Entain reports 6% NGR growth to $3.2 B in H1 2024, upgrades full-year guidance

Global sports betting and gaming company Entain witnessed its net gaming revenue (NGR) increase by 6% year-on-year to £2.56 billion ($3.24 billion) during the first half of 2024. Online NGR grew by 9%, excluding the US, bolstered by a 13% rise in active customers.

Net loss after tax narrowed to £47 million ($60 million) from the previous year’s loss of £502.5 million ($637 million). Group EBITDA rose by 5% to £524 million ($664 million), while online EBITDA increased to £445 million ($564 million). Retail EBITDA, however, declined by 11% to £140 million ($177 million).

Entain’s performance was driven by strong performances in international markets, with NGR up 10% in constant currency terms. Brazil showed exceptional growth, with NGR rising by 28%, while Australia returned to flat year-on-year growth. In contrast, the UK & Ireland saw a 6% decrease in NGR, impacted by regulatory changes and lower retail performance.

The Central and Eastern Europe (CEE) region saw a 12% rise in pro forma NGR. Croatia's SuperSport, a part of Entain’s CEE operations, reported a 17% increase, boosting the region's positive performance.

BetMGM, Entain’s U.S. joint venture, continued to gain momentum, achieving a 9% year-on-year increase in net gaming revenue in Q2, supported by strong customer acquisition and retention metrics. The joint venture stabilized its market share at 13% and is expected to benefit from further investments in the second half of the year.

Entain also announced a proposed interim dividend of 9.3p per share, reflecting a 5% increase from the previous year. The company successfully repriced its term loan debt and added £600 million ($760 million) to its available cash, enhancing its balance sheet strength with net debt standing at £3.33 billion ($4.2 billion).

Looking ahead, Entain upgraded its full-year guidance, expecting group EBITDA to range between £1.04 billion and £1.09 billion ($1.31-1.38 billion). This revision is attributed to the stronger-than-expected performance in Q2 and revised regulatory implementation timings in Brazil and the Netherlands. The company said it remains focused on executing its strategic priorities, including organic growth, margin expansion, and strengthening its position in the U.S. market​.

”Entain’s H1 results are clear evidence that our hard work improving the group’s operational performance is bearing fruit. Whilst there is more work to do, we are pleased with the progress so far and look forward to building further on these solid foundations in H2 and beyond,” Stella David, Interim CEO & Chair Designate, said.

“Our focused execution underpins the group’s performance so far this year, and we are excited by the opportunities ahead. I look forward to welcoming Gavin Isaacs as our new Chief Executive Officer and supporting him as we continue to build on the Group’s improving operational momentum.”

Entain recently announced the appointment of Gavin Isaacs as CEO, effective September 2, 2024, while Stella David will transition to Chair on September 30, 2024.