- BetMGM pushed its $500 million adjusted EBITDA target beyond 2027, citing prediction market regulatory complexity.
- Online sports net revenue was flat at $228 million while iGaming revenue rose 8% to $483 million.
- Second-quarter adjusted EBITDA fell 15% to $74 million even as net revenue rose 3% to $711 million.
- Average monthly active players fell 3% to 875,000, which BetMGM tied to disciplined acquisition and player management.
JERSEY CITY, N.J. – BetMGM will not reach $500 million in annual adjusted EBITDA until sometime after 2027, the online betting venture told investors on July 28, citing a market environment that includes prediction market regulatory complexity. Its online sports betting revenue stopped growing in the second quarter.
The $500 Million Target Moves Past 2027
In its second-quarter business update, the operator said it “remains confident in delivering Adjusted EBITDA of $500 million in the coming years.” Citing the current market and the regulatory complications now surrounding prediction markets, it said it would be “prudent to assume the timing of delivery will extend beyond current 2027 expectations.”
The venture is owned jointly by MGM Resorts International and Entain plc, and the release describes 2027 as the current expectation the target will now run past. Prediction markets now out-trade America’s sportsbooks, and states have been moving to tax the contracts rather than license them.
Online Sports Revenue Stopped Growing
Online sports net revenue came in at $228 million, unchanged from the same quarter of 2025. iGaming net revenue rose 8% to $483 million, meaning every dollar of BetMGM’s second-quarter growth came from the casino side of the business.
The company put its share of gross gaming revenue at 13% across its active markets, made up of 20% in iGaming and 8% in online sports. That leaves the flat line in the smaller of its two businesses, and in the one where prediction markets sell the same outcomes without a state gaming license.
BetMGM runs both products as one of the licensed online gambling sites for USA players, and its share of the sports market is less than half its share of iGaming.
The players who stayed wagered more. Across the first half, betting volume per active sports customer rose 18% and sports net gaming revenue per active rose 17%, while iGaming net gaming revenue per active rose 9%. Average monthly actives for the half were 925,000, down 6%. Online sports betting volume in Nevada grew 10% over the same six months.
Profit Fell 15% While Revenue Rose
The venture booked $74 million in adjusted EBITDA for the quarter. That is $12 million short of the $86 million it reported a year earlier, a 15% drop, and it landed in a quarter when net revenue still grew 3% to $711 million. Over the first half the same split held: net revenue of $1.406 billion, up 4%, on adjusted EBITDA of $99 million, down 9%.
Adam Greenblatt, BetMGM’s chief executive, said in the update that “our underlying player fundamentals remain healthy, and we are generating positive cash flow and Adjusted EBITDA.”
Guidance Now Points To The Lower End
BetMGM left its full-year 2026 ranges in place at $2.9 billion to $3.1 billion in net revenue and $300 million to $350 million in adjusted EBITDA, but said it now expects to deliver “towards the lower end” of both.
The company said momentum from the Borgata brand refresh, a strong World Cup and its recent Alberta launch continues into the second half.