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Is Continent blank or NULL? If it is blank, then your calculation should work, but if it is NULL, then [Continent] = '' will false and you should use something like ISNULL([Continent]). If it could be blank or NULL, you might consider something like:
IFNULL([Continent], '') = ''
That will force the NULL values to be changed to blank or it will simply take the value (including blank) and then compared to blank.
You might also consider getting a data source that is simply a list of unique countries with continents and joining it into the flow on Country. Then, you can use the continent that comes from matches on country and not worry if the field in your data source is blank or null or not.
Hope that helps!
Got it working, thanks! I did end up re-doing the flow.