Entain reports strong results for 2023 and announces strategic priorities

stella david
Stella David, Interim CEO of Entain, commented: “2023 presented a number of challenges for the Group, both industry-wide and Entain-specific. I am extremely proud of how our people around the world came together to navigate the business through an eventful and at times difficult year. Against that backdrop, Entain was still able to deliver overall revenue growth of 14% including our US joint venture achieving revenue at the top end of expectations.
We have started the new financial year with a clear plan to accelerate our operational strategy, and are making pleasing progress across a range of initiatives to re-focus our market portfolio, prioritise organic growth, drive our share in the US, and expand our margins. We are entirely focused on operational excellence and outstanding execution and, as a result, are confident that we are on a pathway to delivering future growth. We remain confident that our continued focused execution will drive organic growth into 2025 and beyond.”

LONDON: Entain plc, the global sports betting and gaming group, announced its results for the year ended 31 December 2023, showing a 14% increase in net gaming revenue and a 1% increase in EBITDA. The group also announced its revised strategic priorities, focusing on driving organic growth, expanding online margins, and increasing US market share.

The group highlighted its performance in various markets, including Brazil, where it saw early signs of benefits from the improvements it initiated through 2023, and the US, where its BetMGM joint venture achieved a 14% market share in sports betting and iGaming and positive EBITDA for the second half of the year. The group also expanded into regulated markets with leading positions, such as Poland and New Zealand, and enhanced its inhouse content and capabilities with acquisitions of 365Scores and Angstrom Sports.

The group also commented on the regulatory developments in the UK and the Netherlands, where it expects to see some impact on its EBITDA in 2024 due to stake caps on online slot games and tighter deposit limits, respectively. The group said it expects these changes to be positive for Entain in the long run and that it may see opportunities to invest in marketing to grow market share.

The group reported a group profit after tax before separately disclosed items of £339m and a group loss after tax of £879m, reflecting the deferred prosecution agreement settlement and impairment charges related to its Australia operations. The group announced a second interim dividend of 8.9p per share, bringing the total dividend for the year to 17.8p per share. The group maintained a robust balance sheet with adjusted net debt of £3,291m and leverage at 3.3x.

Barry Gibson, Chairman of Entain, commented: “2023 was a period of necessary, but ultimately positive, transition for Entain. We have significantly strengthened the quality of our revenue base, enhanced our Board, and delivered a resolution to a critical, historic, regulatory issue.

We are making positive progress in our search for a new permanent CEO, and in the meantime Stella is driving the business as it continues to take appropriate actions to deliver changes to drive a better long term performance. We are also making good progress in adding to our Board strength – Ricky Sandler and Amanda Brown joined the Board in recent months and we expect to announce a further appointment shortly.

As our transformation continues the newly formed capital allocation committee has commenced a review of Entain’s markets, brands and verticals. The objectives of the review are to help focus the organization, improve competitive positions and maximize shareholder value.”

Add a Comment

Your email address will not be published. Required fields are marked *