Entain plc (LSE:ENT) has reported a 2% increase in group net gaming revenue for the third quarter of 2026, driven by strong domestic performance but offset by headwinds in Brazil.
The international sports betting and gaming group recorded 3% growth in online net gaming revenue during the period, with gaming activity contributing positively despite customer-favourable sports results.
UK and Ireland operations delivered an 8% rise in overall net gaming revenue for the quarter, including a notable 14% increase in online revenue alone.
The company said this performance reflected increased activity across its domestic operations and contributed to market share gains during the period.
Online businesses in New Zealand, Spain and Canada also delivered double-digit revenue growth, adding meaningful contributions to the group’s overall international trading performance.
Despite these gains, Entain reported a substantial decline in Brazil, which significantly offset revenue growth recorded across other parts of the business.
Customer-favourable sports betting outcomes were also identified as a key factor weighing on revenue performance during the third quarter.
Following the third-quarter update, Entain reaffirmed its full-year 2026 financial guidance, continuing to expect online net gaming revenue growth of between 4% and 6%.
Underlying EBITDA is now forecast to come in towards the lower end of the previously announced range of £910 million to £960 million for the full year.
Entain confirmed that BetMGM, its US joint venture, also expects its full-year revenue and EBITDA to land towards the lower end of their respective guidance ranges.
The group reported further progress on its planned phased withdrawal from Central and Eastern European operations, confirming a divestment involving a 20% ownership stake.
This transaction forms part of Entain’s wider portfolio management strategy, which focuses on reducing exposure to the region and reallocating resources across remaining markets.
Entain also raised concerns about the potential impact of further UK gambling tax increases on the financial viability of its retail betting shop operations.
Management warned that additional tax rises could affect the economics of retail betting, particularly where operating costs and tax obligations rise relative to revenue.
The company operates a substantial retail betting estate in the United Kingdom alongside its broader online sports betting and gaming businesses.
Entain said changes to the UK gambling tax framework could influence its retail operations and future strategic business decisions across that segment.
The group continues to monitor regulatory and fiscal developments in the UK market while maintaining its existing full-year financial guidance.
Management also reiterated its focus on long-term cash generation, supported by its online operations, retail network and international gaming portfolio.
The third-quarter trading update reflects a business navigating meaningful regional divergence, with strong UK and Ireland momentum contrasting with the drag from Brazil and volatile sports results.
Entain plc operates through a portfolio of consumer brands across regulated gambling markets globally, including its BetMGM joint venture focused on the United States.
