Entain Reports Strong H1 Performance

Entain has announced its financial results for the first half of the year, with a performance that has surpassed market expectations. The betting giant reported a 7% increase in total net gaming revenues, reaching £2.63 billion compared to the previous year. The growth is put down to robust performances across its operations in the UK, US, and Brazil. The underlying earnings before interest, tax, depreciation, and amortisation (EBITDA) also saw a significant rise of 11%, amounting to £583 million.

Breakdown of Revenue Sources

• UK and Ireland Operations: The online segment in the UK and Ireland experienced a remarkable 21% growth, driven by a recovery in market share and enhanced customer engagement.
• Brazilian Market: The Brazilian division mirrored this success, also achieving a 21% increase in revenues, largely due to the newly regulated gaming framework in the country.
• BetMGM Performance: The joint venture with MGM Resorts, BetMGM, reported a staggering 35% increase in revenues, with underlying earnings turning profitable at $109 million.

Upgraded Financial Guidance

Following the H1 results, Entain has upgraded its full-year guidance. The company now anticipates approximately 7% growth in online net gaming revenue on a constant currency basis, with mid-single-digit growth expected on a reported basis. Furthermore, the group has introduced an EBITDA guidance range for FY25, estimating between £1.1 billion and £1.15 billion.

In light of its strong performance, Entain declared an interim dividend of 9.8p per share, reflecting the company’s commitment to returning value to its shareholders.

Despite the positive financial results, Entain faced challenges that impacted its bottom line. The company reported a post-tax loss of £116.9 million, primarily due to £50 million in provisions related to ongoing AUSTRAC proceedings in Australia.

Entain also announced the appointment of Pierre Bouchut as the permanent non-executive chair, following his interim role since February. This leadership change the company says is expected to bring fresh perspectives to the company’s strategic direction.

CEO’s Perspective

Stella David, CEO of Entain, commented: “I am delighted by the ongoing momentum and strong performance that both Entain and BetMGM have delivered in H1 2025. Entain’s transformation journey is well underway, gathering pace and is supported by our high-quality portfolio of iconic brands with podium positions in attractive markets. Our business is getting stronger, fitter and faster, with these results reinforcing our confidence in driving sustainable underlying growth and generating more than £0.5bn of cash annually in the medium term.” David’s remarks underscore the company’s commitment to sustainable growth and cash generation, projecting over £0.5 billion in annual cash flow in the medium term.