BetMGM announced on Monday that its revenue for the first quarter jumped by 34%, with the operator reaffirming its belief that it will show positive earnings before interest, taxes, depreciation, and amortization (EBITDA) for all of 2025.
The 50/50 partnership of MGM Resorts International (NYSE: MGM) and Entain Plc (OTC: GMVHY) reported that net sportsbook revenue soared by 68% in the first quarter, while iGaming turnover rose by 27%. The sportsbook handle increased by 29%, and the net gaming revenue (NGR) margin improved by 110 basis points.
"2025 is off to an encouraging start for BetMGM as we execute our revised strategic plan,” said CEO Adam Greenblatt in a statement. “The momentum we built in the second half of 2024 continued into the first quarter as we implement our powerful iGaming strategy, enabling us to grow faster than the market and at scale.”
He stated that in the online sports betting arena, BetMGM keeps enhancing its brand despite the impact of customer-friendly results on the sector. Despite disappointing outcomes in the Super Bowl and NCAA Tournaments, BetMGM reported an EBITDA of $22 million in the first quarter.
In February, BetMGM projected a net revenue of $2.4 billion to $2.5 billion for 2025, alongside an EBITDA of as much as $250 million. The operator mentioned that it’s likely those numbers could be surpassed.
“BetMGM’s year-to-date performance provides increased confidence in exceeding guidance, however we remain mindful it is still relatively early in the year. As such, we reaffirm our expectations for FY 2025 to be EBITDA positive, and Net Revenue guidance of $2.4 billion to $2.5 billion,” according to the press release.
When presenting its first outlook for 2025, BetMGM indicated it anticipates achieving $500 million in yearly EBITDA in the coming years, and this forecast was reaffirmed today. The operator stated that its first-quarter sportsbook figures were boosted by increased engagement and product improvements, along with a focus on what it referred to as premium mass bettors.
“Broader market range, improved pricing, and enhanced parlay offering contributed to strong gains in player economics and activity metrics,” added the gaming company.
Although it seems probable that no additional states will introduce iGaming this year, online casinos are favored in the regions that allow them, which is positive news for operators like BetMGM. The firm is demonstrating skill in cross-selling iGaming to sports bettors, informing investors that it enhanced this metric by 13% year-over-year during the first quarter.
“1Q Average Monthly Actives up +43% reflecting our leading iGaming offering and focused marketing investment,” said BetMGM in the statement. “Active Player Days up +39% YoY driven by unique and exclusive content across both real-money and free-to-play engagement games.”
In the March quarter, BetMGM recorded iGaming revenue of $443 million, which is more than twice the $194 million it achieved in sportsbook turnover.
