Shares in Entain PLC (LSE:ENT) fell 8.5% after the Ladbrokes and Foxy Bingo owner said its chief executive, Gavin Isaacs, has agreed to step down just over five months after he started.
The company said it remains "pleased" with its trading performance and still expects underlying profits for last year to be at the top of its previous guidance.
But the FTSE 100-listed bookmaker said Isaacs had agreed to leave the role with immediate effect, "by mutual agreement", suggesting something must have gone seriously amiss.
Isaacs was by no means a gaming industry greenhorn, having held roles at lottery business Scientific Games Corporation, DraftKings and Australian gambling machine maker Aristocrat Technologies, among others.
Non-executive chair, Stella David, who held the interim CEO role for 10 months prior to Isaacs starting in September, will take that role on again until a permanent replacement has been found.
Senior independent director Pierre Bouchut will take the non-executive chair role on an interim basis during this period.
David said: "Entain is making strong progress in delivering our strategic priorities. We would like to thank Gavin for his contribution. The board is pleased with the group's performance in 2024 and trading so far this year."
She added: "The board and management remain aligned on the group's focus on operational excellence and maximising shareholder value. I look forward to leading the business as we continue to accelerate our performance."
Entain also said the board is "comfortable" with market expectations for the 2025 financial year and will provide a trading update on 6 March.
** Update: Share price added **