BRSL - Q1 Review: Q1 inline with Street; Intl & iLottery strong but not getting any jackpot help

Research evidence excerpt

BRSL - Q1 Review: Q1 inline with Street; Intl & iLottery strong but not getting any jackpot help

ally offset by the UK service contract transition (-$12M). Recall,

the UK transition started in Aug 2025, with BRSL having one more quarter plus one month Market Cap ($M) $2,439

before lapping comparison. ADTV 908,946

Shares Out (M) 191 With the EUR/USD now at 1.17, FX drove +$24M of upside in the quarter. We note every

Short Interest Ratio/% Of Float 5.4% 0.01 change in the euro equates to an annualized ~$8M EBITDA, ~$10M revenue and ~

Dividend/Yield $0.88/6.9% $15M net debt.

Enterprise Value ($M) $5,174 Q1 growth abroad as US down; iLottery strong. BRSL saw game innovation and portfolio

Cash & Equivalents ($M) $1,273 optimization drive SSS revenues up +3% in Italy and up +6% in ROW, though the US

Total Debt ($M) $4,008 was down ~-1% (thus total SSS revenues up +1%). In the US, SSS were flat and below

expectations with performance varying significantly by jurisdiction (strength in FL, IN & MI

offset by challenging comps in CA). 7 Page Document

BRSL continues to see healthy growth in iLottery with wagers up +30% Y/Y. US wagers grew

+36% Y/Y driven by strength in MI, GA & KY as well as with the expansion of eInstants in

Reasons for this report VA. Italy wagers grew +27% driven by new game launches.

✓ Earnings Recap 2026 guidance reaffirmed; Q2 tracking down Y/Y. BRSL maintained its view that Adj.

✓ Updating Estimates and PT EBITDA will range between $1.16-$1.19B and revenues of $2.50-$2.55B. Other items

including cash from operations (excluding lotto license fee is expected at $750M (-$900M

as reported) and capex between $450-475M. Mgmt expects the EUR/USD rate to remain

at 1.17 for the balance of the year.

EBITDA ($M) 2025A 2026E 2027E

FYE Dec New Old Cons New Old Cons