Entain Announces Solid Set of Q3 Trading Results
Gambling giant Entain has announced that their Q3 commercial performance fell broadly in line with original expectations, with a positive outlook on future growth also referenced. An increasing active customer base helped propel the operator to an overall net gaming revenue of +4% on the previous quarter, with its Netherland’s contribution stripped out of this number due to a temporary halt on its local participation.
Indeed, the volume of customers interacting with Entain products rose sharply, with a 6% uplift on the like-for-like period last year. The organization reported positive figures across all its key verticals, with iGaming recording a strong, 31% market share for the penultimate twelve weeks of the financial year, and a 25% wedge of the nascent U.S sports betting sector, although this data only accounts for states where Entain subsidiaries where present in the market from launch.
From a profitability perspective, the group projected that EBITDA would register roughly in line with initial guidance, with bottom line earnings likely to be in the region of £925m to £975m, which, if achieved, would represent a 5-10% incline on FY2021 returns.
The omens look good for a strong annual online uplift heading into Q4, with a number of events conspiring to catalyse improvement versus the previous year. By last October, most governments had relinquished any sort of coronavirus-related social restrictions, moving some of the revenue balance back towards bricks-and-mortar establishments. Furthermore, a full year passes since Entain withdrew from the Netherlands gaming sector in respect of new regulatory controls, but the company expects its license to be approved prior to the New Year. The World Cup in Qatar, commencing in November, also serves as a massive opportunity for its sports betting arm.
‘’We have healthy momentum across the business and look forward to a strong finish to the year which includes the World Cup,’’ said Entain Chief Executive Jette Nygard-Andersen, adding ‘’Looking ahead, we remain vigilant of the economic backdrop. However, our diversified revnue base and robust business model enable us to remain confident in our ability to deliver on our growth and sustainability strategy’’.
