Playtech Sees 5% Revenue Growth, Eyes B2B-Focused Future

Playtech ended 2024 with €1.79 billion in revenue, marking a 4.9% uptick from €1.71 billion the year prior. While this figure underscores solid momentum, it also reflects a tapering growth rate compared to 6.6% in 2023 and 32% in 2022.

Despite the deceleration, Playtech’s business-to-business (B2B) operations served as a major driver, delivering a 22% year-over-year increase in adjusted EBITDA. This surge helped the company reach its medium-term earnings target of €200–250 million ahead of schedule.

Strategic Divestment and U.S. Expansion

A key highlight of 2024 was Playtech’s agreement to sell Snaitech, its Italian-facing B2C brand, to Flutter Entertainment—the parent company of FanDuel—for €2.3 billion. This transaction, anticipated to finalize in Q2 2025 pending regulatory clearance, represents a return nearly three times Playtech’s original investment. The company intends to distribute €1.7–1.8 billion of the proceeds to shareholders via a special dividend.

“This was a landmark year for Playtech,” said CEO Mor Weizer. “We successfully reached an agreement to sell Snaitech to Flutter Entertainment, delivering significant value to our shareholders while enabling Playtech to refocus predominantly on its core strengths as a pure-play B2B business.”

The sale reinforces Playtech’s strategic shift toward B2B services and away from direct consumer operations. The company also advanced its position in the U.S. by forming alliances with major players such as Hard Rock Digital, DraftKings, and MGM Resorts International. One notable initiative is the new MGM Live offering, which enables real-time casino gameplay streaming directly from the floors of MGM Grand and Bellagio in Las Vegas.

Playtech also launched live and casino content with Hard Rock in New Jersey and strengthened its position in Latin America, particularly in Colombia and Brazil. Revenue in the Americas rose by 19% to €251.6 million, with U.S. and Canadian revenues more than doubling from €13.2 million to €29.8 million.

Robust B2B Performance and SaaS Momentum

Revenue from Playtech’s B2B segment climbed 10% year-on-year to €754.3 million. Adjusted EBITDA in the segment reached €222 million, reflecting strong operational leverage and efficient cost management. SaaS income in particular surged by 59% to €80 million, suring internal goals.

Live casino operations also posted impressive results, with a 24% increase in revenue from regulated markets. Playtech further broadened its AI-powered safer gambling solution, BetBuddy, rolling it out to seven additional brands, bringing the total to 23 across 14 jurisdictions.

The company’s revised agreement with Mexican partner Caliplay also clarified Playtech’s future direction. Completion of the updated arrangement, which cements Playtech’s status as a primarily B2B provider, is set for March 2025.

B2C: Mixed Results Amid Transition

While the focus has shifted to B2B, Playtech’s remaining B2C operations showed modest performance. Revenue from this division edged up 2% to €1.05 billion, while adjusted EBITDA rose 3% to €258.4 million. HAPPYBET posted a continued loss of €11.8 million, prompting Playtech to shutter its Austrian arm and begin divestment of its German operations. Meanwhile, Sun Bingo and other consumer-facing assets saw a 7% increase in revenue to €78.9 million, though profitability dipped due to new affordability checks.

Financial Outlook and Capital Strategy

Overall adjusted EBITDA for the group stood at €480.4 million in 2024, an 11% improvement over 2023 and slightly ahead of previous guidance. The group’s net debt was reduced by nearly half, falling to €142.8 million. Playtech also secured a new €225 million revolving credit facility, set to replace its current €277 million facility upon completion of the Snaitech deal.

Looking ahead, Playtech has set fresh financial objectives for its continuing operations. These include a medium-term adjusted EBITDA target of €250–300 million and free cash flow of €70–100 million. With a solid balance sheet and a sharpened strategic focus, the company plans to pursue both organic growth and potential acquisitions.

“The combination of Playtech’s industry-leading technology with its exposure to attractive markets underpins our confidence in the Group’s new medium-term targets,” said Weizer. “We are excited about the future and the many opportunities ahead.”

Source:

2024 Full Year Results, investors.playtech.com, March 27, 2025.