Q1 2026: BetMGM Hits $696M – CEO Adam Greenblatt Signals Profitable Growth Era
BetMGM posted net revenue of $696 million for Q1 2026, up 6% year-on-year, based on its latest business update. The company pointed to continued execution of its player management approach, with iGaming driving most of the growth while online sports delivered a more moderate performance.
iGaming remained the main revenue contributor at $481 million, rising 9% compared to last year. Online sports brought in $203 million, up 4%, although results in the segment were affected by customer-friendly outcomes and a more competitive promotional environment during the quarter. Retail and other revenue fell to $11 million from $20 million a year earlier.
Total handle for the period reached $4.218 billion, reflecting a 3% increase year-on-year. Gross gaming revenue hold improved to 8.8%, compared to 8.2% in Q1 2025, while net gaming revenue hold stayed flat at 4.8%. Contribution remained steady at $116 million. Adjusted EBITDA came in at $25 million, up from $22 million in the prior-year period, marking an 11% increase.
Player activity declines amid disciplined acquisition
Average monthly activities stood at 975,000, down from 1.067 million in Q1 2025, a decline of 9%. The company noted that this trend was anticipated, linking it to a more disciplined acquisition strategy and ongoing efforts around player management.
In iGaming, BetMGM reported continued engagement momentum supported by its product offering. Net gaming revenue per active player increased by 12% during the quarter. At the same time, average monthly activities in this segment declined by 3% compared to the previous year.
Sports segment shows mixed performance
Within online sports, the operator maintained its focus on targeting specific player segments. Handle per active rose by 23%, while net gaming revenue per active increased by 25%. However, average monthly activities in the sports segment declined by 16% year-on-year – reinforcing the need to improve engagement continuity, including through always-on betting formats such as virtual sports, as seen in Inspired Entertainment Launches V-Play with BetMGM.
The company also reported that total handle in Nevada, including both retail and online activity, increased by 11% compared to the same period last year, indicating continued progress in that market.
Introduction of parent fees and cost structure changes
During the quarter, BetMGM began accruing parent fees, recording $3 million in Q1. These fees relate to services and licenses provided by MGM Resorts International and Entain, and became applicable as the business reached a level of sustained profitability.
Updated guidance reflects revised expectations
For the full year, BetMGM revised its 2026 revenue outlook. The company now expects net revenue to fall within a range of $2.9 billion to $3.1 billion, compared to its earlier estimate of $3.1 billion to $3.2 billion. Adjusted EBITDA guidance remains unchanged at $300 million to $350 million, although it is now expected to be toward the lower end of that range.
According to the company, the updated guidance reflects performance so far this year as well as revised expectations for the remaining quarters, while continuing to prioritise sustainable and profitable growth.
Path to long-term profitability remains in place
BetMGM stated that it is still on track to meet its previously outlined target of $500 million in adjusted EBITDA by 2027. The company continues to focus on its key operational areas as it works toward that objective.
Source: BetMGM
