MeridianBet Vows to Resume Brazil Operations Despite Q3 Losses
Brazil – 12 November 2026 – www.zonadeazar.com Meridian Holdings, the parent company of sports betting operator MeridianBet, has confirmed that it will continue pursuing legal avenues to resume operations in Brazil despite the financial impact of the country’s online gambling prohibition.
The company reported third-quarter 2026 revenue of US$46 million, representing a 3% year-on-year decline.
Group CEO Zoran Milosevic reaffirmed MeridianBet’s commitment to the Brazilian market, stating that the company intends to exhaust all available legal options to restore its business.
Net Loss Reaches US$13.3 Million
Between July and September 2026, Meridian Holdings recorded a net loss of US$13.3 million, primarily affected by accounting adjustments and operational challenges.
Key financial indicators included:
- Revenue: US$46 million, compared with US$47.3 million in 2025.
- Year-on-year change: a 3% decline.
- Net loss: US$13.3 million.
- Non-cash impairment charges: US$11.4 million.
- Adjusted EBITDA: US$400,000, down from US$4.8 million a year earlier.
The impairment charges do not represent an immediate cash outflow but reflect reductions in the carrying value of certain assets, including those affected by developments in Brazil.
Despite the quarterly decline, the group’s year-to-date revenue remains 16% higher than in the corresponding period of 2025.
Brazil Shapes MeridianBet’s Strategy
Brazil’s suspension of fixed-odds betting and online casino operations required licensed operators to close their platforms during October.
The prohibition was introduced by the Government of President Luiz Inácio Lula da Silva through Provisional Measure 1,394/2026.
MeridianBet acknowledges that the interruption represents a significant challenge but does not intend to withdraw permanently from the market.
The company had invested in developing its Brazilian operations and aims to preserve its position while legislative and judicial proceedings continue.
Zoran Milosevic Confirms Long-Term Commitment
During the financial results presentation, Zoran Milosevic, CEO of Meridian Holdings, explained that the quarter was affected by customer-favourable sports results, higher operating costs and regulatory developments in Brazil.
Nevertheless, he emphasised that the group’s core operations remain healthy and continue generating cash when exceptional adjustments are excluded.
Regarding MeridianBet’s future in Brazil, Milosevic made the company’s position clear:
MeridianBet intends to remain in the country and pursue every available legal avenue to resume operations.
He also explained that the company has reduced expenditure and retained only a minimal administrative presence in Brazil while awaiting regulatory developments.
Legal Dispute Continues Before Supreme Court
Brazil’s gambling prohibition faces constitutional challenges before the country’s courts.
The Supreme Federal Court (STF) is examining actions brought against the measure and has suspended related proceedings in lower courts pending its own decision.
Meanwhile, the National Congress retains the authority to amend or reject the provisional measure during the legislative review period.
These developments leave several legal and political outcomes possible, although none guarantees that the market will reopen.
MeridianBet will continue monitoring the proceedings to assess the conditions for a potential return.
International Operations Across 18 Jurisdictions
Geographical diversification is an important factor helping Meridian Holdings manage the impact of Brazil’s gambling restrictions.
Serbia-founded MeridianBet operates across 18 jurisdictions, while the wider group also maintains several international businesses.
Its principal assets include:
- MexPlay: a gambling operator in Mexico.
- RKings: a prize competition business in the United Kingdom.
- Classics for a Cause: a trade promotions platform in Australia.
These activities provide additional revenue streams and partially reduce dependence on individual markets.
However, some divisions, particularly RKings and Classics for a Cause, have also encountered difficulties sustaining growth.
Meridian Holdings Reduces Debt
Despite the quarterly losses, Meridian Holdings improved several aspects of its financial position.
The group ended September with US$16 million in cash, while total debt declined from US$34.7 million in 2025 to US$24 million.
In September, the company also reached an agreement with its former owners to extend repayment of a US$15.6 million obligation until November 2031, without interest.
Chief Financial Officer William Scott highlighted that the extension will help preserve capital for investment in markets offering growth opportunities.
Industry Impact and Next Steps
MeridianBet’s situation illustrates the financial consequences of Brazil’s online gambling prohibition for international operators.
Platform closures, lost revenue and asset impairments are forcing companies to reassess their commercial strategies.
Nevertheless, Meridian Holdings considers Brazil an important market and has chosen to maintain a reduced presence rather than abandon its investments.
Over the coming months, the company will continue monitoring decisions by Congress and the STF while seeking to improve profitability across its international businesses.
With quarterly revenue of US$46 million and a net loss of US$13.3 million, Meridian Holdings is reaffirming its commitment to Brazil and pursuing a legal resolution that could allow MeridianBet to resume operations.
Editó: @fonta
