OPAP Posts Record €2.41bn Gaming Revenue in 2025 as Digital Growth Offsets Rising Costs

OPAP reported gross gaming revenue (GGR) of €2,407.9 million for the full year 2025, marking a 4.9% increase compared with the previous year and setting a new record for the Greek gaming operator. The milestone was largely supported by continued expansion in online gaming alongside solid performance from the company’s retail operations. However, a significant increase in operating expenses during the year placed pressure on profitability, reducing EBITDA margins and slightly weighing on net earnings.

Growth was recorded across most of the company’s business verticals, with online casino activity leading the expansion. Revenue from iGaming reached €350.6 million for the year, representing a 16.9% rise from €299.9 million recorded in 2024. Video Lottery Terminals (VLTs) generated €365.6 million, up 6.0% year-on-year, supported by the company’s continuing terminal upgrade programme. Lottery operations produced €803.7 million in revenue, a 3.7% increase attributed largely to strong performance from the KINO product and particularly strong results from Tzoker. The sports betting segment delivered €782.2 million in revenue, a modest 1.4% improvement over the previous year, although favourable outcomes for customers during the fourth quarter partially offset the annual gains. The Instant and Passives category showed minimal movement, bringing in €105.8 million for the year, representing a 0.7% increase.

Online activity continued to represent a growing share of OPAP’s total business. In the fourth quarter alone, digital channels accounted for 32% of total GGR, the highest proportion recorded across the past four quarters. The company’s iLottery offering also continued to gain traction throughout the year, contributing to the broader digital momentum.

Although gross profit from gaming activities rose to €1,018.9 million, an increase of 5.1% that outpaced overall revenue growth, rising costs significantly affected profitability further down the income statement. Operating expenses climbed 14.7% year-on-year to €488.4 million, largely due to higher payroll and marketing expenditures associated with OPAP’s digital expansion strategy. Payroll costs rose 14.4% to €119.3 million as the company increased its workforce to support its online business development. Marketing spending also expanded, climbing 9.8% to €156.5 million, with advertising expenses alone rising 10.3% for the year. In addition, IT-related expenditures increased sharply, rising 24.5% to €54.1 million.

As a result of these higher costs, full-year EBITDA reached €824.6 million, representing a slight decline of 0.9% compared with the prior year. When adjusting for one-off items, including €12.0 million in exceptional expenses recorded in 2025 and €4.1 million in one-off income reported in 2024, recurring EBITDA amounted to €836.6 million, reflecting a modest increase of 1.1%. Even with this adjusted improvement, the EBITDA margin narrowed from 36.2% in the previous year to 34.2%.

Net profit for the year stood at €483.4 million, slightly lower than the €485.8 million recorded in 2024, marking a marginal 0.5% decline. Excluding exceptional items from both years, recurring net profit reached €496.1 million, reflecting a 0.9% increase on a year-on-year basis. The fourth quarter, however, showed more noticeable pressure on earnings. Net profit for the final quarter of 2025 declined 16.2% to €122.2 million, primarily due to higher operating costs and increased interest expenses.

During the fourth quarter, OPAP generated GGR of €652.0 million, representing a 0.6% increase compared with the same period a year earlier. VLTs were the strongest performer during the quarter, with revenue rising 9.2% to €103.5 million. Online casino activity continued its rapid expansion, increasing 16.2% year-on-year to €99.0 million. In contrast, the lottery segment declined 2.6% to €196.4 million, while sports betting dropped 4.9% to €224.4 million. The decline in betting revenue reflected unfavourable sports outcomes during the period. The PowerSpin product recorded particularly strong momentum during the quarter, achieving a 27% increase.

Fourth-quarter EBITDA reached €212.0 million, representing a 13.5% decrease on a reported basis and a 7.0% decline on a like-for-like basis. The reduction was largely attributed to higher advertising costs during the quarter, which included additional expenditure linked to rebranding initiatives.

Despite pressure on earnings, OPAP maintained a strong balance sheet throughout the year. The company’s net debt-to-last-twelve-months EBITDA ratio stood at 0.20x, or 0.24x when including lease liabilities. Cash flow from operating activities increased slightly, rising 1.7% to €716.5 million. Shareholders also received significant returns during the year, with total distributions amounting to €1.30 per share paid during 2025.

Corporate restructuring also took place during the year. Following a resolution passed at an Extraordinary General Meeting in January 2026, the company cancelled 11,459,263 treasury shares on 27 February 2026, leaving 358,603,478 shares outstanding. In addition, OPAP was recognized for its workplace practices, receiving the Top Employer Greece 2026 certification for the fourth consecutive year from the Top Employers Institute.

Meanwhile, preparations continue for the planned business combination between OPAP and Allwyn, which remains on schedule for completion during the second quarter of 2026. Following the completion of the transaction, shareholders are expected to receive an additional distribution of €0.80 per share, supplementing the €1.30 per share already paid during 2025. The cut-off date for eligibility for the €0.80 distribution will occur before 19 June 2026, the same date on which futures contracts tied to OPAP shares and the FTSE/ATHEX Large Cap index expire.

Commenting on the results and the upcoming corporate transformation, CEO Jan Karas stated: “FY 2025 was a highly successful year for OPAP, marked by a new GGR record, which led to the delivery of our outlook. Looking ahead, we are excited about the business combination of OPAP and Allwyn, which creates one of the leading global lottery and gaming operators, and delivers both strategic and financial benefits to our shareholders. Overall, a new era, the era of Allwyn, has started and we are looking forward to a new chapter of growth, powered by market-leading innovations, unique entertainment experience and a strong commitment to giving back to society.”

Once completed, the merger will create one of the world’s largest lottery and gaming groups. Allwyn has already demonstrated its ambitions to expand internationally through strategic acquisitions, including its purchase of a majority stake in the U.S.-based daily fantasy sports platform PrizePicks for $2.5 billion in 2025, a deal that underscored its broader expansion strategy beyond its European lottery roots.

OPAP’s growing online business reflects a wider transformation taking place within the Greek gambling market. Greece’s iGaming sector experienced growth exceeding 50% during the second half of 2025, with mobile platforms accounting for roughly 80% of digital activity. OPAP’s own digital expansion, which now represents 14.6% of total GGR, mirrors this broader structural shift toward online gaming. Across Europe, the trend is even more pronounced. Total gross gambling revenue across the continent reached €123.4 billion in 2024, with online channels consistently outpacing land-based operations.

With the Allwyn merger approaching, the 2025 financial year represents OPAP’s final full-year results as an independent publicly listed company. The anticipated completion of the transaction in the second quarter of 2026 will determine both the timing of the €0.80 shareholder distribution and when the combined entity begins reporting consolidated financial results under the Allwyn brand.

By fLEXI tEAM