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BetMGM

BETMGM FIRST HALF 2023 UPDATE

Published

1 year ago

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NET REVENUE FROM OPERATIONS OF $944 MILLION IN FIRST HALF OF 20231

POSITIVE EBITDA FOR THE FULL SECOND QUARTER OF 20232

BetMGM, one of the leading sports betting and iGaming operators in North America, jointly owned by Entain plc and MGM Resorts International, is providing an update on First Half of 2023 (“1H 2023”) performance and outlook for full-year 2023.

Adam Greenblatt, Chief Executive Officer of BetMGM, commented:
“I am pleased with the significant progress we have made during the first half of 2023 as we continue our strong growth and remain on our path to profitability. Our financial guidance for the year remains on track – we expect to deliver $1.8 to $2.0 billion in full year revenue, as well as to be EBITDA positive in the second half of 2023. In fact, we have already achieved positive EBITDA for the full second quarter of this year. Our focus remains on building a sustainable, scalable and returns focused business with leading products that our players enjoy responsibly. We look forward to the remainder of the year, buoyed by ongoing product improvements, tremendous support from our shareholders providing access to new assets and partnerships, and – above all – our extraordinary team at BetMGM.”

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  • BetMGM finished 1H 2023 with strong financial performance
    • Net revenue from operations of $944 million, on track to deliver at the upper end of previous guidance range for FY 2023 revenue of $1.8 to $2.0 billion
      • 1H same-state growth of 25% in net revenue from digital operations
    • Reached the key milestone of positive EBITDA for 2Q 2023
    • Improved same state CPAs by 8% in 1H 2023 year on year
    • Bonus optimization and player management program continuing to have significantly positive impact, delivering enhanced GGR to NGR conversion:
      • Sports NGR margin increased by 300 bps in 1H 2023 year on year
      • Digital sports 1H revenue per player up by 65% for players acquired in 2021 or earlier
    • Each of the annual cohorts of digital sportsbooks launched from 2019 through 2022 delivered positive Contribution Profit in 2Q3
  • Remain on track for previously stated guidance of EBITDA positive in the second half of 2023 (“2H 2023”)
    • Includes investment in upcoming launches in Kentucky and North Carolina that were not originally planned during 2023
    • Expectation that BetMGM will become self-sustaining in 2H 2023, with no additional equity investment expected from MGM Resorts or Entain after the $150 million previously committed for 2023
  • Established as a leading sports betting and iGaming operator in North America
    • Continued geographic footprint expansion in 1H 2023, with new digital sports betting launches in Ohio, Massachusetts, and Puerto Rico
    • Live in 26 jurisdictions, including Ontario, with access to approximately 48% of the adult population in the United States4
    • Market share across iGaming and sports betting of 18%5
      • Continued market leadership in iGaming with approximately 27% market share6
      • Online sports betting market share of 11%, with 13% share in markets where BetMGM was live on day one6
  • Entain and MGM Resorts contributed new technology, resources, and relationships to accelerate both BetMGM’s product evolution and its access to players
    • Entain’s acquisition of pricing and risk specialist Angstrom, announced on July 17th, will enhance BetMGM’s sports betting offering, particularly in the fast-growing markets of parlay and in-play wagering, and provide players with a greatly improved experience
    • In connection with MGM Resorts’ exclusive partnership with Marriott, announced on July 17th, BetMGM entered into a loyalty marketing agreement with Marriott whereby BetMGM will offer customers extensive opportunities to earn Marriott Bonvoy points while playing with BetMGM, create exclusive games and experiences, and allow customers to exchange BetMGM Rewards points into Marriott Bonvoy points
    • Various platform and product enhancements delivered to provide a more exciting and seamless experience. We’re on track with the rollout of Single Account Single Wallet
  • Ongoing commitment to player safety, prioritizing responsible gambling across our business
    • Five-year extension to GameSense partnership, announced on March 1st, continues BetMGM’s prominence of responsible gambling messages in its digital and out-of-home marketing campaigns, as well as in its mobile app and retail sportsbooks
      • Through its GameSense partnership, BetMGM provides customers with information about how to bet responsibly, setting limits, dispelling myths, and finding support and assistance
    • BetMGM awarded one of the Responsible Gambling Council’s top accreditations for integration of responsible gambling and player protection into platforms and operations
  • Award recognition including
    • Casino Operator of the Year by EGR North America (second year in a row)
    • Casino Operator of the Year at SBC Awards North America (third year in a row)
    • 2023-2024 Great Place to Work Certification™

Notes:
1: 1H 2023 net revenue for BetMGM on a GAAP basis is expected to be approximately $923 million, including approximately $32 million related to Nevada MGM Resorts operations for which BetMGM records on a net basis as BetMGM is considered to be the agent in the Nevada transactions for GAAP purposes.
2: 1H 2023 Revenue and EBITDA figures are unaudited.
3. Contribution Profit for a particular state reflects Net Gaming Revenue minus direct costs (excluding depreciation and amortization and people costs) considered under GAAP presentation of Gross Profit plus marketing acquisition spend.
4: BetMGM operates iGaming and Sports Betting in five markets and Sports Betting in twenty-one markets.
5: Market share for last three months ending April 2023 by GGR including iGaming, retail and online sports betting, and only U.S. markets where BetMGM was active excluding New York; internal estimates used where operator-specific results are unavailable.
6: Market share for last three months ending April 2023 by GGR, including only U.S. markets where BetMGM was active and excluding New York in online sports; internal estimates used where operator-specific results are unavailable.

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BetMGM

BetMGM Expands Baseball Playoff Presence with League-wide Bullpen Advertisements

Published

2 weeks ago

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October 1, 2024

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New BetMGM Bullpen Jackpot promotion gives bettors a shot at $50,000 in bonus bets if a player hits a home run into the bullpen

BetMGM, a leading sports betting and iGaming operator, will serve as the official bullpen sponsor and backdrop for some of the most electrifying moments of the 2024 MLB playoffs. Through the partnership, BetMGM signage will be visible in every stadium’s bullpen throughout the postseason.

To celebrate, BetMGM is launching the $50,000 Bullpen Jackpot for the MLB playoffs. When a player hits a home run into the bullpen, all BetMGM customers who placed a qualifying wager on that player to hit a home run that day will win a share of $50,000 in bonus bets (contest not available in Nevada or Puerto Rico; bonus bets are non-withdrawable and expire in seven days).

The new promotion provides another tool for fans to engage with the long ball at BetMGM, succeeding the successful Grand Slam Jackpot promotion which paid out $1.85 million in bonus bets during the 2024 regular season. The integration of Angstrom, Entain’s sports modeling and analytics company, allowed BetMGM to vastly increase the breadth of their home run markets this season, resulting in a 256% increase on home run bets year-over-year.

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“Sponsoring the bullpen is an incredible opportunity for BetMGM to expand our brand by being front and center during key playoff action,” said Matt Prevost, Chief Revenue Officer of BetMGM. “We already established ourselves as the home of the regular season home run, and the BetMGM Bullpen Jackpot allows us to build upon that momentum by giving customers a stake in every swing throughout the postseason.”

BetMGM will offer more markets than ever before for the 2024 playoffs, including series home runs for players, series home run leader, head-to-head matchups and more.

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Adam Greenblatt

Gannett and BetMGM Announce Multi-Year Partnership

Published

4 weeks ago

on

September 18, 2024

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Gannett Co., Inc. announced a multi-year strategic partnership with BetMGM, a leading sports betting and iGaming operator. As part of the agreement, BetMGM will serve as the preferred online sportsbook and casino partner for USA TODAY Sports providing sports betting odds and betting information across the expansive USA TODAY Network in more than 200 local U.S. markets across 43 states with more than 300 digital news and media brands in the portfolio.

“We are thrilled to announce a re-imagined partnership with BetMGM, a trusted operator in the sports betting landscape. As a best-in-class partner, our goal is to deliver their trusted sports betting information to our audience of more than 44 million sports fans – especially now that football season has kicked off. We believe BetMGM complements our existing portfolio of partners and will enable us to drive further audience growth and engagement. We anticipate this collaboration will immediately lead to an increase in the overall monetization of our content platform,” said Michael Reed, Gannett Chairman and Chief Executive Officer.

The agreement incorporates BetMGM sports betting odds into stories and content sharing betting odds, moneylines, spreads and over/unders for games as well as a BetMGM “Bet Now” feature. BetMGM Sportsbook and BetMGM Casino will be listed as a partner on website footers across all USA TODAY Network publications.

“BetMGM is proud to partner with Gannett and the USA TODAY Network. Their unrivaled reach at a local and national level enables us to connect with a massive audience. By integrating odds and insights seamlessly into Gannett’s content, we’re empowering fans to stay informed and engaged with their favorite teams and games. We look forward to a successful partnership that fuels the excitement of sports betting throughout football season and beyond,” said BetMGM CEO Adam Greenblatt.

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Gambling.com Group will serve the USA TODAY Network audience and sports enthusiasts BetMGM sports betting offers and expert insights leveraging their proprietary advertising technology in states where online gambling is regulated.

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BetMGM

Jamie Foxx Stars in New BetMGM TV Campaign for 2024 Football Season

Published

1 month ago

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September 5, 2024

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BetMGM, a leading sports betting and iGaming operator, is premiering a new football season television commercial series featuring Jamie Foxx. Throughout the entertaining campaign, Foxx displays his comedic range with several character impersonations showcasing BetMGM’s brand DNA: born in Las Vegas, rooted in hospitality and entertainment, and focused on treating its customers right. Filmed in Los Angeles and directed by Brian Billow, the new spots will air nationwide in prime time and continue to run on multiple platforms throughout the upcoming season.

“I always love creating fun content with my BetMGM family when football season comes around. We had a blast filming these spots and showing the swagger of BetMGM,” Jamie Foxx said.

The spots highlight the premier experience that BetMGM provides to its customers. The first spot in the series, titled “Anthem”, stars Foxx portraying a variety of characters as they go through mixed emotions on game day. Through fans’ highs and lows, Foxx demonstrates how BetMGM treats customers with hotel suites and other real-world benefits redeemable through the sports betting operator’s rewards program and exclusive connection to MGM Resorts International’s destinations and Marriott Bonvoy.

A second spot features Foxx as a sportscaster explaining BetMGM’s new “Second Chance” promotion which allows anyone who places a straight bet on a player to score the first touchdown of the game to automatically win back their wager in cash if that player scores on the second touchdown of the game. A cast of characters – all played by Foxx – excitedly question the possibilities of the new offer which is exclusively available at BetMGM for the professional football season (Second Chance paid via withdrawable unrestricted funds).

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In the series’ third spot, Foxx highlights how BetMGM makes bettors feel welcome with a special offer allowing new BetMGM customers to earn up to $1500 in bonus bets if their first bet loses (offer not available in NV, PR and ON; bonus bets are non-withdrawable and expire in seven days).

“Jamie Foxx is a rare talent who can captivate an audience in any forum. This campaign, in partnership with Highdive, taps into his confidence and range, and will both entertain and inform viewers about BetMGM’s exciting new features for football season,” Matt Prevost, Chief Revenue Officer at BetMGM, said.

“We’re thrilled to unveil our latest campaign with BetMGM featuring the incredibly talented Jamie Foxx. Our aim was to showcase how BetMGM ‘treats you right,’ and Jamie’s performance brilliantly captures the campaign’s core message,” Mark Gross, Co-Founder and Co-Chief Creative Officer of Highdive, said.

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