Entain maintains 2021 growth despite Deutsche and KOA drags

By | October 12, 2021

Entain Plc has continued to match its corporate growth against high expectations, with the FTSE100 gambling group citing progress on all 2021 corporate objectives.

Publishing its Q3 trading update for the three month period ended 30 September, Entain recorded a 4% increase in group net gaming revenues when compared to Q3 2020

Registering a 10% increase in NGR for the period, Entain’s online portfolio secured its 23rd consecutive quarter of double-digit growth which was maintained despite continued German market adjustments.

Retail NGR was up 1% on a constant currency basis , as period trading saw Ladbrokes and Coral retail wagering volumes recover towards pre-pandemic levels – noting that activity is steadily rebuilding across European markets.

In the US, Entain’s BetMGM is now live across 16 states following launches in Arizona, Wyoming and South Dakota.

BetMGM is reported to have secured 23% of US market share during the Q3 period.  In its Q3 report, Entain explained that it has enhanced the coverage of its BetMGM brand across regulated states by launching its new NFL headline campaign featuring Jamie Foxx.

Closing its trading update, Entain maintains its Group EBITDA guidance of £850 to £900 million. 

Despite registering a strong Q3 performance, Entain could not uplift its EBITDA forecast as a result of suspending all Dutch market activities to observe the ‘cooling-off command’ of the Netherlands KOA licensing process.

Jette Nygaard-Andersen, Entain’s CEO, commented: “Our powerful Entain platform provides customers with great products and experiences, which enables us to grow ahead of our markets as demonstrated by 23 consecutive quarters of double-digit online growth.

“As we announced on 12 August, our total addressable market is expected to more than triple to over $160 billion.  This will be driven by the significant opportunity in the US, where we are now challenging for the number one market position, our growth plans in other new and existing markets, and our strategy of entering into new areas of interactive entertainment”

“By offering customers ever more engaging products, while leveraging our scale and technology, we will drive the flywheel effects of secular growth dynamics that can triple the size of our business.  As a result, we remain very confident in Entain’s future prospects.”

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