3rd Mar 2022 11:33
(Alliance News) - Entain PLC on Thursday reported a strong performance for 2021 with its gaming revenue getting a boost from surging Online sports wagers.
In 2021, the Ladbrokes-owner's pretax profit doubled to GBP393.2 million from GBP174.7 million in 2020.
Revenue improved to GBP3.83 billion from GBP3.56 billion, with net gaming revenue increased to GBP3.89 billion from GBP3.63 billion.
"Our full year results demonstrate yet again that Entain is a business with growth built into its business model. Our strong performance is underpinned by the Entain platform which encompasses the compelling combination of our proprietary technology, our outstanding people around the world, and our industry-leading operational capabilities. It is this unique platform that enables us to deliver an ever-improving customer experience, to embrace emerging consumer and technological trends, and to grow into new markets and product areas," Chief Executive Jette Nygaard-Andersen said.
Online sports wagers increased to GBP14.17 billion from GBP11.78 billion, with the unit's total net gaming revenue rising to GBP3.07 billion from GBP2.75 billion - boosted by a 21% rise in Sports net gaming revenue, with Gaming net revenue up 4% and B2B net gaming revenue up 65%.
Retail sports wagers dropped to GBP2.33 billion from GBP2.58 billion, with Retail net gaming revenue down to GBP791.1 million from GBP857.1 million. Sports net gaming revenue was down 20%, which offset a 12% rise in Machines net gaming revenue.
Jette Nygaard-Andersen added: "All of our major markets have performed well. In particular, BetMGM in the US has delivered a five times increase in net gaming revenue versus the previous year, and is ready to challenge for the number one position across the markets in which it operates. Elsewhere, our retail business has recovered strongly and volumes have now returned to 90% of pre-Covid levels as restrictions have eased and customers have returned to our shops."
Entain did not recommend any dividends in 2021, but noted it will keep the recommencement of the payment of dividends under ongoing review.
Heading in to 2022, the gambling firm said it expects retail heading towards pre-Covid levels and online performing inline with expectations against tough prior year comparables.
"As global economies steadily emerge from the impact of the pandemic, we continue to provide our customers with great products and experiences. As a result, we remain confident in our financial performance for 2022 as well as our long-term prospects," it added.
Shares in Entain were 3.0% higher in London on Thursday at 1,607.00 pence each.
By Paul McGowan; [email protected]
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