The stock prices for both BetMGM parent companies jumped Wednesday after the joint venture reported strong 2025 results with its eyes set on significant 2027 goals.
BetMGM CEO Adam Greenblatt was bullish on his expectations for this year and next, saying the company had “found its stride” on its year-end earnings call Wednesday morning. The brand had a record year, noting that December was the best month ever and the last week was the best week ever.
The online casino and sports betting operator paid a combined $270 million to its parents, MGM Resorts and Entain, now that the JV is turning a profit. That is up from the expected annual payment of $200 million.
MGM Resorts closed at $36.94, up 8.1% on more than 2.5 times its average volume. Entain, meanwhile, jumped 10.5% to 648 pence on nearly double its average volume.
Guidance for next two years
BetMGM expects to hit between $300 million and $350 million in 2026 adjusted EBITDA, which reflects nearly 48% growth from 2025 at the midpoint. That is expected to come from $3.1 billion to $3.2 billion in net revenue.
Strength in both online casino and sports betting in 2025 leaves BetMGM management confident in its goal of hitting $500 million in adjusted EBITDA for 2027.
Greenblatt noted that 2025’s results beat internal expectations and that the business is the healthiest it has ever been.
“As we look through 2026 and into 2027, we expect to see strong operating leverage benefits returning with our path to $500 million of adjusted EBITDA clearly visible assuming continued execution and a benign macro environment,” Greenblatt said. “And, of course, our ambitions don’t just stop there. We remain confident in passing the $500 million threshold and continuing to grow strongly as we capture the many exciting opportunities of our future.”
Upsides to guidance from online casino
Greenblatt was asked where any upside in the guidance could come from given the raises seen throughout 2025.
“The thing that moves the dial for BetMGM, given our business, given how we over-index in gaming, the biggest single dial mover is more iGaming states,” Greenblatt said. “That’s the mic drop moment. That’s it big, bold and underlined with a full stop at the end. It’s more iGaming states, expanding our iGaming [total addressable market], that’s the thing that fundamentally changes our outlook.”
Greenblatt called out just one state, Virginia, where two online casino bills have seen some early movement. Maine, which became the eighth state to legalize online casino earlier this year, will “not move the dial for us one way or the other,” he added.
An earlier or later start to the Alberta market, which is expected to open this year, could also impact guidance.
Still digging into existing online casino states
Greenblatt noted that there is still more growth to come from existing states, including New Jersey, which has had online casino for more than 12 years.
There are a number of sidebet jackpots that will launch in the coming weeks, he added.
Catalysts for 2026
Greenblatt called out three areas that can lead to growth for BetMGM this year:
- Focusing on the Borgata online casino brand
- The 2026 World Cup in North America
- Omnichannel success in Nevada
BetMGM is already seeing success in Nevada after adding the state to the combined wallet that allows customers to use the same funds across multiple states.
Nevada’s online and retail handle jumped 26% with net gaming revenue up 65% in 2025. In-state player volume is up 19%.
The combined wallet, meanwhile, led to more than double the customers who deposit with BetMGM for the first time in Nevada continuing to play after leaving the state than without the combined wallet.
BetMGM focused on premium mass market
BetMGM reported an 8% drop in monthly active sports bettors in 2025, but Greenblatt noted that was planned.
The company refined where it spends its marketing dollars, weeding out unprofitable players and adding players in the premium mass market segment that are more valuable.
That led to some big jumps in betting stats. Despite those fewer total active players, active player days grew 6% and bets per active rose 12%. That led to 26% more handle per active and 77% more net gaming revenue per active.
60% cross sold into casino
BetMGM reported that 60% of its online sports bettors are also playing casino games, but Greenblatt said he does not accept that as the “threshold.”
He does not expect that number to grow much higher than 65% or 70%, he said, but added, “I’d love to be wrong on this point.”
BetMGM’s live dealer partners say it has the fastest growing live dealer business in the U.S. The company is continuing to improve cross-sell initiatives and continues to add sports-branded casino games to entice more sports bettors to hit the casino.
Still out on prediction markets
Greenblatt made it clear that BetMGM is still not interested in prediction markets, saying it remains “steadfast in support” of its state gaming regulators, state attorneys general and its Indian gaming partners.
BetMGM does not have much of a choice given MGM Resorts’ footprint in Las Vegas. Nevada regulators have made it clear they do not want their licensees involved in sports predictions, which led to FanDuel giving up its license and DraftKings pulling their dormant application.
Greenblatt noted that sports predictions undermine the many systems in place to protect sports bettors and sports, including state taxes, consumer protections, responsible gambling tools, anti-money laundering tools and integrity monitoring.
