Even off the back of a strong summer of engagement, BetMGM is feeling the pressure of prediction markets, as it was forced to adjust its timeline for reaching its long-term promise of $500m in adjusted EBITDA.
BetMGM cited the current environment in the US, fuelled by prediction market regulatory complexity, as the reason for it being ‘prudent to assume the timing of delivery will extend beyond current 2027 expectations’.
Speaking to investors during BetMGM’s Q2 earnings call, Chief Executive Officer Adam Greenblatt shared optimism that further restrictions could be on the horizon for prediction markets, however, something he stated would be a boost for BetMGM.
He commented: “We are pleased to have maintained guidance despite the competitive environment, albeit toward the bottom end of the range. We also remain confident in our long-term outlook, even assuming status quo for prediction markets.
“BetMGM has an attractive opportunity to grow profitability by focusing execution on our areas of strength, with iGaming at our core, remaining disciplined in our spend and driving greater efficiencies. Any future iGaming legislation and potential restrictions in prediction markets activity in sports represent even further upside.
“This therefore reinforces our conviction that BetMGM is well positioned to deliver profitable, sustainable growth and generate over $500m of adjusted EBITDA in the coming years.”
BetMGM Q2 iGaming growth
- Net revenue: $711m, up 3% year-on-year (YoY) (2025: $692m).
- iGaming: $483m, up 8% YoY (2025: $449m). Product strength delivered player engagement.
- Online sports: $228m, in line. Strong tentpole events handle, including World Cup and NBA Playoffs, offset by higher player generosity.
- Average monthly actives: 875,000, down 3% YoY (2025: 901,000).
- Adjusted EBITDA: $74m, down 15% YoY (2025: $86m).
- Parent fees: $15m.
H1
- Net revenue: $1.41bn, up 4% YoY (2025: $1.35bn).
- iGaming: $964m, up 8% YoY (2025: $891m).
- Online sports: $431m, up 2% YoY (2025: $422m).
- Average monthly actives: 925,000, down 6% YoY (2025: 984,000).
- Adjusted EBITDA: $99m, down 9% YoY (2025: $109m).
- Parent fees: $18m.
BetMGM also cited a 13% gross gambling revenue market share in active markets, including 20% for iGaming and 8% for online sports.
The operator highlighted specific launches and releases during the quarter, including:
- New Game of Thrones titles launched in Ontario amongst its most successful launches, with a planned US rollout this summer.
- Exclusive new releases from omni franchises including Rakin’ Bacon, Buffalo Triple Power and Money Gong.
- Launched Elvis Presley: Viva Las Records and Marilyn Monroe Slingo, the first of its Hollywood legends-inspired exclusive slots lineup.
BetMGM added that its focused strategic execution and disciplined capital deployment have it ‘well positioned to continue delivering long-term profitable and sustainable growth’.
As a result, the operator says it remains on track to deliver FY 2026 guidance, but ‘towards the lower end’ of existing guidance ranges – net revenue: $2.9bn-$3.1bn, adjusted EBITDA $300m-$350m – supported by momentum from Borgata’s brand refresh, a strong World Cup and the Alberta commercially regulated iGaming market launch.
Greenblatt said: “While our industry faces regulatory complexity and an increasingly competitive environment, we remain agile and committed to our strategy that is delivering sustainable and profitable growth.
“Looking ahead, we will continue to prioritise our areas of strength, in particular leveraging our market-leading iGaming offering across multi-product states, our omnichannel advantage in Nevada, and serving our higher-value customers.
“These strengths, combined with our disciplined strategic execution, underpin our confidence in the long-term outlook of our business.”
