Portugal’s online gambling industry now shows less growth, after several years of rapid expansion. In Q1 2025, Portugal’s online gambling gross revenue decreased compared to the last quarter for the first time in almost three years, and the market is now flatter after steady expansion. The Gaming Regulation and Inspection Service recorded online gambling gross revenue at €284.7 million ($335.4 million) for the quarter, 9% higher year-on-year, mostly because the sports betting margin reached 23% for Q1.

But, this figure dropped from the record €323 million from Q4 2024. The market showed a quarter-on-quarter decline for the first time since Q2 2022, and a 12% fall marked the largest drop from a prior quarter since 2018. Revenue from online casinos was 60% of the total at €169.7 million, which is a 6% rise year-on-year but 8% down from the previous quarter. Online sports betting brought in €114.9 million, up 14% since the same quarter last year, though that was a 17% fall compared to the previous quarter, the biggest drop in the segment since 2022.

Market Developing

Ricardo Domingues, board chairman of the Portuguese Online Betting and Gambling Association (APAJO), said that slower growth in the market is “something natural in a market that is maturing.” He added that their main goal is still handling demand, especially because of competition from illegal operators. The number of active online gambling accounts in Portugal rose by 7% from the previous quarter to reach 4.8 million. Portugal’s government earned €82.7 million from online gambling taxes during the quarter, an amount APAJO said matches the Environmental Fund target.

More than a Decade in Business

Portugal’s regulated online gambling industry has now been running for more than ten years, after laws were passed in April 2015. There are 30 license holders, with 13 for online sports betting and 17 for online casinos. For 2024, the industry’s gross revenue was €1.11 billion, showing a big increase from €845 million in 2023.