BetMGM Trims FY26 Revenue Outlook to $2.9-$3.1B Despite Q1 Revenue Growth
MGM sits 31% above its 52-week low of $27.78.
Summary
BetMGM, the online sports betting and iGaming joint venture of MGM Resorts International, reported a 6% increase in Q1 net revenue to $696 million and an 11% rise in Adjusted EBITDA to $25 million. However, the company significantly trimmed its full-year 2026 net revenue outlook to a range of $2.9-$3.1 billion, down from the previously announced $3.1-$3.2 billion. This guidance cut follows earlier news today indicating a 9% decline in BetMGM's average active users, signaling ongoing headwinds in the online gaming sector. The downward revision in future revenue expectations is a material negative for MGM Resorts International, as BetMGM is a key growth component. Investors will closely watch for further details on the factors impacting the revised outlook and its potential effect on MGM's overall financial performance.
At the time of this announcement, MGM was trading at $36.51 on NYSE in the Trade & Services sector, with a market capitalization of approximately $9.4B. The 52-week trading range was $27.78 to $40.16. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: dpa-AFX.