Lindar Media Posts £120.3m Revenue but Faces Tax Hikes and Profit Pressure

Lindar Media, the company behind the UK online casino and bingo brand MrQ, reported annual revenue of £120.3 million for the year ending 31 December 2025—a 24% increase over the previous period. Despite this revenue growth, the operator highlighted what it describes as “existential challenges” driven largely by steep UK taxation increases and new industry threats.

Revenue Growth and Operating Figures for 2025

Lindar Media’s reported annual revenue of £120.3m reflects a significant year-on-year uplift, as confirmed in accounts filed to Companies House. The previous reporting period, covering 15 months from 1 October 2023 to 31 December 2024, had yielded £96.9m. Gross profit for the latest period dipped from £21.1m to £19.8m, driven by a rise in cost of sales to £100.4m. Operating profit fell to £8.4m, down from £11.3m previously, due to margin compression and increased overhead.

Profit after tax, however, increased to £7.7m from £6.3m, and total dividends paid jumped to £9m, more than double the £4.2m distributed the prior year. The company’s workforce grew from 93 to 113 during 2025 as Lindar continued to invest in platform development and infrastructure.

UK Market Share and Competitive Landscape

Eilers & Krejcik Gaming, the boutique industry research firm, estimates MrQ commands a 2% share of the highly fragmented UK online casino market by gross gaming revenue. Management says investment in proprietary platform technology and infrastructure powered this growth in share, despite a UK gambling market that remains broadly static with little expansion. Lindar’s directors point to “continued investment in the platform and product development,” emphasizing resilience despite a backdrop of persistent inflation and stagnant consumer spending.

Remote Gaming Duty: Impact of 40% Tax Hike

A central factor in Lindar’s caution is the UK government’s decision to nearly double remote gaming duty (RGD) to 40% beginning April 2026—a move affecting gaming-only operators most severely. Lindar CEO Savvas Fellas, speaking to EGR after the Autumn Budget, said:

“I don’t know any operator that can plug in 40% and say the bottom line still looks good…when you run the numbers from our perspective, we are hugely in the red.” — Savvas Fellas

In its filing, Lindar Media highlighted that elevated RGD, as well as rises in corporation and employment taxes, “continue to provide existential challenges to the ongoing level of profitability achievable by the group.” The board acknowledged the need to seek cost savings and operational efficiencies in response to the substantially higher tax burden.

Risks: Static Market and AI Disruption

Lindar’s board noted that the overall UK market remains "largely static,” shaped by a stagnant economy, high inflation, and increased taxation. Directors Savvas Fellas and Oded Keinan stated the company’s results are tied directly to player activity in the UK. While directors expect current market share gains to help offset taxation pressures, they view the market as fundamentally “challenging.”

A material AI risk was also outlined, with management dedicating significant capital and resources to the company’s overall AI strategy as a mitigation measure. The filing categorizes this as “a material risk in this area to the business.”

Product Innovation and Brand Activity

Savvas Fellas, who bootstrapped MrQ in 2018 and previously worked as a Ministry of Sound DJ and bingo affiliate, has overseen investment in a proprietary tech stack that supports fresh features and innovation. Recent platform releases include:

• The July launch of in-site currency "Qoins," redeemable for free spins and prizes
• The June launch of Q+, a weekly subscription at £10 offering 200 free spins and cashback for a seven-day period

MrQ’s distinctive approach has been supported by ongoing marketing investment, including the “The Casino You Love to Hate” campaign and a sleeve sponsorship with Premier League club Bournemouth for the 2026-27 season.

“No BS honesty has always been our superpower.” — Adam Ryan, MrQ marketing chief

The business moved last year to a newly redeveloped co-working space in St Albans after Fellas acquired a former Crown Prosecution Service building for £10m.

Lindar Media’s Outlook for Profitability and Growth

The board believes Lindar Media is on a “sound financial footing,” but plans continued investment in technology while seeking efficiencies to weather UK tax increases. The directors remain confident that forecast increases in market share for 2026 could help maintain profitability despite macroeconomic headwinds. Still, they do not dismiss the scale of the challenge posed by government levies and external threats.

For further analysis of the broader UK casino and regulation sectors, readers can review our dedicated coverage.