Brightstar Lottery Earnings Recaps
Q2 2026
Aug 7, 2026
Brightstar's shares gained 11.8% post-earnings, driven by better-than-expected profitability, strong cash generation, and encouraging growth in key metrics including global same-store sales and iLottery wagering.
Key takeaways
- Global same-store sales rose 1.5% in Q2, accelerating slightly from Q1, led primarily by stronger U.S. sales tied to multistate jackpots and instant/draw games.
- iLottery wagers increased 22% in the first half, with particularly strong growth in Italy (23%) and the U.S. (29%), supported by new digital offerings and expanded retail activation efforts.
- Cash generation was significant, funding $140 million in shareholder returns year-to-date as well as the final Italy Lotto license payment, while maintaining a solid balance sheet.
- Ongoing investments in Italy and Brazil digital and retail lottery expansions position Brightstar for revenue and profit inflection in the second half of the year.
- Adjusted EPS and cash flow multiples suggest a compelling valuation relative to dividend yield and growth outlook.
Q1 2026
May 14, 2026
Shares plunged 14.1% following the earnings release, reflecting investor disappointment with soft same-store sales in the U.S. market and cautious commentary around growth sustainability despite margin improvements and underlying revenue gains.
Key takeaways
- Reported revenue rose modestly by 1% to approximately $590 million; constant currency growth was 3%, or 5% excluding the impact of the U.K. transition.
- Adjusted EBITDA increased 15% on a reported basis and 5% in constant currency, driven by operational efficiency and cost discipline, supporting margin expansion.
- U.S. lottery same-store sales were flat and below expectations, weighed down by challenging comparisons in large markets like California despite growth in Florida, Indiana, and Michigan.
- Digital and iLottery platforms posted strong performance with global wagers up 30%, including a 36% increase in the U.S. and 27% in Italy, supported by new game launches and expanding distribution.
- The company maintained a disciplined capital allocation approach, returning over $70 million to shareholders through dividends and buybacks, signaling confidence in cash flow stability amid mixed operational signals.