Business
Update on current trading and operational strategy
Update on current trading and operational strategy.
About this update from Entain Plc
[{"type":"text","content":"\n\n7.00am 25 September 2023\n \nEntain plc\n(\"Entain\" or the \"Group\")\n \nUpdate on current trading and FY23 Online NGR guidance\nReiteration of FY2023 EBITDA guidance of £1.00bn-£1.05bn\nActions to accelerate operational strategy and performance\n \nEntain plc (LSE: ENT), the global sports-betting, gaming and interactive entertainment group, is today providing an update on current trading and FY 2023 guidance, as well as plans to update shareholders on the progress of ongoing actions to accelerate operational performance and drive shareholder value.\n \nCurrent trading\nPost the summer, Online Net Gaming Revenue (NGR) has been mixed across the Group, but in aggregate, softer than anticipated. Q3 Online NGR growth is now expected to be up high single-digit percent, and down high single digit percent on a proforma basis. Key drivers include:\n· Adverse sporting results impacting sports margins during September\n· Group wide implementation of industry leading safer gambling measures and ongoing regulatory headwinds persisting longer than expected, particularly in the UK\n· Slower growth than expected in Australia and Italy\n· Good underlying Online growth (ex-regulatory impacts) as evidenced by further strong proforma growth in active customers across the quarter\n· Strong performance from recent acquisitions, particularly SuperSport in Croatia\n· Robust performance across Retail\n· BetMGM in the US continuing to perform well: on track to deliver positive EBITDA in the second half of 2023; FY2023 NGR at the upper end of $1.8-$2.0bn guidance; and the successful rollout of Single Account Single Wallet, as well as online sportsbook enhancements supporting strong start to the NFL season\n \nWe now expect Group Online NGR for FY2023 to be up low double-digit percent with proforma NGR down low single digit percent. We reiterate our expectations for FY2023 EBITDA to be in the range of £1.00bn-£1.05bn supported by robust operational controls.\n \nActions to accelerate operational strategy and performance\nOver the last three years Entain has undergone a significant strategic transformation, improving the quality of earnings and aligning operations to ensure the G...