Strong growth drives success for U.S. betting company

  • BetMGM achieved positive Ebitda in the second half of 2023
  • Full-year revenue expected to be at the top end of the forecast range
  • Strong organic growth drove revenue increase
  • Net revenue from operations expected to rise 36% to $1.96 billion
  • Same-state net revenue from digital operations grew 14%
  • Loss before interest, taxes, depreciation, and amortization of $67 million for the year
  • BetMGM aims for approximately $500 million Ebitda in 2026
  • CEO Adam Greenblatt highlights the effectiveness of the business model and plans for expansion
  • Entain shares up 1.25% at 984.60 pence

BetMGM, the U.S. betting company jointly owned by Entain and MGM Resorts International, has announced that it achieved positive Ebitda in the second half of 2023. The company’s full-year revenue is expected to be at the top end of the forecast range, driven by strong organic growth. Net revenue from operations is projected to rise by 36% to $1.96 billion, with same-state net revenue from digital operations growing by 14%. Despite a loss before interest, taxes, depreciation, and amortization of $67 million for the year, BetMGM remains optimistic and aims to reach approximately $500 million Ebitda in 2026. CEO Adam Greenblatt expressed confidence in the business model and plans to expand the sports offering through the integration of Angstrom and leveraging the untapped Las Vegas omni-channel advantages. The positive news has also had a positive impact on Entain shares, which were up 1.25% at 984.60 pence.

Public Companies: Entain (N/A), MGM Resorts International (N/A)
Private Companies: undefined
Key People: Adam Greenblatt (Chief Executive Officer)

Factuality Level: 8
Justification: The article provides specific financial figures and statements from BetMGM’s CEO, which can be fact-checked. However, it lacks additional context or analysis to fully evaluate the accuracy of the claims made.

Noise Level: 7
Justification: The article provides information on BetMGM’s financial performance and revenue projections. However, it lacks in-depth analysis, evidence, and actionable insights. It mainly focuses on the company’s positive Ebitda and revenue growth without exploring potential risks or challenges. The article also includes unrelated information about Entain’s share price, which is not directly relevant to the main topic.

Financial Relevance: Yes
Financial Markets Impacted: The article provides information about BetMGM, a U.S. betting company jointly owned by Entain and MGM Resorts International. It discusses the company’s revenue and Ebitda performance, as well as its future guidance. This information may be of interest to investors and stakeholders in the gambling and entertainment industry.

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article does not mention any extreme events or their impacts.

Reported publicly: www.marketwatch.com