Evolution, a global leader in online casino solutions, has reported a remarkable 14.7% growth in net revenue for 2024. The company’s full-year net revenue reached €2.06 billion ($2.11 billion), and total operating revenues were €2.21 billion ($2.27 billion). Despite operational setbacks, Evolution achieved an 11.3% rise in adjusted EBITDA, reaching €1.41 billion ($1.45 billion), although its EBITDA margin decreased slightly to 68.4% from 70.5% in 2023.
CEO Martin Carlesund emphasized Evolution’s resilience throughout the challenges. “During the past year, Evolution has strengthened its position as the world’s leading provider and innovator of online casino games,” Carlesund stated. He added that the company had to tackle several difficulties, including “sabotage activities towards our Georgian studio, cyber-attacks in the Asia region, and also an increased tax rate.”
Challenges in Georgia and Cybersecurity Issues
One of the key obstacles Evolution faced in 2024 was a strike at its live casino studio in Tbilisi, Georgia. Employees walked off the job in July, citing concerns over working conditions, pay, and labor rights. This caused a 40% reduction in the studio’s capacity, forcing Evolution to scale back its live casino offerings.
However, Evolution continued to grow its live casino segment by adding over 300 new tables across various locations. The number of live casino tables reached 1,700 by the end of 2024, with 100 new tables being added despite the Georgia setback.
“We are currently operating without any disruptions in Georgia and expect to remain at the current reduced capacity as we ramp up expansion in other studios,” Carlesund mentioned.
Cyber-attacks also posed a threat to Evolution’s operations in Asia, where the company’s video distribution services were targeted. While no specific losses were revealed, Carlesund explained that Asia’s performance remained flat compared to previous quarters due to ongoing security concerns.
In Q4 2024, Evolution posted net revenue of €533.8 million ($549.2 million), marking a 12.3% increase from the same period in 2023. The live casino segment performed exceptionally well, growing 13.3% year-over-year, generating €459.4 million ($472.66 million). Meanwhile, revenue from RNG games rose by 6.6% to €74.4 million ($76.5 million).
The company’s adjusted EBITDA for Q4 surged by 7.9% to €363.6 million ($374 million), although the EBITDA margin slightly declined to 68.1% from 70.9% in Q4 2023. Evolution’s profit for the quarter jumped 33.3% to €377.1 million ($388 million), while earnings per share grew by 38.6% to €1.83 ($1.88).
“We saw strong momentum in the final quarter of the year in North America, Latin America, and Europe,” Carlesund said. “Development in Asia is flat versus the previous quarter as we continue to face challenges from cyber-attacks towards our video distribution in the region.”
Looking ahead, Evolution is optimistic about its prospects for 2025. The company expects continued expansion but projects a slightly lower EBITDA margin due to rising operational costs and a focus on regulated markets.
“We continue to innovate and develop our world-leading product portfolio,” Carlesund remarked. “The key to our future success is to continue to give players an exciting, entertaining, and flawless playing experience.”
As part of its strategy, Evolution plans to open three to four new live casino studios in 2025, with projects underway in Brazil and the Philippines. The company also announced a proposed dividend of €2.80 ($2.8) per share for 2024, up from €2.65 ($2.7) per share in 2023.
In a further display of confidence in its long-term profitability, Evolution intends to repurchase up to €500 million ($514.4 million) worth of shares.
“Evolution is highly profitable, debt-free, with strong cash flow delivering capital returns to shareholders,” Carlesund concluded. “We are very well positioned for 2025, and I look forward to what we will do during the year to continue to maximize after-tax earnings for our shareholders.”
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