BetMGM finishes first half of 2023 with $944 million in net revenue

26 July 2023
(PRESS RELEASE) -- Sports betting and iGaming operators BetMGM, jointly owned by Entain plc and MGM Resorts International provided an update on the first half of 2023 performance and outlook for full-year 2023.
"I am pleased with the significant progress we have made during the first half of 2023 as we continue our strong growth and remain on our path to profitability,” said Adam Greenblatt, Chief Executive Officer of BetMGM. “Our financial guidance for the year remains on track - we expect to deliver $1.8 to $2.0 billion in full year revenue, as well as to be EBITDA positive in the second half of 2023. In fact, we have already achieved positive EBITDA for the full second quarter of this year. Our focus remains on building a sustainable, scalable and returns focused business with leading products that our players enjoy responsibly. We look forward to the remainder of the year, buoyed by ongoing product improvements, tremendous support from our shareholders providing access to new assets and partnerships, and - above all - our extraordinary team at BetMGM."
BetMGM finished 1H 2023 with strong financial performance
  • Net revenue from operations of $944 million, on track to deliver at the upper end of previous guidance range for FY 2023 revenue of $1.8 to $2.0 billion

  • 1H same-state growth of 25% in net revenue from digital operations

  • Reached the key milestone of positive EBITDA for 2Q 2023

  • Improved same state CPAs by 8% in 1H 2023 year on year

  • Bonus optimization and player management program continuing to have significantly positive impact, delivering enhanced GGR to NGR conversion:

  • Sports NGR margin increased by 300 bps in 1H 2023 year on year

  • Digital sports 1H revenue per player up by 65% for players acquired in 2021 or earlier

  • Each of the annual cohorts of digital sportsbooks launched from 2019 through 2022 delivered positive Contribution Profit in 2Q

Remain on track for previously stated guidance of EBITDA positive in the second half of 2023 ("2H 2023")
o Includes investment in upcoming launches in Kentucky and North Carolina that were not originally planned during 2023
o Expectation that BetMGM will become self-sustaining in 2H 2023, with no additional equity investment expected from Entain or MGM Resorts after the $150 million previously committed for 2023
Established as a leading sports betting and iGaming operator in North America
  • Continued geographic footprint expansion in 1H 2023, with new digital sports betting launches in Ohio, Massachusetts, and Puerto Rico

  • Live in 26 jurisdictions, including Ontario, with access to approximately 48% of the adult population in the United States

  • Market share across iGaming and sports betting of 18%

  • Continued market leadership in iGaming with approximately 27% market share

  • Online sports betting market share of 11%, with 13% share in markets where BetMGM was live on day one

Entain and MGM Resorts contributed new technology, resources, and relationships to accelerate both BetMGM's product evolution and its access to players
  • Entain's acquisition of pricing and risk specialist Angstrom, announced on 17 July, will enhance BetMGM's sports betting offering, particularly in the fast-growing markets of parlay and in-play wagering, and provide players with a greatly improved experience

  • In connection with MGM Resorts' exclusive partnership with Marriott, announced on 17 July, BetMGM entered into a loyalty marketing agreement with Marriott whereby BetMGM will offer customers extensive opportunities to earn Marriott Bonvoy points while playing with BetMGM, create exclusive games and experiences, and allow customers to exchange BetMGM Rewards points into Marriott Bonvoy points

  • Various platform and product enhancements delivered to provide a more exciting and seamless experience. We're on track with the rollout of Single Account Single Wallet

Ongoing commitment to player safety, prioritizing responsible gambling across our business
  • Five-year extension to GameSense partnership, announced on 1 March, continues BetMGM's prominence of responsible gambling messages in its digital and out-of-home marketing campaigns, as well as in its mobile app and retail sportsbooks
§ Through its GameSense partnership, BetMGM provides customers with information about how to bet responsibly, setting limits, dispelling myths, and finding support and assistance
  • BetMGM awarded one of the Responsible Gambling Council's top accreditations for integration of responsible gambling and player protection into platforms and operations

Award recognition including
  • Casino Operator of the Year by EGR North America (second year in a row)

  • Casino Operator of the Year at SBC Awards North America (third year in a row)

  • 2023-2024 Great Place to Work Certification