BetMGM, the partnership between Entain and MGM Resorts, has reported a revenue of nearly $2.00bn in 2023, which falls at the upper end of the projected range. The revenue for the 12 months ending on December 31, 2023, amounted to $1.96bn. The company had forecasted revenue between $1.80bn and $2.00bn for the entire year, and various factors contributed to this growth.
Despite expecting a negative EBITDA of $67m for 2023, BetMGM remains on track to achieve a positive EBITDA of $500m by 2026. In 2023, key metrics for igaming and online sports betting showed significant year-on-year improvement, including average monthly actives, first-time deposits, hold percentages, bonus levels, net gaming revenue per active, and cost per acquisitions.
BetMGM expanded its presence in North America and is now active in 28 markets across the region. It further plans to launch in North Carolina pending regulatory approval, following a partnership with Charlotte Motor Speedway. In terms of market share, BetMGM claims to have a 14% sports betting and igaming share in the US, as well as a 22% market share in Ontario, Canada.
BetMGM CEO Adam Greenblatt expressed satisfaction with the company’s performance in 2023 and emphasized their commitment to delivering strong organic growth. The company’s strategic roadmap includes technology, product, and capability enhancements, and plans for 2024 involve leveraging Angstrom, a sports data provider it acquired in July, to support new products.
Despite the success in North America, the update did not mention the launch of BetMGM in the UK, where it went live in August. However, BetMGM still represents a “strategic limb” of Entain and MGM, with support from Entain. Moreover, MGM faced challenges in 2023 due to a cyberattack that forced it to shut down systems across its US properties, resulting in a loss of $100m in revenue.
Overall, BetMGM’s performance in 2023 demonstrates its strengths and strategic initiatives, laying a strong foundation for future growth in 2024 and beyond.