Entain PLC (LSE:ENT) has delivered a stronger-than-expected first-half performance, with online and retail growth pushing net gaming revenue ahead of market expectations.
Group net gaming revenue from continuing operations rose 5% year-on-year on a constant-currency basis during the six months to June 30, 2026, with online NGR climbing 7%.
The online performance was driven by 9% growth in gaming NGR and a 4% increase in sports, supported by 9% underlying volume growth and heightened customer engagement around the Men’s World Cup.
Entain said first-time depositors during the Men’s World Cup were double those recorded during comparable major sporting events, underscoring the boost that global tournaments can deliver to digital betting platforms.
Underlying group EBITDA came in at £479 million, down 2% year-on-year, or £473 million when excluding fees received from the BetMGM joint venture.
The company reported a loss after tax of £11.4 million from continuing operations, representing an improvement of £74 million compared with the previous corresponding period.
Adjusted diluted earnings per share were 20.3p, and the board declared a 10.3p interim dividend, up 5% year-on-year, signalling confidence in the company’s near-term trajectory.
The UK and Ireland remained a key contributor to group performance, with NGR in that market increasing 8% on a constant-currency basis during the half.
Retail NGR increased 1% on a constant-currency basis, while retail underlying EBITDA rose 6% to £142 million, providing a steady counterbalance to softer online EBITDA of £395 million, which fell 5% year-on-year.
Chief executive Stella David said the first half demonstrated continued momentum and volume growth across the group, adding that management remained focused on improving operational performance and cash generation.
Entain agreed in June to sell a 20% stake in Entain Holdings CEE to joint venture partner EMMA Capital for around €425 million, comprising €395 million payable on completion and an additional payment in early 2027 linked to 2026 financial performance.
The transaction values Entain CEE at an enterprise value of around €2.1 billion and is expected to complete in the fourth quarter of 2026, subject to regulatory approvals.
Proceeds from the CEE sale will be directed toward debt reduction, with Entain estimating around £20 million in annual interest savings as a result of the transaction.
At June 30, Entain held net debt of £3.60 billion and reported leverage of 3.1 times, alongside around £900 million of available cash, as the company works toward reducing group leverage below 3 times.
Entain’s 50%-owned BetMGM joint venture generated first-half net revenue of around US$1.4 billion, up 4% year-on-year, and adjusted EBITDA of US$99 million, with the North American business holding a 13% gross gaming revenue market share across its active markets.
BetMGM maintained its 2026 guidance for net revenue of US$2.9 billion to US$3.1 billion and adjusted EBITDA of US$300 million to US$350 million, though it expects results to land toward the lower end of those ranges.
Entain reiterated its 2026 guidance for online NGR growth of 5% to 7% on a constant-currency basis and group underlying EBITDA, excluding BetMGM parent fees, of £910 million to £960 million.
Management also reaffirmed its target of generating around £500 million in annual adjusted cash flow by 2028, reinforcing the company’s longer-term financial ambitions for shareholders.
