Global sports betting and gaming operator Entain reported that online net gaming revenue (NGR) was down seven per cent in the first half of 2022, reflecting tougher trading conditions.
While the group’s overall net gaming revenue grew by 18 per cent in the first half of the year, Entain said performance of its online NGR “continued to reflect tough 2021 comparators, driven by Covid lockdowns, closure in the Netherlands ahead of licensing, and the implementation of tighter affordability measures in the UK”.
It also pointed to a weaker macro-economic environment overall; reducing customers’ rate of spend and moderating overall online growth.
The group, however, reiterated that underlying performance remained strong with Q2 registering a 60 per cent increase in actives compared with the same period in 2019, and reported that NGR in Q2, 2022, was up on that of the first quarter of the year.
Entain’s volumes of retail trading in the second quarter of the year were ahead of expectations and pre-Covid trading levels, driven by gaming and self-service betting terminals. The operator stated that BetMGM also continued to perform in line with expectations and highlighted that its BetCity transaction, due to complete in the second half of this year, is delivering strategic growth opportunities in the Dutch market.
Jette Nygaard-Andersen, Entain’s CEO, said: “I am very pleased to see that more customers are choosing to play with us, reflecting our focus on recreational players and putting the customer at the heart of everything we do. We continue to expand our growth opportunities through complementary acquisitions with four transactions so far this year. Underpinned by the Entain Platform, BetMGM continues to demonstrate its leadership in the US with a 24 per cent market share.
He added: “The macro-economic outlook is uncertain, however the underlying performance of our business remains strong. With an increasingly recreational customer base and relatively resilient revenue, we remain confident that our customer focus, diversification and proven ability to grow both organically and through M&A will enable us to deliver further progress against our strategy."
