Entain’s US joint venture BetMGM has confirmed it expects to make an underlying profit in the next six months after sales continued to rise in the first half of the year.
Adam Greenblatt, BetMGM’s chief executive, said: “Our financial guidance for the year remains on track - we expect to deliver US$1.8 to $2.0bn in full-year revenue, as well as to be EBITDA positive in the second half of 2023.
“In fact, we have already achieved positive EBITDA for the full second quarter of this year.”
Greenblatt added he expects BetMGM will become self-sustaining in this half year, with no additional equity investment expected from Entain or its partner MGM Resorts after the US$150mln previously committed for 2023.
Net revenue in the first half rose to US$944mln, putting the group on track to hit the upper end of forecasts, it said.
Interim like-for-like digital net revenue growth was 25%, whole sports NGR margin (win/loss ratio) increased by 300 bps (3%) year-on-year while digital sports revenue per player rose by 65%.
BetMGM added it is also launching in Kentucky and North Carolina shortly, areas that were not planned for originally during 2023, to add to 26 jurisdictions live currently including Ontario.
The company has a market share of 27% in iGaming and 11% in online sports betting, said the statement.