BetMGM Joint Operator Entain Posts Strong Q1 Report
Global online gambling giant Entain PLC has posted 22% growth in net gaming revenue for the first quarter of 2023. The statistics were revealed in its Q1 trading update published this morning, April 18.
The UK-based and FTSE 100-listed company owns British sportsbook operators Coral and Ladbrokes, and international sites Sportingbet and bwin. They also jointly run US online sportsbook operator BetMGM with MGM Resorts.
In-Line With Guidance
The Entain group performed well overall in this past quarter. But it was BetMGM’s fast growth that stole the show.
The US operation posted $470 million in revenues. That’s a 94% growth year-over-year from the same period in 2022. Even adjusted for inflation over that time, net gaming revenue for the division was still up 76%.
This was “delivering in line with guidance of $1.8-$2.0bn for 2023,” the report said.
BetMGM’s growth was way above the 16% reported for the rest of Entain’s gambling ventures. The 50% stake in BetMGM drove the whole group’s adjusted revenue growth for the quarter up by a whole 6% by itself.
BetMGM holds a strong 28% market share among US gambling operations. Its share drops off slightly to 17% when considering only online sports betting. However, those figures still put Entain and BetMGM among the top operators by market share across legal states.
“2023 is off to a strong start, with continuing underlying momentum across our operations around the world. We are delivering both financially and strategically, with a record number of active customers enjoying our products, and we are executing on growth opportunities to further diversify and expand across regulated markets,” Entain CEO Jette Nygaard-Andersen wrote in the report.
The Entain boss also commented on the company’s US investments.
“In the US, BetMGM continues to grow in line with expectations and enjoyed a successful quarter which included the Super Bowl and March Madness,” she said.
“Looking ahead, we remain confident that our customer focus, diversification, and proven ability to grow organically and through M&A will enable us to demonstrate further progress against our strategy.”
Outside of the US and BetMGM, Entain has been making investments across the board.
It recently signed a deal with New Zealand’s government-run TAB that should see it running the only licensed sportsbook in the country. On a 25-year exclusive contract, no less.
Entain also bought live sports score reporting media outlet 365Scores for $165 million earlier in April, and Dutch operator BetCity for €450m ($484.2m) in January.
The company said in 2020 it aimed to have 100% of its revenue from regulated or soon-to-be regulated markets, and its Q1 2023 report reaffirmed that commitment.