Cirsa’s Q1 2024 Profits Climb as Peru Gaming Tax Impacts Online Betting
Cirsa’s Financial Performance and Market Impact
By Javi West Larrañaga
May 21 (Reuters) - Blackstone-backed Spanish gambling company Cirsa's first-quarter core earnings rose about 8%, it said on Thursday, although increased gaming taxes in Peru knocked profits from its online betting business 12% lower.
Stock Market Reaction
Shares in the company, which operates casinos, gambling platforms and slot machines in Spain, Latin America, Italy, Morocco and Portugal, fell as much as 2.9% in early trading.
Quarterly Earnings Breakdown
Core Earnings Growth
Cirsa reported earnings before interest, tax, depreciation and amortisation of €193.9 million ($225.3 million) for the quarter, up from €178.8 million in the same period last year. Aside from online betting, earnings grew across its business units.
2026 Outlook and Targets
The company reiterated its 2026 outlook and said it was fully on track to meet the high end of its core earnings target range of €800 million to €820 million.
Company Background and Ownership
Cirsa was listed in July 2025 by private equity giant Blackstone but it has failed to gather steam, shedding about 11% of its value since then. Blackstone kept a 78% stake in Cirsa after the listing.
Industry Trends and Competition
Prediction Markets vs. Traditional Betting
Despite fears that traditional betting platforms could face increasing competition from prediction markets such as Polymarket and Kalshi, Cirsa said in February that its operations remained unaffected, while adding it did not expect any impact going forward either, given the current regulatory frameworks.
Examples of Prediction Market Bets
Growing numbers of customers use prediction markets to bet on the outcome of events such as the date of the potential peace deal between the U.S. and Iran or whether Rihanna's next album will be released before the widely expected "Grand Theft Auto VI" video game.
($1 = 0.8605 euros)
(Reporting by Javi West Larrañaga in Gdansk Editing by David Goodman and Milla Nissi-Prussak)
