US sports betting and gaming operator BetMGM has provided an update on its recent strong financial performance and expects to post net revenue of $1.44bn for 2022.
BetMGM finished the year with net revenue ahead of its previous guidance of $1.3bn, benefiting from same-state growth from digital operations of 51 per cent.
Despite the revenue growth, BetMGM reported an EBITDA loss of $440m for the year, in line with expectations.
“The talented team at BetMGM continues to execute our plan with purpose, passion, and discipline,” said BetMGM CEO Adam Greenblatt. “2022 was a year in which we delivered against many key strategic initiatives and achieved several company milestones, including exceeding our financial targets, launching a redesigned BetMGM mobile app and furthering our commitment to Responsible Gambling.
“With continued and unwavering support from our shareholders, we look to 2023 confident in achieving further key milestones, including $1.8bn to $2bn in net revenue from operations and being EBITDA positive in the second half of 2023.”
The operator is now live in 25 jurisdictions, expanding its online footprint in 2022 with launches in six new markets: New York, Louisiana, Illinois, Ontario (Canada), Kansas, and Maryland.
BetMGM also opened four new retail sportsbooks at Nationals Park in Washington DC, Casino del Mar in Puerto Rico, The Cosmopolitan in Las Vegas, and at State Farm Stadium, the first retail sportsbook at an NFL stadium and home of the 2023 Super Bowl.
The operator most recently went online in Ohio, with two retail sportsbooks at MGM Northfield Park and at the Reds’ Great American Ball Par.
According to BetMGM, it holds a 30 per cent market share of the US iGaming market, and a 13 per cent share of the US online sports betting market, with 20 per cent share in markets where BetMGM was live on day one.
Continuing to support BetMGM, joint venture partners MGM Resorts and Entain expect to invest a combined additional $150m in 2023. This brings the total combined investment to build the company in less than 5 years to approximately $1.25bn.
Shares in MGM Resorts International (NYSE:MGM) closed at $40.28 per share in New York Wednesday, while shares in Entain plc (LSE:ENT) were trading 0.85 per cent higher at 1,544.50 pence per share in London.