The company, which owns betting shops Coral and Ladbrokes, saw its share price jump by as much as 9% when markets opened on Monday morning
Entain’s shares soared after the gambling giant announced it anticipates reporting full-year earnings at the upper end of its forecast, despite a US sports season that has been kind to bettors.
The firm behind high street favourites Coral and Ladbrokes saw its stock surge by up to 9% as trading kicked off on Monday. This bullish investor update reflects the sporting outcomes from the final quarter.
Entain noted particularly “customer-friendly” results in the States during October and December, which mainly impacted BetMGM – its joint venture with entertainment giant MGM Resorts International.
BetMGM, which provides online betting and casino games, is also featured in MGM casinos globally. This sentiment was echoed by competitor Flutter, who reported that this NFL season had been unusually generous to gamblers, marking it as the most punter-friendly since the inception of online sports betting.
When punters win big, bookies like Entain have to dig deep into their pockets. Nevertheless, Entain is sticking to its guns regarding BetMGM’s projections, still expecting to post a loss around $250m (£207m). Across its portfolio, which includes UK bookies, European platforms, and bingo brands like Foxy and Gala, Entain is set to hit the “top” of its earnings guidance.
Entain had previously predicted its annual group earnings before interest, tax, and other costs to be between £1.04bn and £1.09bn. The company attributed the improved performance to “operator-friendly” sports results boosting the global business.
Entain’s share prices were trading around 5% higher come Monday morning.
