ZEAL Network SE reported first-quarter results showing a small gain in billings despite subdued jackpot activity during the period.
The company recorded billings of €268 million, a 1% increase year-over-year. ZEAL’s active customer count rose 5% to 1,575,000, up from 1,507,000 in the first quarter of 2025 - an expansion the company attributed to stepped-up marketing spend.
Revenue for the quarter reached €54.3 million, a 6% increase compared with the prior-year period and narrowly below analyst expectations of €54.6 million. The firm noted an improved lottery take rate of 17.8%, up from 17.1% in the same quarter a year earlier.
First-quarter EBITDA was €15.5 million, down 13% from the prior year, producing a margin of approximately 29%. That EBITDA result was marginally ahead of consensus estimates, which stood at €15.3 million.
Customer acquisition trends showed some moderation. ZEAL added 247,000 new customers in the first quarter of 2026 compared with 274,000 in the first quarter of 2025.
The Games segment posted stronger growth within the quarter, with revenue up 14% to €3.9 million from €3.4 million a year earlier. ZEAL also expanded its business-to-consumer games portfolio to more than 740 titles, which the company said contributed to higher monthly active user figures.
Management reiterated its full-year 2026 guidance, forecasting revenue in a range between €250 million and €260 million and EBITDA between €70 million and €75 million. Analyst consensus sits at €254 million in revenue and €73.5 million in EBITDA for 2026.
Looking further ahead, ZEAL maintained its outlook for the 2027-2029 period, continuing to target mid-teens to double-digit revenue growth and an EBITDA margin above 30%.
Data highlights
- Billings: €268 million, +1% year-over-year
- Active customers: 1,575,000, +5% year-over-year
- Revenue: €54.3 million, +6% year-over-year (analyst estimate: €54.6 million)
- Lottery take rate: 17.8% (prior year: 17.1%)
- EBITDA: €15.5 million, -13% year-over-year; margin ~29% (consensus: €15.3 million)
- New customers Q1 2026: 247,000 (Q1 2025: 274,000)
- Games revenue: €3.9 million, +14% (prior year: €3.4 million); B2C titles: >740
This quarter’s results underline a contrast between solid customer and revenue trends and pressure on profitability related to jackpot performance and cost dynamics. Management’s decision to reaffirm the 2026 guidance indicates confidence in the company’s underlying model, even as near-term variability in jackpots and customer acquisition pace remain factors to monitor.