OPAP Sees Impressive Growth with €1.15 Billion in Gross Gaming Revenue for First Half of 2025
In a noteworthy financial report, OPAP, now under the ownership of Allwyn, has announced a gross gaming revenue (GGR) of €1.15 billion ($1.34 billion) for the first half of its 2025 fiscal year. This marks a robust 6.5% increase from the same period last year, largely attributed to a significant surge in its iGaming operations.
The €1.15 billion reported for the six months ending June 30 comfortably surpasses last year’s figure of €1.08 billion, signaling a vibrant performance for the gaming operator.
Revenue Drivers
Four out of OPAP’s five business segments displayed growth during this period, with the sole exception being the instant and passive games segment, which experienced a minor decline. Lottery sales remain the backbone of OPAP’s revenue structure, trailing closely behind sports betting. Yet, it’s the iGaming sector that has truly stood out, showcasing impressive gains.
iGaming revenue reached €171.3 million, reflecting a remarkable 22.1% increase year-on-year. This growth can be credited to heightened player engagement, a sentiment echoed by CEO Jan Karas, who noted, “iGaming delivered strong results for yet another quarter, driven by evolving game offerings and enhancements to user experience.”
Lottery Dominance
The lottery segment, a crucial pillar of OPAP’s offerings, saw its revenue rise 3.9% year-on-year to €386.7 million. Karas highlighted the Tzoker and Eurojackpot draws as key contributors to this growth, with Tzoker attracting players through a series of favorable jackpot rollovers.
“Continuous engagement in Tzoker and the positive strides in Eurojackpot, spurred by a new communication campaign, significantly boosted retail traffic and performance across all gaming verticals,” he elaborated.
The Impact of Euro 2024 on Sports Betting
Sports betting revenue experienced a modest 5.2% increase, totaling €368.2 million. This segment faced challenging comparisons from last year due to the initiation of the Euro 2024 football tournament. A slight decline of 1.9% in betting revenue during the second quarter was noted, despite slight upswings in the opening quarter.
Meanwhile, video lottery terminals (VLTs) marked a 4.3% revenue growth, accumulating €173.7 million, thanks to ongoing improvements and upgrades across OPAP’s network of terminals.
Stability Amidst Challenges
The only segment to face a downturn was instant and passive games, which saw a 0.5% dip to €52.2 million. However, there are signs of recovery as this segment returned to growth in the second quarter, notably with scratchcards showing promise.
Bottom-Line Performance
Net gaming revenue for the first half amounted to €787.9 million, a 6.4% increase over the previous year. Despite rising costs, the overall revenue growth led to an EBITDA of €398.4 million, up 6.6%. Operating profit climbed to €329.8 million, with pre-tax profits reflecting a 7% increase to €324.5 million. Following tax payments of €84.5 million, OPAP concluded the period with a net profit of €329.7 million, splitting profits between shareholders and non-controlling interests.
Q2 Insights and Future Outlook
In the second quarter alone, GGR increased by 4.7%, reaching €557.9 million, benefitting from the strong showing in the iGaming segment and increases across other areas such as lottery and betting. The Q2 net gaming revenue hit €381.5 million, with gross profit also rising markedly.
Looking ahead, Karas expressed optimism about OPAP’s trajectory, asserting, “We are well-positioned to meet our financial goals for 2025 as we focus on implementing strategic priorities while honoring our ESG commitments and delivering value to all stakeholders.”
As OPAP navigates the evolving landscape of the gaming industry, its commitment to innovation and customer engagement will be crucial to sustaining growth.