【Grand Casino Online】FY 2024: Entain posts £5.16bn NGR as online growth drives recovery

Online NGR rose 9%, while retail revenue increased by 2%. Meanwhile, EBITDA climbed 8% to £1.09bn, supported by an 11% rise in online EBITDA to £941m.

The company’s online EBITDA margin stood at 25.3%, exceeding expectations due to operational efficiencies and stronger-than-anticipated growth. However, retail EBITDA declined by 11% to £261m.

These figures exclude contributions from Entain’s US joint venture, BetMGM. Including Entain’s 50% stake in BetMGM, overall group NGR grew by 6% to £6bn.

Geographical breakdown

When broken down by geography, Entain’s UK and Ireland business saw a significant turnaround in the second half of the year.

In H1 2024, NGR declined by 6%, largely due to regulatory changes affecting customer engagement. However, the second half saw a 7% rebound as the company implemented measures to simplify the customer journey.

Internationally, NGR rose by 6%, with notable growth in key markets. Brazil led the way with a 41% surge in NGR, driven by higher customer activity.

Australia returned to growth with a 1% rise in online NGR despite market challenges. Italy recorded a 3% increase, with online revenue up 2% and retail revenue up 4%.

Central and Eastern Europe was a standout performer, with total NGR soaring 62%, partly due to Entain’s acquisition of STS in Poland.

On a pro forma basis, the region’s NGR grew 12% year-on-year. In Poland, online and retail revenues increased by 8% and 12%, respectively. Croatia also saw a 16% rise, with online revenue up 19% and retail up 5%.

CEO commentary

Interim CEO Stella David, who reassumed the role in February following the sudden departure of Garvin Isaacs, called 2024 a pivotal year for Entain.

“Our return to growth for both organic NGR and EBITDA is clear evidence that our operational transformation is succeeding,” David said.

“However, there is plenty of hard work still to do — delivering the brilliant basics that drive customer acquisition and retention and enhance player experiences.

“Our rebuilding momentum continues, and Entain is well-positioned for 2025. I am both confident and excited for the many opportunities ahead.”

2025 outlook

Entain said it has started 2025 on a strong footing, with trading momentum carrying over from 2024.

The company expects mid-single-digit growth in online NGR this year and is targeting an online EBITDA margin of around 25%, with operational efficiencies helping to offset the financial impact of Brazil’s new tax regulations.

The operator believes it has now passed the most significant regulatory headwinds that previously weighed on performance. Management remains confident in achieving over £0.5bn in annual adjusted cash flow in the medium term.

Meanwhile, BetMGM is expected to generate between $2.4bn and $2.5bn in revenue for 2025, with positive EBITDA for the first time.

At the time of writing, Entain’s shares were trading 2.75% higher.