Lottomatica posts best-ever Q1 results, shares hit 52-week high
Lottomatica Group has announced its strongest first-quarter results to date. The Italian gaming major reported total revenues reaching €585.7 million, a 33.1 percent increase year-on-year. Lottomatica’s impressive performance was largely driven by its online segment, which saw revenues soar by 59.5 percent to €239.8 million. This number in itself is almost the entire company’s first-quarter revenue for 2024.
The sports franchise business segment also registered strong growth, with revenues up 59.4 percent to €150.4 million. The gaming franchise business segment continued to be flat, adding €195.5 million to total revenue, similar to its showing in the previous year’s corresponding period.
Overall, Lottomatica achieved adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) of €220.5 million for the quarter, a 47.5 percent improvement compared to Q1 2024’s €149.5 million. The adjusted EBITDA margin also saw an increase, rising to 37.6 percent from 34 percent. The company reported a strong operating cash flow of €184.4 million, up from €110.1 million in the first quarter of 2024. Net financial debt saw a slight decrease to €1.80 billion from €1.87 billion in Q1 2024. Adjusted net income for the quarter stood at €94.7 million, a substantial rise from €49.7 million in Q1 2024.
Also read: State of play in Italy’s gaming industry
CEO highlights strong start
In a statement, Lottomatica Group CEO Guglielmo Angelozzi commented, “We have started the year on an excellent note, recording our best-ever first quarter results and paving the way for a successful 2025“. He added, “The integration of PWO is progressing well and we have identified additional synergies. Market trends support our organic growth path and we feel confident about the strength of our business, also in the current macroeconomic environment“.
Also read: Italy’s iGaming market transforms amid new regulations
Refinancing and share buyback
Angelozzi also highlighted the successful refinancing of €1.1 billion, which is expected to result in savings interest. Building on this strong financial position and cash flow generation, Lottomatica announced the launch of a share buyback program of up to €500 million, set to begin in June 2025 and run for up to 18 months. The CEO stated that this program “will continue to compete for capital allocation with other opportunities, including M&A, with the aim of maximising shareholder returns“.
Market reaction and future outlook
Following the on 7 May 2025, the Euronext Milan-listed Lottomatica’s shares surged 1.92 percent to hit a 52-week high of €21.26. The company also confirmed its guidance for the 2025 fiscal year, projecting revenues between €2,320-2,370 million and an Adjusted EBITDA of €840-870 million. Additionally, credit ratings for the company have been upgraded to BB by S&P and Ba2 by Moody’s.
