Evolution returns to growth in Europe but may walk away from $85m Galaxy Gaming deal

Evolution’s Q2 2026 numbers were mixed: revenue dipped 1.2% year-on-year to €517.8m, but Europe finally returned to sequential growth. For high-risk PSPs, the more interesting part is that the company now looks set to terminate its $85m acquisition of US-based Galaxy Gaming after two years of delays.

1. Q2 revenue was down slightly, but not everywhere. Evolution reported net revenue of €517.8m for Q2 2026, down 1.2% from Q2 2025, though up 2.4% at constant currency. EBITDA came in at €341m, versus €345.3m a year earlier, and profit rose slightly to €251.4m from €248.3m.
2. H1 2026 still points to a large operation with stable earnings power. For the first half of 2026, Evolution posted €1.03bn in revenue and €676.3m in EBITDA. Live casino remained the main driver, bringing in €437.3m in the quarter, while RNG games contributed €80.5m.
3. The Galaxy Gaming acquisition now looks close to dead. Evolution agreed to buy the US-based casino table games developer and technology provider for $85m in July 2024, but the closing date has been pushed back repeatedly. A revised deadline expired today, and CEO Martin Carlesund said that after today either party may terminate the agreement.
4. Carlesund framed Galaxy as non-essential to the core business. In commenting on Q2 2026 results, he said Evolution has spent “significant time, effort and resources” on the deal’s administration, but added that Galaxy is “a great company” and that the transaction is not significant for Evolution because of its size. He also said the outcome has no material impact on existing business, US operations, or long-term ambitions.
5. Europe improved; North America kept growing. European revenue rose 3.5% quarter-on-quarter to €173m, ending several quarters of decline, helped by demand for game shows and native-language tables, though it was still 4% below the same period last year. North America revenue increased 9.5% year-on-year to €81m.

Evolution also continued to push content in Q2 2026, launching Monopoly Roulette and Monopoly Roll’em under its exclusive partnership with Hasbro, while Ice Fishing remained one of its strongest recent releases. For PSPs and acquirers serving gaming merchants, the practical read-through is simple: Evolution is still scaling its content and regional mix, but the Galaxy deal appears to be a distraction rather than a strategic pillar.