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(Sharecast News) - BetMGM, a joint venture between Entain and MGM Resorts, cut its full-year guidance on Tuesday as it pointed to softer growth and player friendly results in its online sports segment.
The company now expects FY 2026 adjusted earnings before interest, tax, depreciation and amortisation to be towards the lower end of the $300m to $350m range, while guidance for net revenue was cut to between $2.9bn and $3.1bn, from between $3.1bn and $3.2bn.
In an update on its first-quarter performance, BetMGM pointed to the continued successful execution of its refined player management strategy and said it had delivered "robust" iGaming growth alongside softer online sports growth, including player friendly sports results.
Net revenue rose 6% year-on-year to $696m, with iGaming revenue up 9% and online sports revenue 4% higher. Adjusted EBITDA rose 11% to $25m.
BetMGM chief executive Adam Greenblatt said: "Although it has been a steady start to the year, BetMGM is delivering on our strategic plan, carrying forward the initiatives that drove our transformation in 2025. We are generating sustainable, profitable growth and paying cash to our parent companies. Our iGaming business is growing at scale, and our online sports business continues to strengthen despite a challenging market in Q1.
"As we look to the rest of the year, we will continue to focus on our areas of strength, particularly in iGaming, multiproduct states, omnichannel in Nevada, and servicing our premium mass sports players. These give us confidence that we will deliver on our updated 2026 guidance as well as continue on the path to $500 million of adjusted EBITDA in 2027."
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