Pollard Banknote Awarded Player Loyalty Program Contract by the Oklahoma Lottery

On December 16, 2025, Pollard Banknote announced it has been awarded a new contract by the Oklahoma Lottery Commission to provide a comprehensive player loyalty program. The contract has an initial term of one year with six subsequent one-year renewal options. The total value of the contract is approximately $10 million USD.

Under the agreement, Pollard will deliver a turnkey solution that includes a new Players Club loyalty platform, a redesigned website, native mobile applications, an integrated CRM system, and strategic marketing support. This win expands Pollard's portfolio of digital engagement services with a new U.S. lottery client.

This is a materially positive announcement. While the $10 million USD value is modest compared to the company's transformative wins in California ($375 million) and Belgium ($289 million) earlier in 2025, it serves several important functions:

1. Reinforces Strategic Execution: The contract validates Pollard's strategy of expanding its higher-margin digital and iLottery service offerings. It demonstrates continued momentum in winning competitive bids for sophisticated technology solutions.
2. Positive News Flow: The announcement provides a positive catalyst following the negative market reaction to the third-quarter financial results released on November 12, 2025. The Q3 report showed a significant year-over-year decline in net income (from $18.2M to $10.3M) and a drop in gross margin, primarily due to start-up losses from its new Kansas iLottery contract and regulatory headwinds in its Minnesota charitable gaming market. The stock gapped down over 7% on the news. This contract win helps shift the narrative back to growth and successful business development.
3. New Client Acquisition: Securing a new lottery client is a significant achievement in a concentrated industry. This win in Oklahoma adds to Pollard's footprint and provides another reference case for its loyalty and digital engagement platform.

The Oklahoma contract follows a string of positive operational updates throughout 2025, including major contract wins, extensions, and the successful launch of its Catalyst™ platform in Kansas. However, the Q3 earnings call made it clear that the market is focused on profitability. Management stated that the start-up losses in Kansas were expected and that a clear roadmap exists to move the operation toward profitability over the next few quarters. This Oklahoma win, while not large enough to single-handedly offset the Kansas drag, adds a new, presumably profitable, revenue stream and strengthens the bull case that the company's investment in growth is paying off.

In conclusion, the news is materially positive as it confirms the company's competitive momentum in a key growth area and provides a welcome positive data point after a disappointing earnings report.

Pollard Banknote Limited is a global leader in providing services and products to the lottery and charitable gaming industries. Its offerings include the design and manufacturing of instant-win "scratcher" tickets, licensed games (e.g., Godzilla, Back to the Future), retail merchandising solutions, and a growing suite of digital products.

The company's flagship strategic initiative is its expansion into the iLottery and digital gaming space, centered around its Catalyst™ omnichannel gaming platform. This platform is designed to unify player experiences across retail and online channels. The first full implementation of Catalyst™ was for the Kansas Lottery, which went live in February 2025. The recent major contract win with the National Lottery of Belgium represents the first omnichannel deployment of the platform and a significant validation of this strategy.