BetMGM expecting to be profitable in 2023F

  • Sectors : Gaming
  • Companies : Entain

Ratings and price correct at time of issue.

  • Entain

    Closing Price: 1707p

  • RATING 13/12/17



The key take-aways from BetMGM’s trading update are: (i) its expectation that it will reach positive EBITDA in 2023F and (ii) its increased 2022F revenue guidance of $1.3bn, upgraded from >$1bn. Current year revenues look set to be greater than current expectations (Davy $1.11bn; consensus $1.19bn). Of equal importance is that its expected loss in 2022F looks to be less than that generated in 2021. This, coupled with a reiteration of its customer economics and its guided pathway to profitability next year, should provide comfort around its earnings prospects in the US. BetMGM is establishing itself as a leading US gaming operator, highlighting Entain, its part owner, as one of a small handful of top-tier global gaming operators. BetMGM will host a conference call at 15:00 today before Entain’s trading update tomorrow (January 20th) at 07:00 (all times UK/Ireland).

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Jan 19 2022, 14:40 GMT