Entain FY 2025 Results Outperform Thanks to BetMGM Profits, Cost Cutting
Entain's FY 2025 results outperformed, with group revenue of £5.32 billion ($7.11 billion) and £1.16 billion in underlying EBITDA, soothing worries about the UK April tax hike.
Entain PLC (ENT) has delivered strong financial results for full-year 2025, released before the bell on the London Stock Exchange today.
The report confirms the company has significantly outperformed the upper end of its own guidance and analyst expectations, largely driven by a record-breaking year for its US venture, BetMGM, and a strong recovery in the UK.
Despite the statutory headwinds, the company demonstrates strong operational momentum. On its preferred metric for capturing group revenues, Net Gaming Revenue (NGR) surpassed the full-year forecast of £5.165 billion ($6.88 billion) by about 3%, reporting £5.325 billion.
Entain’s underlying EBITDA of £1.16 billion comfortably beats the guidance range of £1.1 billion to £1.15 billion by the company in Q3. Underlying EBITDA margin has improved to 25.7%.
High-margin growth in the UK online market (+15% NGR in H2) is largely responsible for this positive outcome, along with the successful realization of £120 million in “Project Romer” efficiencies, which have arrived faster than the market anticipated. ‘Project Romer’ is a three-year restructuring initiative designed to improve efficincies.
The EBITDA result suggests the £120 million in ‘Project Romer’ savings (vs. the £100 million target) was the primary engine of outperformance.
BetMGM Turns Profitable, Starts To Contribute
BetMGM (owned 50/50 with MGM Resorts International) reached a critical milestone. It is now profitable, reporting (on Feb. 5) $220 million EBITDA (up $464 million year over year), and contributing $270 million to its parent companies in EBITDA for the full year (BetMGM reports in US dollars).
The record $220 million EBITDA for BetMGM and the $200 million cash return are the strongest signals yet that the US business has moved from a liability to a core asset.
Crucially for shareholders, BetMGM’s first material cash distribution back to the parent companies provided a significant boost to the group’s liquidity – supporting the dividend hike of 9.8p declared for H2. The full-year dividend is 20.6p, 2.5% ahead of analyst consensus estimates.
Regarding the all-important ‘Project Romer’ cost-savings, CEO Stella David explained on the conference call how the company over-delivered:
Our ‘fitter, faster’ mantra is now deeply embedded in the business. We didn’t just meet our £100 million efficiency target; we reached £120 million by being ruthless with our cost base and streamlining our international footprint.
“This operational discipline is what allowed us to beat the upper end of our EBITDA guidance despite significant external noise.”
£681 Million Loss – Management Chooses To Get Tax-Induced Impairment Pain Over Early
On the downside, the reported £681 million statutory loss (the final official bottom-line figure, net loss) is significantly wider than expected.
At first sight, the loss looks alarming, but it is effectively a “get-the-pain-out-of-the-way-all-at-once” exercise. By taking the impairment now based on the 2026 tax changes, Entain is resetting its balance sheet for the new CFO.
Michael Snape joined Entain as CFO Designate on Feb. 2, 2026. He officially takes over as Group CFO and Executive Director tomorrow, Friday, March 6.
Management has flagged that the loss is almost entirely due to a non-cash impairment charge related to the UK’s gambling tax increases announced in the 2025 Budget statement by Chancellor Rachel Reeves. The Remote Gaming Duty tax rises from 21% to 40% on April 1, 2026.
Entain Guides for Online NGR Growth of 5-7%, Doubles UK Tax Offset Target to 50% by 2027
Meanwhile, the leadership team has provided a confident initial outlook for 2026, forecasting Online NGR growth (excl. US) of 5-7%. This is seen as “robust” given the regulatory changes, management said on the call. Also, they are “comfortable” with current market EBITDA expectations for 2026, which should prevent a downgrade cycle.
Notably, Entain has upgraded the tax mitigation target. It is now expecting to offset more than 50% of the incremental UK tax burden by 2027. Previous guidance was for a 25% mitigation.
On the call, management also reaffirmed its target of generating at least £500 million in annual adjusted cash flow by FY 2028.
David said:
“The 2.5% beat on our dividend consensus is a signal of confidence. We have the cash flow, we have the US distributions, and we have the efficiency. Our message to shareholders today is that Entain has navigated the storm and is now firmly back on a path of sustainable, progressive returns.”
A solid report from Entain, net losses aside, saw Entain’s share price trading in the green as the earnings drew to a close, up 4.7% at 605p.
Table 1: Entain (ENT) FY 2025 Reported vs. Consensus
| Metric | Reported Actual (FY 2025) | Consensus Forecast | Result vs. Forecast |
| Group Revenue (NGR) | £5.3200b | £5.1650b | 🟢 Beat (+3.001%) |
| Underlying EBITDA | £1.1600b | £1.1250b | 🟢 Beat (+3.111%) |
| Adjusted EPS | 59.8p | 55.4p | 🟢 Beat (+7.942%) |
| Statutory Loss | (£681.0m) | (£150.0m) | 🔴 Miss (Non-cash) |
| Full Year Dividend | 20.6p | 20.1p | 🟢 Beat (+2.488%) |
Table 2: Entain (ENT) Financial Summary & Forecasts (2024–2025)
| Period | Revenue (Actual) | Revenue (Cons.) | Rev. Δ (%) | EBITDA (Actual) | EBITDA (Cons.) | EBITDA Δ (%) | Adj. EPS (Actual) | Adj. EPS (Cons.) | EPS Δ (%) |
| Q1 2024 | £1.2352b | £1.2200b | 🟢 +1.246% | — | — | — | — | — | — |
| Q2 2024 | £1.2851b | £1.2900b | 🔴 -0.380% | — | — | — | — | — | — |
| H1 2024 | £2.5203b | £2.5100b | 🟢 +0.410% | £523.8m | £515.0m | 🟢 +1.709% | 12.3p | 11.5p | 🟢 +6.957% |
| Q3 2024 | £1.2500b | £1.2300b | 🟢 +1.626% | — | — | — | — | — | — |
| Q4 2024 | £1.3189b | £1.2800b | 🟢 +3.039% | — | — | — | — | — | — |
| FY 2024 | £5.0892b | £5.0200b | 🟢 +1.378% | £1.0888b | £1.0650b | 🟢 +2.235% | 29.9p | 28.1p | 🟢 +6.406% |
| — | — | — | — | — | — | — | — | — | — |
| Q1 2025 | £1.2950b | £1.2800b | 🟢 +1.172% | — | — | — | — | — | — |
| Q2 2025 | £1.3007b | £1.3400b | 🔴 -2.933% | — | — | — | — | — | — |
| H1 2025 | £2.5957b | £2.6200b | 🔴 -0.927% | £583.4m | £560.2m | 🟢 +4.141% | 31.3p | 21.0p | 🟢 +49.048% |
| Q3 2025 | £1.2800b | £1.2650b | 🟢 +1.186% | — | — | — | — | — | — |
| Q4 2025 | £1.4443b† | £1.2800b | 🟢 +12.836% | — | — | — | — | — | — |
| FY 2025 | £5.3200b | £5.1650b | 🟢 +3.001% | £1.1600b | £1.1250b | 🟢 +3.111% | 59.8p | 55.4p | 🟢 +7.942% |
Table 2 notes: †Q4 2025 revenue is inferred from the reported Full Year NGR. Entain does not report group quarterly results for Underlying EBITDA or EPS.
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