Evolution does not foresee a quick solution to its ongoing legal battle with Playtech.
The supplier’s Chief Executive Officer, Martin Carlesund, told investors that he expects it to take ‘many years’ for the battle to play out after Evolution officially named Playtech in its defamation lawsuit earlier this month.
Evolution claims that Playtech orchestrated a smear campaign against the company through commissioning Black Cube to investigate the provider’s activities in prohibited and sanctioned markets, as well as its supply to unlicensed operators in regulated markets.
When asked to provide a timeline of how legal proceedings will go in the lawsuit during Evolution’s Q1 earnings call, Carlesund said: “We have had an opponent in this legal debacle that has been ongoing for four years. We have systematically been progressing and winning in court, that’s taken four years.
“They have stated that they stand behind the defamatory report, but please remember that they paid enormous amounts of money during four years to not be exposed as the commissioner of that said report.”
Evolution has always denied the allegations made by Black Cube’s investigators. However, Playtech has stated that it will ‘defend itself vigorously’ and ‘welcomes a court examination’ of the report.
European woes
Evolution opened 2026 with a 1.5% decline in revenue year-on-year to €513m, largely dragged down by poor performances in Europe.
Carlesund attributed the challenges to regulatory volatility and channelisation rates heading in favour of the black market – directly hindering Evolution, given the ringfencing steps taken by the supplier last year.
Evolution experienced a 5.9% decline in quarter-on-quarter revenue for its European division in Q1 2026.
Carlesund criticised a lack of balance between protection and entertainment in markets across Europe due to changes in regulation. However, he reiterated that the ringfencing measures taken were the ‘right thing to do’.
“In the world of perfect regulation, it would not have caused any issues,” he added.
Outside of Europe, Evolution reported strong performances in Latin America, where it experienced revenue growth of 29% year-on-year, with Brazil earmarked for particular praise.
Carlesund said: “In Brazil, we continue to perform well after regulation, which was about a year ago. We have launched a localised version of Crazy Time that is sure to attract a lot of new players in Brazil.
“LatAm truly is exciting. We’re in full expansion mode. In addition to Argentina, we continue to expand our presence in Brazil and in Colombia to fully leverage the big market potential.”