VGW Hits $5.2 Billion Revenue Before Going Private

Virtual Gaming Worlds reported strong growth in the year to June 30, 2025, with revenue rising 19% to A$7.3 billion ($5.2 billion) and profit climbing 33.5% to A$656 million.

Cash reserves also swelled to nearly A$1 billion, up from A$548.5 million the year before. These figures came just ahead of Escalante’s move to take the company private in 2026, a buyout deal valued at about A$3.2 billion ($2.3 billion) that some shareholders argued undervalued the business.

Chumba Casino, VGW’s biggest brand in the U.S. sweepstakes market, was a major driver of this growth. It generated A$5.2 billion ($3.7 billion) in revenue for FY2025, up 25% from the previous year’s A$4.16 billion.

Alongside Chumba, VGW runs LuckyLand Slots, LuckyLand Casino, Global Poker, United Slots, and Monopoly Match, all contributing to the group’s expansion. The company’s rising revenue and profit underline how quickly it grew before Escalante’s decision to take it private, positioning VGW as one of the largest players in the global sweepstakes casino industry.

VGW continue to face regulatory pressures, with Escalante forced to step down

Laurence Escalante, who already controlled 70% of VGW before the buyout, built his fortune by exploiting a gap in U.S. law that allowed sweepstakes‑style casino games to reach millions of players online.

The model, first launched on Facebook, let users play with tokens instead of cash, but encouraged purchases of “gold coins” to keep playing, blurring the line with traditional gambling. That approach helped VGW’s brands, Chumba Casino, LuckyLand Slots, and Global Poker, dominate the U.S. market and grow into one of Australia’s largest private companies.

After taking VGW private, Escalante planned to shift the company’s incorporation to Guernsey while keeping its Perth office, according to an AFR report.

But his position quickly changed. He was arrested on Australia Day following allegations of assault, theft, and property damage involving a former partner. Police later said they found ketamine, MDMA, and cocaine during a search of his home. Escalante denied the charges, saying, “My arrest on these matters has come as a shock to myself and my family. From the little I know of the allegations at this stage, I can only say that they are untrue and will be defended.”

With Escalante stepping back, former chief marketing officer Mats Johnson has taken over as acting CEO. Meanwhile, VGW continues to face mounting pressure in the U.S., where regulators have forced the company to pull products in several states.

Lawsuits have also piled up, including one filed this month by Baltimore officials seeking to shut down operations and impose heavy penalties. Despite these challenges, VGW’s financial accounts show the company remains highly profitable.

Source: Gambling Insider

VGW Hits $5.2 Billion Revenue Before Going Private

VGW continue to face regulatory pressures, with Escalante forced to step down

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