ZEAL Network records 22% revenue growth in the first nine months of 2026

ZEAL Network reported group revenue of €198.8 million for the first nine months of 2026, up 22% from €162.6 million in the same period last year. The German online lottery group attributed the increase to its core lottery brokerage business and contributions from games, charity lotteries and the first-time consolidation of UK prize draw business SevenCanyon.

Group EBITDA rose by 9% to €58.7 million from €54.1 million, despite non-recurring expenses in the mid-single-digit millions of euros related to merger and acquisition activity.

Lottery business remains the main revenue driver

The lottery segment generated €170.8 million in revenue during the nine-month period, up 16% from €147.7 million a year earlier. Lottery billings increased by 10% to €915.1 million, compared with €834.3 million in 2025.

ZEAL said the improvement was supported by customer growth and higher activity among existing users. It added more than one million new lottery customers, a 15% increase on the 879,000 recorded in the first nine months of 2025. Average monthly active lottery customers rose to approximately 1.68 million from 1.57 million.

The lottery gross margin improved to 18.3% from 17.5%. The figures underline the continuing importance of lottery brokerage to group performance and point to growth in both the customer base and the segment's reported margin.

Games business adds another source of growth

ZEAL's games segment continued to expand. Revenue increased by 18% to €12.1 million from €10.3 million, while billings rose by 17% to €160.3 million from €136.9 million.

Average monthly active games customers reached 35,000, up from 28,000 a year earlier. Although the segment remains smaller than the core lottery operation in revenue terms, its growth supports ZEAL's effort to broaden its product mix and develop additional sources of activity.

A wider portfolio may help the group reduce its reliance on jackpot-driven changes in lottery demand. The contribution of games will depend on customer engagement and the segment's performance over time.

Charity lotteries broaden the portfolio

Charity lotteries also contributed to ZEAL's diversification. The first season of the Dream Car Raffle concluded in the third quarter of 2026 and a second season had commenced by the time of the company's report.

The Dream House Raffle continued to record double-digit revenue growth, according to ZEAL. During the first nine months of the year, four houses were drawn as prizes, with average billings of approximately €9 million. The company has positioned these products as additional activities alongside its lottery brokerage and games offering.

SevenCanyon consolidation lifts revenue outlook

ZEAL announced the acquisition of the remaining 96.5% stake in SevenCanyon on 9 July 2026, taking its ownership to 100%. The UK prize draw business was included in the group's results for the first time in the third quarter.

SevenCanyon contributed €10.5 million in revenue and €1.4 million in EBITDA. It was reported within the Others segment, where revenue increased by 241% to €15.8 million from €4.6 million a year earlier. Segment EBITDA rose by 59% to €2.6 million.

Following the first-time consolidation and the finalisation of SevenCanyon's revenue presentation under International Financial Reporting Standards (IFRS), ZEAL raised its 2026 group revenue guidance. The company now expects revenue of between €270 million and €280 million, compared with its previous forecast of €250 million to €260 million.

The revised range includes the contribution from the newly consolidated business. Assessments of the group's performance should therefore distinguish the acquisition's contribution from growth in ZEAL's existing operations.

EBITDA guidance remains unchanged

Despite raising its revenue forecast, ZEAL kept its full-year EBITDA guidance at €70 million to €75 million. The range includes expected non-recurring acquisition-related expenses in the mid-single-digit millions of euros and assumes a normal jackpot environment in Germany.

Jackpot conditions can influence customer activity and the performance of lottery-related businesses, so the final outcome will depend in part on market conditions during the remainder of 2026. The nine-month EBITDA increase to €58.7 million shows growth in the measure while the group absorbed transaction-related costs.

Contribution to public funding and charitable causes

ZEAL said its activities contributed more than €300 million to public funding and charitable causes in Germany during the first nine months of 2026. Germany's state lottery companies operate through the Deutscher Lotto- und Totoblock (DLTB). The UK has a separate framework for free draws and prize competitions, including a voluntary code of good practice published by the government. These frameworks provide general context for the markets in which lottery and prize-led products operate and do not determine the legal classification of any individual ZEAL or SevenCanyon product.

Conclusion

ZEAL's nine-month results point to growth across its core lottery operation and a broader contribution from games, charity lotteries and SevenCanyon. Group revenue increased by 22% to €198.8 million, while EBITDA rose by 9% to €58.7 million despite non-recurring acquisition expenses.

The higher revenue guidance reflects SevenCanyon's first-time consolidation and the completion of the related IFRS revenue presentation. ZEAL has kept its EBITDA outlook unchanged, leaving cost control, customer activity and the assumed jackpot environment among the factors to watch through the final quarter.

The strategic significance of the results lies in the continued broadening of ZEAL's business model. Lottery brokerage remains its foundation, while additional products and the UK acquisition expand the group's revenue base. The extent to which this diversification supports sustained growth will become clearer as the acquired business is integrated and newer activities develop.

FAQs

How much revenue did ZEAL Network generate in the first nine months of 2026?
ZEAL Network reported group revenue of €198.8 million for the first nine months of 2026, representing a 22% increase from €162.6 million in the corresponding period of 2025.

How much did ZEAL's EBITDA increase?
Group EBITDA increased by 9% to €58.7 million, compared with €54.1 million in the first nine months of 2025.

What was the main contributor to ZEAL's revenue?
The lottery segment remained the largest contributor, generating €170.8 million in revenue, an increase of 16% year on year.

How much did lottery billings increase?
Lottery billings increased by 10% to €915.1 million during the first nine months of 2026.

How many active lottery customers did ZEAL have?
Average monthly active lottery customers reached approximately 1.68 million, compared with 1.57 million in the previous year's corresponding period.

How did ZEAL's games business perform?
The games segment recorded revenue of €12.1 million, up 18%. Billings increased by 17% to €160.3 million and average monthly active games customers reached 35,000.

What is SevenCanyon's contribution to ZEAL's results?
Following its first-time consolidation in the third quarter, SevenCanyon contributed €10.5 million in revenue and €1.4 million in EBITDA.

Why did ZEAL increase its 2026 revenue forecast?
The company revised its forecast following the first-time consolidation of SevenCanyon and the finalisation of the acquired business's revenue presentation under IFRS.

What is ZEAL's updated revenue guidance for 2026?
ZEAL expects full-year group revenue of between €270 million and €280 million, compared with its previous forecast of €250 million to €260 million.

Did ZEAL change its full-year EBITDA guidance?
No. The company maintained its EBITDA guidance at €70 million to €75 million, including expected acquisition-related non-recurring expenses.