Entain plc, a well-respected iGaming brand, has announced its trading update for the third quarter of 2021. It has shown consistent and stable growth, predominantly for its US joint venture with MGM Resorts, BetMGM. Throughout the period, the group NGR has increased by 4% compared to the last year. Additionally, the iGaming revenue has risen by 10%, which marks the 23rd consecutive three-month period of double-digit growth. Not counting the German market, online NGR has grown by 18%.
BetMGM has constantly grown with a whopping 23% market share throughout the US in iGaming and sports betting. During the previous period, concluding with August 2021, the company has led the market with roughly one-third market share. The company is now live across sixteen US markets, with the most recent licenses obtained in Wyoming, South Dakota and Arizona. The new challenge is obviously to acquire the pole position in the iGaming and sports betting industry.
Impressive Financial Performance
Entain has delivered outstanding financial results, with NGR showing an impressive rise against the very successful period last year. Combined with BetMGM’s success, the projected 2021 EBITDA should amount to approximately $1200m. Moreover, its total addressable market should go over $160bn. The group’s astonishing performance will certainly fortify its market position and enable it to grow further. In addition, it should improve its negotiating position regarding the $22bn buyout offer from DraftKings. The offer is still active, and no official announcement has been made.
Furthermore, the Entain Foundation in the US has provided funds for research with the University of Nevada. They have launched a new app to support the Responsible Gaming Initiative, carried out by AGA. Entain’s ARC (Advanced Responsibility and Care) programme has also been very successful. American Gaming Association has made consistent efforts to promote regulated gaming and Entain is their reliable partner in this mission.
Fantastic Results and New Ambitions
Despite the phenomenal results, Entain wants to go even further and explore new possibilities. Jette Nygaard-Andersen, the CEO, stated the results showed the company was prepared to constantly deliver at the highest level. The cutting-edge Entain platform delivers an unmatched user experience, as well as high-quality products. The solutions the company delivers enable it to enjoy 23 consecutive three-month periods of double-digit growth. These figures have established Entain as one of the strongest players in the market.
As said, the total addressable market is expected to go well over $160bn. The US provides an exceptional opportunity for this achievement. The company will now target the number one market position, as they have developed an expansion strategy to expand their global footprint. Entering new jurisdictions and growing in existing markets is expected shortly. The area of interactive entertainment is among the most prospective ones in the US and they want to take every opportunity to improve their game. They are extremely confident regarding the future, as they plan to offer their customers even more engaging products.