BetMGM Posts $1 Billion Revenue for First Half of 2024

BetMGM, the online casino and sportsbook joint venture between MGM Resorts and Entain, has announced a significant revenue milestone, reporting $1 billion in net revenue for the first half of 2024. This figure represents a 6% increase compared to the same period last year.

In its recent update, BetMGM highlighted a 9% increase in net revenue during the second quarter of 2024 compared to the same quarter in 2023, and a 3% rise from the first quarter of this year. Despite this growth, the company reported a second-quarter loss of $38 million, a notable increase from the $22 million loss recorded in Q2 2023.

Overall, BetMGM posted an EBITDA of -$123 million for the first half of 2024, reflecting substantial investment expenditures aimed at bolstering the company's future performance.

Strategic Investments and Market Position

Adam Greenblatt, CEO of BetMGM, emphasized that 2024 is a pivotal year of investment for the company. “The first half of this year has been very important in laying the groundwork for BetMGM’s future,” Greenblatt stated. “We have exceeded our goals for both acquisition and retention, which should lead to higher year-over-year revenue growth for the second half of this year into 2025.”

BetMGM has a 22% share of the iGaming market in the US and Ontario, which has been a strong contributor to its overall performance. The company is focusing on proprietary content and has launched new games in collaboration with Push Studios, Playtech, and LeoVegas. Additionally, the number of active online casino players increased by 18% compared to the first half of last year.

MGM Resorts executives reaffirmed their support for BetMGM during the company’s Q2 2024 earnings call. CEO Bill Hornbuckle stated, “We’re not giving up on digital by any stretch.” This commitment underscores MGM Resorts' dedication to sustaining and growing its digital operations despite short-term financial losses.

Gary Fritz, president of MGM Interactive, noted positive momentum in the core businesses of LeoVegas and Push Gaming, anticipating a “double-digit stabilized return by 2027.”

“2024 is a year of investment, focusing on improving our customer experience and stepping up our level of investment in players.”

New Developments and Player Engagement

BetMGM continues to innovate with new game releases and initiatives aimed at enhancing player engagement. The launch of BetMGM Arcade features ‘non-traditional' games such as LuckyTap and Crash-style games. Exclusive games with new reward mechanics from suppliers like GameCode and White Hat Gaming have also been introduced.

In a notable highlight, BetMGM paid out a record jackpot of over $5 million in New Jersey, marking the largest regulated US online casino jackpot ever.

Looking forward, BetMGM is preparing to introduce Evolution’s highly anticipated game, Lightning Storm, in Ontario, with plans to expand its availability to the US market. The company's investment in Playtech has positioned it uniquely as the only US online casino operator offering live casino games for international markets directly from the Las Vegas Strip.

Conclusion

As BetMGM navigates a year marked by strategic investments and market expansion, the company remains focused on enhancing customer experience and driving revenue growth. Despite facing financial losses in the short term, the groundwork laid in 2024 is expected to yield significant returns in the coming years.