The company announced expected revenue of €285 million for the first three months of 2026, down 3% from €294 million in the same period last year. Operating profit fell to 34 million euros from 64 million euros a year earlier, marking the biggest quarterly profit drop in the company’s recent history.
Key points to remember:
- Betsson’s EBIT collapsed 47% to €34 million as B2B licensing revenue fell 43% to €51 million in the first quarter of 2026.
- Shares plunged more than 20% during the day before closing down 14.4% at SEK 90.10.
- Latin America increased by 24% to €93 million, while the CEECA region fell by 21% to €96 million in terms of regional breakdown.
The B2B segment bears the brunt while the mystery shopper drags the results
The most striking figure of liberation This is the collapse of Betsson’s B2B licensing revenues, which fell by 43% to 51 million euros from 90 million euros. The segment’s share of the group’s total turnover fell from 31% to 18% in a single quarter.
Betsson attributed the drop to lower revenue from a single unnamed B2B customer. Industry analysts have previously linked the underperforming partner of Realm Entertainment, which operates in Turkey’s unregulated gaming market under brands such as Bets10 and Casino Metropol. The country’s ongoing crackdown on illegal gambling has weighed on Betsson’s bottom line for consecutive quarters, with B2B revenue already down 13% in the fourth quarter of 2025 before accelerating to the current 43% decline.
Managing director Pontus Lindwall said the client’s activity levels had stabilized since December, but acknowledged that this segment continues to weigh on the group’s performance. He added that several unprofitable deals between businesses and individuals cost the company between 10 and 15 million euros per quarter in operating income.
Betsson shares closed at 90.10 Swedish crowns on April 9, down 14.4% from the previous close of 104.80 Swedish crowns, after briefly falling more than 20% during the session. The sell-off follows a similar episode in January, when preliminary fourth-quarter results triggered a 21% single-day decline and prompted DNB Carnegie to cut its price target from 190 to 120 crowns.
The regional breakdown showed uneven performance across the group’s key markets. Revenue from Central and Eastern Europe and Central Asia, Betsson’s largest segment and the region most exposed to its B2B operations, fell 21% to €96 million. The Nordic countries fell by 18%, to 31 million euros. Western Europe grew 9% to €61 million, while Latin America saw the biggest increases at 24%, reaching €93 million.
Casino revenues declined slightly while sports betting revenues remained stable with an improved margin of 8.4%, compared to 8% a year earlier. Gross margin fell sharply, from 64% to 57.6%, due to the shift in revenue mix from high-margin B2B licenses to locally regulated markets with higher gaming taxes. Tax charges increased from 45 million euros to 53 million euros.
Betsson noted that the share of revenue from locally regulated markets rose to a record 73%, up from 59%, reflecting its strategic move away from gray market exposure. The operator also holds one of the most significant sponsorship positions in the iGaming sector as the shirt sponsor of Inter Milan in a four-year deal worth around €30 million per season, structured through its Betsson Sport infotainment brand to address Italy’s ban on gambling advertising. the decree on the dignity of the nation under fire from criticism.
Betsson said average daily turnover in the first weeks of the second quarter was 9% higher than the same period in 2025. The full interim report for the first quarter is scheduled for April 24.
