Shares in Betsson dropped sharply following the release of its preliminary Q1 2026 results, at one point falling more than 20% before recovering slightly. As of April 9, the stock is trading at SEK90.10, down 14.4% from the previous close of SEK104.80.
The company expects Q1 revenue to reach €285 million, marking a 3% decline from €294 million in the same period last year. Profitability saw a steeper drop, with EBIT projected at €34 million compared to €64 million in Q1 2025.
Regional performance was uneven, with the most significant downturn coming from Central and Eastern Europe and Central Asia (CEECA). Revenue in this segment fell 21% year-on-year, from €122 million to €96 million.
Despite the decline, CEECA remains Betsson’s largest revenue-generating region. However, strong growth in Latin America is closing the gap, with revenue rising 24% to €93 million.
The weaker performance continues a trend seen in Q4 2025, when total revenue dipped slightly year-on-year and CEECA revenue declined by 9%.
Market pressure may be linked to regulatory developments in Turkey, where President Recep Tayyip Erdoğan has taken a strong stance against unlicensed online gambling, describing it as potentially “more damaging than terrorism” and pledging to eliminate it.
Betsson is believed to have exposure to the Turkish market through a B2B agreement, which may be contributing to the downturn.
The results also reflect a shift in Betsson’s revenue mix. CEO Pontus Lindwall has previously highlighted a strategic pivot toward B2C operations.
This is evident in Q1 figures, where B2B revenue dropped significantly from €90 million to €51 million. Meanwhile, B2C performance showed resilience, with casino revenue up 4% and sportsbook remaining stable.
Lindwall noted that B2B performance had been “weighed down by lower revenue at one of our customers,” but added that activity levels for that partner have stabilized since December.
Betsson reported that average daily revenue in Q2 is currently tracking 9% higher than the same period last year, offering some optimism. However, this has not prevented a negative market reaction.
Investors will need to wait until April 24, when the full Q1 interim report is released, for a clearer view of the company’s performance and outlook.
