Entain Reports Q1 Results Driven by Strong Online Growth
Entain has posted a stronger than anticipated start to 2025, with Group Net Gaming Revenue (NGR) rising 9% year-on-year, or 11% in constant currency terms. Robust online performance across key markets, including the UK and Brazil, as well as positive results from BetMGM, contributed to the improved figures.
Online Momentum Lifts Group Performance
Entain’s first-quarter results exceeded internal expectations, largely due to solid online activity and favorable sports margins. Online NGR rose by 12% globally, or 15% in constant currency, when including BetMGM’s performance. Excluding the U.S., Online NGR increased by 6%, or 10% on a constant currency basis, with the UK and Brazil being key drivers.
UK & Ireland online operations grew by 23% in constant currency, supported by a 21% increase in volumes, outperforming broader market trends. In Brazil, Entain continued to adapt well to the new licensed environment, posting a 31% increase in constant currency NGR.
BetMGM Delivers Record iGaming and Sports Revenues
BetMGM, Entain’s joint venture in the U.S., delivered a particularly strong first quarter. Net Gaming Revenue was up 34% year-on-year in constant currency, supported by a strengthened sports product and enhanced player engagement strategies.
The company reported record iGaming revenue, which grew by 27%, while Online Sports NGR climbed by 68%. Q1 EBITDA came in at $22 million, with a positive contribution from both verticals. BetMGM remains on track to meet its full-year revenue guidance of $2.4 to $2.5 billion and is expected to be EBITDA positive in 2025.
Retail Results Mixed Across Regions
Group NGR excluding the U.S. increased by 8% in constant currency, with Online up 10% and Retail up 2%. While online results surpassed forecasts, retail gaming volumes in the UK remained subdued, slightly offsetting gains from sports betting.
In the UK and Ireland, total NGR rose 10% in constant currency, though the retail segment recorded a 1% decline. International markets showed a 5% rise in NGR, with retail up 11%, notably in Central and Eastern Europe. Croatia, in particular, was highlighted for strong retail and online performance.
Strategic Focus and Outlook for FY25
Entain reaffirmed its guidance for mid-single-digit growth in Online NGR on a constant currency basis for the full year. Stella David, recently appointed as CEO, noted that the company’s “clear and compelling strategy” continues to deliver, and operational improvements observed at the end of 2024 have carried into the current year.
“Our improving operational execution saw us exit 2024 with clear momentum which has continued in Q1. We are confident that our current momentum and underlying growth will deliver quality and sustainable earnings with a clear pathway to generating over £0.5 billion of annual cashflow in the medium term,” said David.