Evoke cuts 270 shops as Q3 revenue falls 7% and MGD rise looms
Q3 revenue £406m; Bally’s Intralot deal progressing as UK tax rises threaten retail margin
Key Takeaways
- Evoke reported Q3 revenue of £406m, a 7% year‑on‑year decline and a 2% like‑for‑like fall.
- The company has reduced its retail estate by 270 shops, down from 1,302 to 1,024 at 30 June.
- Evoke estimates increases to Remote Gaming Duty and online betting tax will add £125m–£135m a year to its tax bill once fully in force.
- The agreed Bally’s Intralot transaction values the offer at £243.1m and secured 99.91% shareholder approval for the scheme.
Evoke reported a 7% drop in third-quarter revenue to £406m, and said most of the impact reflected a reduced retail estate and sporting results that favoured customers. The company, owner of the William Hill, 888 and Mr Green brands, disclosed the figure in its trading update for the quarter to 30 September 2026 and said the deal with Bally’s Intralot remains live.
Quarter results
Group revenue for the three months to 30 September was £406m, down from £435.4m in the same period a year earlier. On a constant currency, like-for-like basis excluding closed shops, the decline was 2%. Evoke said early football results had favoured customers and reduced group growth by 1-2 percentage points; after adjusting for expected sporting margins, revenue was described by the company as "broadly flat".
Shop reductions and tax cost
Evoke’s retail estate fell from 1,302 shops to 1,024 as at 30 June, following several rounds of closures begun after the UK Budget in November 2025. Evoke closed 68 shops in Q4 2025 and confirmed in March that around 200 William Hill locations would close from 24 May. The company expects the reductions to contribute about £11m to annual EBITDA.
The tax changes cited by Evoke include the rise in the Remote Gaming Duty from 21% to 40% from 1 April 2026, and an increase in the online sports betting tax from 15% to 25% in April 2027. Evoke estimates those two changes would add between £125m and £135m to its annual tax bill once fully in force. In the first half of the fiscal year, gaming taxes rose by £46m across the UK, Italy and Romania.
Operational performance and balance sheet
In the first half, retail revenue fell 2.6% to £245.6m, though it grew 4% on a like-for-like basis. Adjusted EBITDA declined 9.5% to £150.2m. The group posted a £549.1m loss in 2025, driven by £440.3m of impairments related to its online and UK retail businesses. Net debt reached £1.9bn, equivalent to 5.6 times adjusted EBITDA.
Bally’s Intralot transaction and refinancing
The strategic review launched in December 2025, advised by Morgan Stanley and Rothschild, concluded on 5 June when Athens-listed Bally’s Intralot agreed a fully share-based acquisition for £243.1m. Evoke shareholders will receive 0.537 new Intralot shares per Evoke share, valued at 52p; there is a cash alternative capped at £117.1m. The deal was compared with the £2.2bn paid by 888 to Caesars for non-US William Hill in 2022.
A creditor syndicate led by TPG Credit, with Oaktree and OHA, committed about £889m to refinance Evoke’s secured senior debt. Evoke shareholders approved the transaction in August with 99.91% of scheme votes in favour, and Bally’s Intralot shareholders also approved. Evoke said it has received most of the regulatory approvals required. GiG agreed in August to acquire 80% of 888AFRICA for €16.4m, with completion expected late Q4 2026 or early Q1 2027.
Statements and political timetable
Per Widerström, CEO of Evoke, said:
"On an underlying basis the business continues to show resilience and reflects our continued emphasis on profitability and cash generation following the substantial increases in gaming duties, particularly in the UK."
Widerström added that the closure of 270 shops over the past year demonstrates the impact on jobs and livelihoods from higher taxation and urged the UK government to "think carefully" about any further rises ahead of the autumn Budget. Chancellor John Healey will deliver the Budget on 28 October. According to The Times, the Machine Games Duty could rise from 20% to 25% in the standard band, covering most machines with costs up to £5 per play; the Social Market Foundation proposed a 40% rate in June.
The sector warns of material consequences: the Betting and Gaming Council estimates more than 600 shops and 5,000 jobs could be lost between the last Budget and the end of 2026. Flutter has put up to 1,400 jobs at risk in the UK and Ireland and Betfred is consulting on 132 shop closures. If MGD rises to 25% and is confirmed on 28 October, the increase would come before the deal completes; Bally’s Intralot would inherit a retail network already resized by higher online taxes and a larger rise would put the remaining William Hill shops’ profitability under review.
Evoke says it is meanwhile focused on operational discipline and execution efficiency.
Frequently Asked Questions
How much did Evoke’s revenue fall in Q3?
Revenue in the third quarter fell 7% to £406m, down from £435.4m in the same period a year earlier; on a like‑for‑like basis excluding closed shops the decline was 2%.
How many shops did Evoke close and what is the estate now?
Evoke closed around 270 shops over the past year, reducing the estate from 1,302 to 1,024 shops as of 30 June.
What is the Bally’s Intralot deal and how much is it worth?
The proposed transaction announced 5 June is a fully share‑based acquisition valued at £243.1m: Evoke shareholders would receive 0.537 new Intralot shares per Evoke share (valued at 52p), with a cash alternative capped at £117.1m.
What additional tax impact does Evoke expect from regulatory changes?
Evoke estimates that raising the Remote Gaming Duty to 40% and increasing the online sports betting tax to 25% would add between £125m and £135m to its annual tax bill once both measures are fully effective.
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About the author
Emilio Navarro
Industry Technology Correspondent
Emilio Navarro covers the cross-cutting technology and business of iGaming — platforms, data and AI, compliance tooling, affiliate marketing, financial results, and the stories that fit no single rubric. The reports open with the announcement, cite vendors and figures exactly as published, and keep a healthy distance from press-release language. When a supplier unveils a new engine or the advertising rulebook changes, Emilio Navarro reports what genuinely changes.
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