Playtech Raises 2026 EBITDA Forecast Above €300 Million

Playtech expects adjusted EBITDA to exceed €300 million in 2026 after strong trading in the Americas. However, the gambling technology supplier has warned that competition, gambling taxes and regulatory changes could affect earnings next year.

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Playtech has raised its earnings outlook twice since July, but analysts expect a different story in 2027.

Seven analysts currently forecast adjusted EBITDA of €266 million for next year, well below the new 2026 guidance. Playtech has not yet issued its own 2027 forecast.

One concern comes from the US, where rival suppliers are entering the Past Motor Racing (PMR) market. Playtech developed its PMR product through an extended investment program and benefited from launching ahead of competitors alongside Hard Rock Digital.

Although PMR revenue remains strong, Playtech expects competing products to reduce its share of customer spending in 2027.

Brazil presents another problem. Following political and regulatory changes that resulted in a market shutdown, Playtech expects to absorb a three-month earnings impact in 2026. However, a continued shutdown could create a larger financial hit next year.

Meanwhile, higher Remote Gaming Duty in the UK, effective since April 2026, will affect operations for a full year in 2027. Additional gambling tax increases across Europe could also weigh on earnings.

Hard Rock Digital Partnership Drives Playtech Growth

Despite those concerns, Playtech reported better-than-expected trading between July 1 and October 31.

Its US partnership with Hard Rock Digital contributed heavily, while Mexico and Colombia benefited from increased activity following the Men’s FIFA World Cup.

Mor Weizer, CEO of Playtech, said:

“We have continued to deliver an excellent performance in 2026 to date, reflecting 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.”

The latest upgrade places Playtech above its medium-term adjusted EBITDA target range of €250 million to €300 million.

In July, the company raised its 2026 earnings guidance to at least €270 million. It maintained that outlook in September after reporting first-half adjusted EBITDA of €162.5 million, up 77%.

The new forecast exceeds the €279 million analyst consensus and represents at least a €21 million improvement over market expectations.

Playtech Shares Fall Despite Higher Earnings Forecast

Investors initially welcomed the November 10 trading update, sending Playtech shares as high as 385p. However, the stock finished at 364.8p, down 1% from the previous close.

Shares remain nearly 29% higher than at the end of 2025, although they have fallen around 18% from the September high of 445p.

Analysts remain divided. Recent ratings include one buy, one hold and one sell, with an average 12-month price target of 400p.

Playtech has not announced when it will release its 2027 earnings outlook.

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