Evolution Gaming has settled with the UK Gambling Commission for £4.75 million following an investigation initiated in December 2024 concerning its activity in the black market. The investigation revealed that the company's game content appeared on six websites through two operators, which provided access to British consumers without holding a UK license.
In a statement on Wednesday, Evolution asserted that the unlicensed operators had "actively evaded restrictions in place at the time." The company emphasized that over an 18-month review, no widespread or systematic unlicensed access to its content in the UK was uncovered.
"Evolution has fully cooperated with the Commission, adhering to its long-standing approach to regulatory engagement. The company routinely takes technical, legal, and commercial actions to identify, address, and prevent unauthorized access to its content," the statement declared.
Upon discovering the unlawful access, Evolution promptly terminated its commercial relationships with the two operators involved. In light of the investigation, the company implemented ring-fencing measures across Europe to prevent distribution of its games by any other unlicensed operators.
However, these ring-fencing actions negatively impacted profitability in 2025. In the first quarter of 2025, Evolution reported a profit decline of 5.4% to €254.7 million ($289.7 million), despite an increase in net revenue to €521 million, marking a 3.9% year-on-year rise.
Carlesund remarked in the Q1 earnings report that, in addition to existing measures for regulatory compliance in the UK, the company proactively initiated actions in February to secure further regulated markets across Europe. He noted, “The effects have varied, with the largest negative revenue impact in markets where channelisation is low.”
When discussing the full-year 2025 results in February, Carlesund stated he believed Evolution had implemented the strongest ring-fencing measures among the sector’s suppliers, attributing the losses to “regulated markets losing ground.”
These challenges in Europe have prompted Evolution to shift its focus toward the Americas, anticipating growth due to “a more stable environment.” Initially, the company expected the Gambling Commission's review to conclude by the end of 2025. During a Q3 earnings call last October, Carlesund mentioned, “When it comes to the UK Gambling Commission timeline, unfortunately I don’t have any other information. It’s in the hands of the regulator; our estimation is that it will be by the end of this year."
