead as we continue to expand our presence in regulated and regulating markets and work towards the top-end of our medium-term targets.”
Playtech shares rise following earnings update
Playtech’s share price increased by more than 4% following the announcement. UK investment bank Peel Hunt published a note titled ‘No brakes on NASCAR’, highlighting the performance of Playtech’s PMR product.
“Playtech’s success with Past Motor Racing results from astute investment by management,” wrote Peel Hunt analyst Ivor Jones. “We believe that this ability to lead rather than follow is, and will continue to be, a decisive factor in Playtech’s success,” he added.
Peel Hunt maintained its Buy recommendation and 690p share price target.
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