Get 125% / $2,500 on 1st deposit!
New players only. Exclusive Welcome Bonus of up to $2,500
Light & Wonder reported a mixed Q1 2026, with higher revenue and EBITDA growth offset by legal reserve costs tied to older cases.
Good to Know
Light & Wonder had stronger activity in gaming operations and iGaming in Q1, but legal costs pulled profit well below last year.
The casino equipment and online games supplier reported $790 million in revenue for the three months to March 31, up 2.1% from a year earlier. Adjusted EBITDA rose 5.1% to $327 million, and each of its three main segments improved adjusted EBITDA and margins.
Net income dropped to $52 million from $82 million. Light & Wonder said about $50 million in legal reserve contingencies tied to legacy legal matters reduced the result.
That legal line follows the Aristocrat Leisure dispute, which already hit Q4 2025 with a $128 million settlement charge. Light & Wonder said in January that it would pay Aristocrat $127.5 million over claims linked to alleged trade secret infringement involving Dragon Train.
The quarter still had clear growth pockets. Gaming operations revenue rose 38.2% to $239 million, while table products increased 23.5% to $63 million. Total gaming revenue reached $512 million, up 3.4%.
Machine sales moved in the other direction. Revenue fell 25% to $156 million, mainly because last year had stronger international and North America video lottery terminal shipment timing. Light & Wonder shipped 7,200 new gaming machines worldwide, down from 9,770. International shipments, including Asia Pacific, fell to 2,176 from 4,001, while average selling price stayed near $19,700.
Digital results split. iGaming revenue rose 18.2% to $91 million, while SciPlay fell 7.4% to $187 million.
CEO Matt Wilson said Light & Wonder was “seeing the benefits” of its “continued investment in studios and content”. He also pointed to the 23rd straight quarter of growth in the North American premium installed base and the Indiana entry of Grover, after Light & Wonder paid $850 million last year for Grover Charitable Gaming assets.
Light & Wonder ended March with net debt of $5.2 billion. The company, now with a sole primary listing on the Australian Stock Exchange, expects full-year 2026 adjusted EBITDA growth in the mid- to high-single-digit range, with more earnings strength weighted toward the second half.
CFO Oliver Chow said:
“Our first-quarter results reflect continued margin expansion across the businesses and scaling cash flow, driving the improving cash conversion profile of our business, while we make deliberate investments in artificial intelligence and infrastructure that we believe will compound meaningfully over time to support both growth and efficiency.”