Pollard Banknote Hits $596M Revenue as Lottery Deals Drive Growth
Adjusted EBITDA reached $119.9m, while net income fell to $34.7m. The drop came from startup costs linked to a standalone iLottery rollout and regulatory changes in a key charitable eTab market. In Q4, revenue rose 7.5% to $150.8m, and net income returned to profit. Recent contract wins include iLottery rollout in Kansas, a long-term agreement in Belgium, and new deals with the California and Oklahoma lotteries.
Combined sales reached $725m for the year. The NeoPollard Interactive joint venture remained a main driver, as lotteries continue to add digital channels alongside retail. The company expects iLottery and eTab products to help ease margin pressure in 2026.
Contract activity remained central to growth. Pollard deployed its Catalyst iLottery system with the Kansas Lottery and secured a long-term deal with Belgium’s Loterie Nationale. It also signed an instant ticket contract with the California Lottery and a player loyalty agreement with the Oklahoma Lottery Commission.
State lottery contracts continue to provide steady income. The Michigan Lottery generated $73.8m in income before tax, up 24.5% year-on-year. Margins were affected by investment in iLottery and changes in the charitable eTab segment. Co-CEO John Pollard said the impact is temporary and linked to setup costs.
Pollard is expanding its product range through acquisitions. The addition of Pacific Gaming brought new bingo devices, handhelds, and retail systems. Demand for electronic pull-tab and bingo products is rising, especially among charities moving to digital formats.
For operators and lottery bodies, the shift is clear. Suppliers that combine retail products with digital systems are gaining more contracts. Affiliates and service providers tied to lottery ecosystems may see more activity around player loyalty tools and online lottery channels as these rollouts continue.
TGJ Take
Pollard’s results show where the market is going. Lottery suppliers now need both retail and digital products to win contracts. Smaller suppliers without iLottery or loyalty tools will find it harder to compete. The drop in margins comes from building these systems, not from lower demand. For affiliates, this means more activity will move online, with a stronger focus on retention rather than just ticket sales.
