BetMGM has revised its financial outlook, moving the target to generate $500m in EBITDA beyond the 2027 deadline. The North American joint venture operator attributed the delay to regulatory challenges within the prediction markets sector.
Strategic Revision and Financial Outlook
The operator, a joint venture between Entain and MGM Resorts International, previously adjusted this milestone from 2026 to 2027. In its Q2 2026 update, the company stated that the timing of delivery will now extend beyond current expectations. Management cited the impact of prediction market regulatory complexity as the primary factor for this further postponement.
The company expects full-year revenue and adjusted EBITDA to land toward the lower end of its guidance ranges.
For the second quarter of 2026, net revenue reached $711m, representing a three percent increase year-on-year. The first half of the year saw total revenue rise four percent to $1.4bn. However, adjusted EBITDA declined 15 percent to $74m in Q2, down from $86m in the same period last year.
The H1 adjusted EBITDA total fell nine percent to $99m.
iGaming net revenue grew eight percent, while online sports betting revenue remained flat due to the NBA playoffs, the World Cup, and increased player generosity. Average monthly active users decreased by three percent, and retail net revenue dropped 97 percent following large staking bets won by premium players. CEO Adam Greenblatt noted that the company continues to execute with discipline despite a competitive environment.
"Our underlying player fundamentals remain healthy, and we are generating positive cash flow and Adjusted EBITDA, enabling us to continue to invest in our highest return opportunities," Greenblatt said. He added that the company will prioritize its market-leading iGaming offering and omnichannel advantage in Nevada.
The initial $500m EBITDA plan was first announced in December 2023. This marks the second significant revision to the operator's long-term financial roadmap.