Entain Reports Strong Q1 Trading, Reiterates FY25 Guidance
Why we think this is good
Entain has reported a strong start to 2025, with Q1 Group Net Gaming Revenue (NGR) ahead of expectations. The company saw robust growth in its Online business, particularly in the UK&I and Brazil markets. BetMGM, Entain's US joint venture, also performed strongly, with NGR up 34% on a constant currency basis. While the Retail segment saw more muted growth, the overall performance suggests Entain is well-positioned to deliver on its medium-term cash generation targets.
Key Points
- Q1 Group NGR up 9% (+11% cc), with strong Online performance
- Online NGR up 12% (+15% cc), driven by UK&I (+23% cc) and Brazil (+31% cc)
- BetMGM Q1 NGR up 34% cc, on track to be EBITDA positive in FY25
- Entain reiterates FY25 Online NGR growth guidance of mid-single-digit percent
Summary
Entain plc (LSE: ENT) has reported a strong start to 2025, with Q1 Group Net Gaming Revenue (NGR) up 9% (+11% on a constant currency basis) compared to the same period last year. This was driven by a 12% (+15% cc) increase in Online NGR, including a 34% (+37% cc) rise in BetMGM's NGR. The company reiterated its expectation for Online NGR growth of mid-single-digit percent in 2025 on a constant currency basis and remains comfortable with market expectations for FY2025 EBITDA.