Evoke weighs its options as FY2025 revenue reaches £1.79 billion

• Evoke generated £1.79 billion in revenue for 2025, up 2% year-over-year with strong Q4 performance.
• Adjusted EBITDA projected between £355-360 million, representing 14-15% increase and 20% margin.
• Company undertaking strategic review including potential sale following UK budget tax increases.

Evoke plc reported expected revenues of £1.79 billion for the year ending 31 December 2025 in a trading update released on 27 January 2026, representing a 2% increase from 2024.

The London-listed gambling operator delivered its strongest quarter of the year in Q4 2025, with revenue reaching approximately £464 million, up 7% quarter-over-quarter.

The company’s adjusted EBITDA is projected between £355-360 million for the full year, marking a 14-15% year-over-year increase and achieving approximately 20% margin.

However, the update comes as Evoke undertakes a strategic review of options including potential sale of the group or its assets following significant UK tax increases.

Strong Q4 performance driven by core markets

Q4 2025 delivered approximately £464 million in revenue, with particularly strong performance in Italy and Denmark, both achieving record quarterly revenues. Gaming growth drove results across the period, whilst betting revenue declined 22% year-over-year for the three months to end December.

Per Widerström, CEO of Evoke plc, commented:

“During Q4 we made good progress against our strategic plans, delivering our best quarter of the year and demonstrating the underlying momentum in the business. Our focus on core markets continued to drive our profitable growth, with Italy and Denmark both delivering record quarterly revenues in Q4.”

The company operates brands including William Hill, 888casino, and Mr Green across regulated markets in Europe and Latin America. Early 2026 trading has shown strong momentum with good growth across all divisions.

UK budget impact prompts strategic review

Evoke expressed disappointment with the UK budget announced in November 2025, describing tax increases as “a significant blow to both Evoke and the wider regulated industry.”

The company estimates an annual impact of approximately £125-135 million from the tax changes.

Widerström added:

“We continue to believe these tax increases will negatively impact the industry’s economic contribution, customer protection, and will ultimately serve to support further growth in the illegal black market.”

The board responded by appointing Morgan Stanley in December 2025 to assist with a strategic review. Options under consideration include sale of the group as a whole or disposal of individual assets. As of June 2025, the company’s net debt stood at £1.82 billion.

Operational developments and market positioning

Evoke completed the rollout of 5,000 new gaming cabinets across its UK retail estate by March 2025, contributing to improved retail performance in H2 2025. The retail division returned to growth in Q2 following the gaming machine upgrade.

The company maintained focus on five core markets: UK, Italy, Spain, Denmark, and Romania. International core markets showed particular strength, with constant currency growth driving overall performance despite challenges in the UK market.

Retail estate rationalisation

Widerström confirmed plans to close underperforming betting shops that are “no longer sustainable” following the UK tax increases. The company has moved swiftly to execute mitigation plans including store closures and broader cost savings initiatives.

The William Hill retail brand operates over 1,300 shops across the United Kingdom, though the estate has faced pressure from increased taxation and changing customer behaviour towards online betting. The rationalisation forms part of efforts to maintain profitability in the face of new cost pressures.

Widerström concluded:

“We have moved quickly and decisively to execute on our mitigation plans including the closure of retail stores that are no longer sustainable as well as broader cost savings, and we will update shareholders on our progress and updated strategic plan in due course.”

Forward guidance suspended

Evoke will not provide forward-looking financial guidance during the strategic review process. The company indicated it would update shareholders on progress and updated strategic plans in due course.

Early trading on the London Stock Exchange saw Evoke’s share price decline 2.7% following the trading update release. Market analysts continue to monitor the strategic review process as the key driver of near-term share price performance.

The company’s position shows broader challenges facing the UK gambling industry following recent regulatory and tax changes. The strategic review outcome will determine whether Evoke continues as an independent operator or pursues consolidation through sale or asset disposals.