Portugal’s online gambling sector appears to be stabilizing after years of rapid growth, as Q1 2025 marked the first quarterly decline in gross revenue in nearly three years.
According to data from the Gaming Regulation and Inspection Service, total online gambling revenue for the quarter reached €284.7 million (US$335.4 million), up 9% year-on-year, largely due to strong sports betting margins of 23%.
However, this figure represents a 12% drop from Q4 2024’s record-breaking €323 million, the steepest quarter-on-quarter decline since 2018. It’s also the first such decrease since Q2 2022, indicating a possible plateau in market expansion.
Online casino revenue accounted for €169.7 million-60% of the total-up 6% from the same period last year but down 8% from the previous quarter. Sports betting revenue stood at €114.9 million, up 14% year-on-year, but down 17% from Q4, marking the biggest quarterly dip in the segment since 2022.
Ricardo Domingues, chairman of the Portuguese Online Betting and Gambling Association (APAJO), described the slowdown as a natural part of a maturing market. He emphasized the importance of maintaining stability while addressing the ongoing risk posed by unlicensed operators.
Despite the revenue dip, the number of active online gambling accounts rose 7% quarter-on-quarter to 4.8 million. Tax revenue from the sector totalled €82.7 million for the quarter, aligning with government goals for its Environmental Fund.
Portugal legalized online gambling in April 2015, and the market now includes 30 licensees-13 for sports betting and 17 for online casinos. In 2024, the industry generated €1.11 billion in gross revenue, a significant increase from €845 million in 2023.
