- Britain’s remote gaming duty rose from 21% to 40% on April 1, costing Bally’s about $39 million of segment profit.
- Bally’s offset close to 65% of that hit through revenue growth and cost control.
- Bally’s Intralot B2C revenue rose 22.3% to $243.5 million while the segment’s profit fell 13.9% to $64.7 million.
- Consolidated revenue reached $792.2 million, up 20.5%, and Bally’s spent $502 million on gaming licenses in the first half.
PROVIDENCE, R.I. – Britain’s remote gaming duty, raised to 40% on April 1, cost Bally’s Corporation about $39 million of segment profit in the second quarter, the company reported Friday. The international online unit that took the hit grew revenue 22.3% while its profit fell 13.9%.
Revenue Up 22.3%, Segment Profit Down $10.4 Million
Bally’s Intralot B2C, the segment holding the company’s online operations in the UK, Spain and Turkey, produced $243.5 million of revenue against $199.0 million a year earlier, according to Bally’s second-quarter earnings release. Segment Adjusted EBITDAR, the profit measure Bally’s reports for each segment, came in at $64.7 million against $75.2 million, a decline of $10.4 million.
It was the first quarter to carry Britain’s remote gaming duty at 40%, up from 21%. Chief Executive Robeson Reeves put the gross impact on segment profit at “approximately $39 million in the quarter” and said Bally’s offset close to 65% of it through revenue growth and cost control. Planned marketing reductions have yet to begin and are set for the second half.
Bally’s said its US GAAP presentation of the segment’s profit carries about $5 million of negative IFRS-to-US GAAP adjustments, mostly different accounting treatment of leases.
The underlying business accelerated rather than stalled under the new rate. UK online revenue rose 11.6% in constant currency, up from 10.5% growth in the first quarter, and Reeves said July ran at about 13%. Spain grew 15.1% in constant currency on higher new player volumes, and Intralot’s Turkish sports betting business entered the segment in the fourth quarter of 2025.
Reeves also said UK market consolidation “has not moved quite as quickly as we originally expected,” and framed that as an opportunity as smaller operators come under pressure after the World Cup and through the fall tax season. Tax rates across the states with online sports betting have moved in the same direction. North Carolina’s budget squeezes sportsbooks at a 23% rate set this summer.
Casinos And Resorts Grew 2.0% On Two Landside Moves
Casinos & Resorts, the land-based segment behind Bally’s 20 casinos in 11 US states, reported $401.0 million of revenue against $393.3 million, a 2.0% increase. Segment Adjusted EBITDAR rose 3.4% to $109.6 million, after Bally’s reallocated about $1.6 million of shared services costs from Corporate into the segment.
The growth came from properties that changed shape. Bally’s Baton Rouge, formerly the Belle of Baton Rouge, opened landside in December 2025, and Marquette moved landside in February 2026. Chicago’s temporary facility and the Quad Cities properties also grew, offset by what the company called elevated competition in Atlantic City and East St. Louis. Rated visitation across the portfolio rose 4.3%.
North America Interactive Cleared $3.0 Million At The Segment Level
North America Interactive revenue rose 16.9% to $66.1 million, and the segment produced $3.0 million of Adjusted EBITDAR against $2.5 million a year earlier. Through the first six months it remained $4.1 million in the red.
On a second-quarter run rate, Reeves called it “a digital business generating over $250 million of annualized revenue” and said the segment now contributes positively. Bally Bet is licensed in 16 North American jurisdictions, so it can take a player only where a regulator has licensed it, unlike the offshore online gambling sites for USA players.
$502 Million On Licenses And $4.51 Billion Of Debt
Bally’s spent $502.0 million acquiring gaming licenses in the first half, against $2.0 million in the comparable 2025 period, and put $74.0 million into capital expenditures plus $19.2 million into capitalized software. Long-term debt including the current portion stood at $4.5067 billion at June 30, against $4.5007 billion at Dec. 31.
New York’s $500 Million License Fee And A 2027 Chicago Target
Most of the license spending went to New York. Reeves said Bally’s paid the $500 million license fee in the first quarter, along with a $115 million contingent payment tied to the golf course concession. The New York State Gaming Commission awarded the Gaming Facility License at the end of 2025.
The $4.0 billion Bronx project is expected to open by 2030 with 3 million square feet of gaming facilities, a 500-room hotel, a 2,000-person event center and an 18-hole golf course. Financing is not yet closed. Bally’s signed a non-binding term sheet for a pre-construction loan in July, entered a letter of intent with a potential equity investor in August, and said it is still raising capital for construction.
Construction continues in Chicago, where Bally’s is targeting an early 2027 opening for the permanent casino. Regulatory reviews of the company’s binding offer for evoke plc, announced in June, remain under way with the relevant competition and gaming authorities.