Entain Reports Strong FY2025 as BetMGM Reaches Profitability

Entain achieved substantial growth in fiscal year 2025, propelled by solid online expansion and successful operational results from its BetMGM venture. The London-based betting and gaming company generated stronger earnings and improved cash flow. It also achieved its first full year of profitability through its American business partnership, signaling a shift from years of heavy investment toward sustained returns.

Key Metrics Remain Positive

Entain’s group-wide total net gaming revenue reached GBP 6.4 billion ($8.51 billion), including its US business operations, a 7% increase compared with the previous year. Excluding the United States, revenue totaled GBP 5.3 billion ($7.05 billion), showing modest annual growth while maintaining robust momentum across various markets. Group EBITDA climbed 25% to GBP 1.24 billion ($1.65 billion), while adjusted diluted earnings per share more than doubled to 61.8p ($0.80). 

Cash generation also saw significant improvements. Adjusted cash flow reached GBP 151 million ($201 million), a sharp shift from the GBP 22 million ($29.3 million) outflow recorded in 2024. That GBP 173 million ($230.26 million) improvement highlights the company’s growing ability to convert earnings into cash while still funding product development and expansion. Entain’s leverage ratio improved to 3.6 times on a look-through basis, strengthening the balance sheet.

Improved operational efficiency and stronger margins in the digital business were among the primary reasons for these positive metrics. Investors responded immediately to the news. Entain’s stock price surged more than 6% following the release of its results, reflecting confidence that the operator’s expansion-focused strategy is beginning to pay off.

Entertain Is Optimistic Regarding Its Prospects

Online operations remain the backbone of the group. The segment has now seen seven quarters of consistent growth. The United Kingdom and Ireland stood out as major contributors, delivering 15% annual growth and accounting for nearly a quarter of online revenue. International markets showed mixed results, with Spain and other European markets offsetting a small decline in Australia.

The most significant milestone came in the United States. BetMGM generated $220 million in adjusted EBITDA, marking the venture’s first profitable year after several years of investments in technology, marketing, and market share. Management now expects BetMGM’s earnings to continue climbing, forecasting $300 million to $350 million in adjusted EBITDA in 2026.

The business has never been in better shape and is well-positioned to not only navigate the tax and regulatory challenges facing our industry, but to seize them as opportunities.

Stella David, Entain CEO

Looking ahead to 2026, Entain expects online revenue to grow 5% to 7% in constant currency terms, with margins remaining stable. According to executives, the focus will remain on disciplined expansion, operational efficiency, and stronger cash returns for shareholders. The group will likely focus less on large acquisitions and prioritize strengthening its existing market positions and improving product quality.