Aristocrat Leisure remains confident in achieving a $1bn revenue target for its interactive segment over the next three years.
Despite a challenging global regulatory environment, the company is targeting FY2029 as the key milestone for delivering on this ambitious goal.
The $1bn revenue target includes the share of revenues from the NeoPollard Interactive Joint Venture, with the supplier continuing to actively scale its content and invest in iLottery to support growth.
During its latest earnings call for the first half of FY2026 (six months ended 31 March 2026), investors questioned the feasibility of the target, noting that the company appears to be slightly behind its planned trajectory.
Building momentum toward the $1bn target
In H1 FY26, the interactive segment reported the following results:
- Revenue: $230.3m, up 6.5% year-on-year (H1 FY25: $216.3m)
- Profit: $64.3m, down 10.6% year-on-year (H1 FY25: $71.9m)
- Margin: 27.9% (H1 FY25: 33.2%)
Trevor Croker, Chief Executive Officer and Managing Director of Aristocrat Leisure, said the target remains achievable despite slower iGaming launches in several US states, regulatory changes in the UK, and delays related to technology integration and game approvals for its own portfolio.
Croker commented: “What we do feel confident about is that we do see scaling of land-based franchises in digital and we’ve seen that already with some of the land-based games. We’re obviously excited about Lightning Link coming through.
“We’re also focusing on as these markets open, being ready to open with them. We are in all markets except for Rhode Island at this stage, but we expect to see Rhode Island and Maine and other Canadian provinces open.
“At the same time, we’re now at 94% access to the market. We feel that we’ve built the leadership team under Dylan and other executives we brought in. They’re bringing in the capacity to drive towards that $1bn. Your comment is fair. We’re behind where we wanted to be and we own that.
Croker continued: “We also believe that, between the content work that’s going on, also the iLottery business, obviously Massachusetts and Michigan coming online in July, Colorado, which is an open RFP at the moment and continuing to scale those businesses, we see those as great ways to drive towards the $1bn target.
“The platforms business, it’s a good, stable business, but adding incremental capabilities, such as gaming analytics, we see as a way to enhance that business and to create more momentum towards that $1bn.
“In summary, we’ve got a sharpened focus on this. We’ve recruited the right talent execution, we’ve organised our commercial teams and we’ve got a line of sight on the things that we know we can control to get towards that target.”
Aristocrat CEO confident in Europe
Investors also raised concerns about how the target could be achieved amid changes in European regulation, including higher tax burdens, and whether the company could reach a market share in the high single digits.
Trevor Croker, in turn, reaffirmed confidence in the success of the interactive business in Europe, despite ongoing challenges, starting with the launch of Lightning Link in the second half of the year.
The CEO stated: “When you have the opportunities that we have in front of us in iGaming, it’s important to stay focused. We’ve really focused on the North American market, the Canadian market and the UK market.
“Your hypothesis about Europe is right. There are some moving pieces in Europe regarding how tax regimes in various countries are changing. Some of the access is changing as well.
“We do believe that our land-based content will resonate in iGaming and we’ve seen that initially. We expect to see that be very confidently reinforced when we launch Lightning Link later this year. We do see Europe as part of that.
“We are focused on getting our rightful share in North America and Canada, which are close to our core markets and continuing to build in Europe, both from our land-based gaming business point of view, where we hold a sort of 22 share of the install base, getting a stronger position in iGaming in the markets where we can compete effectively. It is part of our geographical opportunity in the $1bn.”
Q1 financials summary overall (in AUD $)
- Revenue: $3.028bn (H1 25: $3.035bn).
- EBITA: $1.12bn, up 6.2% YoY (H1 25: $1.05bn).
- Margin: 36.9% (H1 25: 34.7%).
- Profit: $794m, up 8.4% YoY (H1 25: $732.6m).
Aristocrat Gaming
- Revenue: $1.96bn, up 4.9% YoY (H1 25: $1.87bn).
- Profit: $1.06bn, up 3% YoY (H1 25: $1.03bn).
- Margin: 54.2% (H1 25: 55.2%).
Product Madness (in US $)
- Social casino revenue: $541.7m, up 4.7% YoY (H1 25: $517.4m).
- Social casual revenue: $4.5m, down 91.4% YoY (H1 25: $52.2m). Social casual was sold early in the half.
- Revenue: $546.2m, down 4.1% YoY (H1 25: $569.6m).
- Profit: $253m, up 3.6% YoY (H1 25: $244.3m).
- Margin: 46.3% (H1 25: 42.9%).
Croker concluded: “Looking ahead, we are well-positioned for the full-year and to capture the strategic opportunities in front of us. Our operating model is driving greater efficiency and scale, and we are increasingly leveraging AI to enhance our strategic advantages and transform our processes.
“We remain committed to our capital management strategy and our on-market share buy-back program.”
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