Brightstar Q3 results published on 10 November show revenue down 4% to $607m, and the lottery operator and technology supplier has cut its 2026 revenue and adjusted EBITDA guidance, according to its third-quarter results release.
The NYSE-listed company now expects full-year revenue of $2.435bn to $2.455bn, down from $2.50bn to $2.55bn. Adjusted EBITDA guidance moves to $1.14bn to $1.16bn from $1.16bn to $1.19bn, mainly because of exchange rates: the outlook now assumes EUR/USD at 1.12 in the fourth quarter, against 1.17 before.
Brightstar Q3 results by line
Service revenue fell 9% to $547m in the three months to 30 September. Amortisation of upfront licence fees rose to $99m from $53m a year earlier, after Brightstar paid the final €1.43bn ($1.67bn) for its new Italy Lotto licence in the first half. Product sales of retail hardware, software and instant tickets rose 137% to $60m.
Income from continuing operations fell 53% to $45m. Adjusted EBITDA slipped 2% to $289m, while the adjusted EBITDA margin rose to 47.5% from 46.7%. Diluted earnings per share from continuing operations were $0.12, against $0.29, and adjusted EPS fell to $0.10 from $0.36.
| Region | Q3 2026 ($m) | Q3 2025 ($m) | Change |
|---|---|---|---|
| US and Canada | 301 | 304 | -1% |
| Italy | 208 | 257 | -19% |
| Rest of world | 98 | 69 | +42% |
| Total | 607 | 629 | -4% |
Source: Brightstar Lottery Q3 2026 results, quarter to 30 September, revenue by geography.
For the first nine months, revenue was $1.78bn, down 4% from $1.84bn, and adjusted EBITDA rose 5% to $861m.
US jackpot sales drop 30%
Global same-store sales fell 3.9% at constant currency, after growth of 7.9% in the third quarter of 2025. The fall came mostly from US multi-state jackpot games, where same-store sales dropped 30.6% against a 69.2% rise a year earlier, and wager-based revenue from those games fell 30% to $25m.
Instant ticket and draw same-store sales fell 1.4% in the US and 1.2% in Italy and grew 3.3% in the rest of the world. Brightstar also listed the transition of its UK service contract and currency translation among the drags on revenue, with growth outside the US and Italy coming from software services on new contracts and extensions.
Revenue and profit were in line with our expectations, even as we invest to strengthen our contract portfolio, expand our technology and service offerings, and accelerate game and product innovation.
Vince Sadusky, CEO, Brightstar Lottery
In October Brightstar extended its New York Lottery contract by two years, and its contract with Spain’s ONCE was also extended.
Balance sheet
Net debt stood at $3.84bn on 30 September, up from $2.72bn at the end of 2025 after the Italy Lotto payment, and net debt was 3.30 times adjusted EBITDA for the last 12 months. Total liquidity was $1.9bn, including about $0.5bn of unrestricted cash and $1.3bn of undrawn credit facilities.
In September Brightstar issued €500m of 4.875% senior secured notes due 2032. It used the proceeds to buy back €342m ($393m) of its 2.375% notes due 2028 and to repay €155m ($176m) drawn on its revolving credit facilities.
The company said it had spent more than $200m on dividends and share buybacks this year up to 9 November.
Leverage is within our targeted range and we are committed to returning capital to shareholders.
Max Chiara, CFO, Brightstar Lottery
Next steps
Brightstar kept its cash outlook: it expects net cash used in operating activities of about $900m in 2026, including the Italy Lotto payment, or about $750m of cash from operations excluding it. Capital expenditure guidance narrows to about $450m from $450m to $475m. The outlook also includes about $175m of extra amortisation linked to the Italy Lotto licence, a market where the government’s budget adds a fifth Lotto draw.
The board declared a quarterly dividend of $0.23 per share, payable on 8 December to shareholders on the register on 24 November. Results and the call webcast are on the Brightstar investor relations site.
Source: Brightstar Lottery PLC
