Group net gaming revenue at Entain through the year’s second quarter is up eight per cent, which helps boost its full-year performance forward 18 per cent despite encountering online drawbacks, the firm reports in a trading update.
The company’s digital space dropped seven per cent through both time frames, following a 12 per cent Q1 uptick, which Entain aligns to the cost of living crisis, tough comparatives driven by lockdowns, and closure in the Netherlands ahead of licensing.
On a quarterly basis online sports and gaming during January 1 to June 30, 2022, dropped six per cent and nine per cent, respectively, with those figures closing at declines of six per cent and seven per cent during the three months from April 1, 2022.
Updated online NGR guidance would see the space remain flat year-on-year, excluding impacts from the UK Gambling Act review, after the group had previously voiced an expectation of achieving mid to high single digital growth.
Entain, which expects to close its BetCity acquisition during H2, also reports that retail trading remains ahead of expectations driven by gaming and self-service betting terminals.
In the US, the BetMGM joint venture is said to be “on track for FY22 NGR of over $1.3bn,” with a 24 per cent market share, excluding New York, reported. The brand’s igaming segment is reported as “leading” the way with a 29 per cent share.
Jette Nygaard-Andersen, Entain’s CEO, commented: “I am very pleased to see that more customers are choosing to play with us, reflecting our focus on recreational players and putting the customer at the heart of everything we do.
“We continue to expand our growth opportunities through complementary acquisitions with four transactions so far this year. Underpinned by the Entain platform, BetMGM continues to demonstrate its leadership in the US with a 24 per cent market share.
“Our leadership in responsibility and sustainability has seen us implement further player safety measures alongside ARCTM, particularly in the UK, as well as respond to regulatory changes as markets implement regulation.
“The macro-economic outlook is uncertain, however the underlying performance of our business remains strong.
“With an increasingly recreational customer base and relatively resilient revenue, we remain confident that our customer focus, diversification and proven ability to grow both organically and through M&A will enable us to deliver further progress against our strategy.”