Entain starts off 2023 with a strong first quarter

(PRESS RELEASE) -- Entain plc, the global sports betting, gaming and interactive entertainment group, today reports trading for the Q1 period from 1 January to 31 March 2023.

Financial highlights:

• Strong start to 2023 with Q1 Group Net Gaming Revenue (“NGR”) up +15% (+11%cc)
• Including our 50% share of BetMGM, Q1 Group NGR was up +17%cc
• Online Q1 NGR up +16% (+11%cc), in line with expectations and demonstrating strong momentum
• Online NGR in Q1 +1%cc on an underlying basis, excluding the known regulatory impacts in the UK and Germany, Online NGR was +6%cc1 proforma
• Record levels of active customers in Q1, up +19% versus the prior year (+14% proforma)
• Strong performance in Retail with Q1 NGR up +14% (+13%cc)
• BetMGM continues to grow strongly with Q1 NGR of approximately $470m, up +76%, delivering in line with guidance of $1.8-$2.0bn for 2023
• Consistent iGaming leadership with 28% market share and established amongst leading operators with 17% share in sports-betting and iGaming markets where BetMGM operates
• Successful Super Bowl and March Madness, with strong customer acquisition during the quarter
• Player economics continue to support state cohort profitability, and BetMGM remains on track to deliver positive EBITDA in the second half of 2023

Operational highlights:

• Continued execution of strategic growth with further diversification and expansion across regulated markets and products
• Strategic partnership with TAB New Zealand (“TAB NZ”) to provide wagering operations in New Zealand
• Acquisition of 365scores to broaden customer appeal and support online growth
• Ongoing focus and progress across our Sustainability strategy
• Only global operator with 100% revenue from regulated or regulating markets
• Commitment for two-year program with Gordon Moody Charity, continuing the Entain Foundation’s funding for responsible gaming support
• ARC continues to provide industry leading player protection with over 3.7million interactions so far
• Retained AA rating by MSCI ESG Ratings, illustrating continued industry leadership in ESG

“2023 is off to a strong start, with continuing underlying momentum across our operations around the world,” said Jette Nygaard-Andersen, Entain’s CEO. “We are delivering both financially and strategically, with a record number of active customers enjoying our products, and we are executing on growth opportunities to further diversify and expand across regulated markets. In the US, BetMGM continues to grow in line with expectations and enjoyed a successful quarter which included the Super Bowl and March Madness. Looking ahead, we remain confident that our customer focus, diversification and proven ability to grow organically and through M&A will enable us to demonstrate further progress against our strategy.”