BetMGM recorded a 7% year-over-year increase in third-quarter net revenue to $710 million as stronger iGaming and online sports betting results supported its financial performance. Adjusted EBITDA climbed 112% to $86 million for the three months ended September 30, 2026, despite a decline in average monthly active users across the business.

The operator, jointly owned by Entain and MGM Resorts International, attributed its results to customer engagement during the summer, World Cup betting activity and improvements to its sportsbook ahead of the NFL season. Management maintained its full-year financial guidance but expects both revenue and adjusted EBITDA to finish toward the lower ends of their respective ranges.

iGaming remained the company’s largest revenue contributor, generating $483 million, up 6% from the previous year. Online sports betting revenue increased 7% to $216 million, while online sports betting handle grew 3% to $3.24 billion. Retail sports revenue also rose, increasing 5% to $11 million.

“BetMGM delivered a strong Q3 as we continue to execute with discipline and generate profitable growth. Our product is stronger than it’s ever been, with significant improvements to speed, stability, and responsiveness ahead of this football season. We have continued to prioritise our areas of strength – particularly our iGaming franchise – and remain operationally nimble as we navigate a highly competitive environment.” The statement from CEO Adam Greenblatt highlighted the company’s focus on its established iGaming business and continued investment in its sportsbook.

iGaming Remains the Main Revenue Contributor

BetMGM’s iGaming business continued to account for the largest share of its revenue, supported by exclusive gaming content and expansion into Alberta. The segment’s $483 million in third-quarter revenue represented approximately 68% of the company’s total net revenue.

Net gaming revenue per active iGaming player increased 4% year over year. While one account of the quarterly results reported a 3% decline in average monthly active players across BetMGM as a whole, the company’s more detailed business update said active iGaming players increased 2%. The figures refer to different measurements of customer activity and should be considered separately.

BetMGM identified its Game of Thrones franchise launch in the United States as a significant contributor to its content strategy, describing it as the most successful game launch across its markets. The operator also introduced its SideBet Jackpot feature in Michigan and West Virginia, with plans to extend it to all gaming markets by the end of 2026.

Expansion in Alberta provided another source of growth. BetMGM reported encouraging customer returns and per-player metrics in the Canadian province, with several indicators exceeding those recorded following its launch in Ontario.

Chief Financial Officer Gary Deutsch said Alberta contributed approximately two percentage points to iGaming growth during the quarter. He also said the market accounted for around 20% of players acquired during the period. Its initial contribution to sports revenue was negligible, according to the company’s update.

The operator also reported progress following the relaunch of its Borgata app. Average daily active users in New Jersey and Pennsylvania, where the updated application was available, increased 28% compared with the February pre-launch benchmark.

Sports Betting Revenue Advances Amid Customer Decline

Online sports betting generated $216 million in third-quarter net revenue, up 7% year over year. The increase came alongside a 3% rise in handle to $3.24 billion, although average monthly active users declined across the business.

BetMGM reported in its business update (pdf) that average monthly active players across its operations fell 3% to 878,000 from 902,000 a year earlier. Its more detailed update put the decline in average monthly active online sports users at 9%, attributing the reduction to lower investment in markets where customers use online sports betting without engaging with other products.

The company said its approach prioritizes customer value and profitability. Online sports net gaming revenue per active player increased 18%, while handle per active player rose 13%. These figures suggest that higher spending and revenue per customer helped offset the effect of a smaller active-user base.

Comparisons with the previous year also reflected differences in the sporting calendar. BetMGM cited World Cup activity in July and one fewer weekend of NFL and college football action in September as factors affecting year-over-year comparisons.

The company reported an 8% increase in online sports betting handle in Nevada, where it operates an omnichannel business combining digital and retail activity. It also highlighted stronger reactivation among higher-value customers during September.

BetMGM has continued to update its sportsbook, with improvements covering bet tracking, cash-out functions, customizable bets and rewards. The operator said these changes formed part of its preparations for the NFL season.

Competition remains a concern for the business. Management cited pressure from illegal sports betting operators and the growing presence of prediction-market platforms, including Kalshi. Rival sportsbook operators FanDuel, DraftKings and Fanatics have also launched prediction-market products.

However, the company reported improvements in customer acquisition costs and expected payback periods since the later stages of the World Cup. Management expects competitive conditions in sports betting to remain challenging at least through the middle of 2027.

Full-Year Guidance Remains Unchanged

For the first nine months of 2026, BetMGM recorded $2.12 billion in net revenue, up approximately 5% from $2.02 billion over the same period in 2025. iGaming revenue increased 8% to $1.45 billion, while sports betting revenue rose 4% to $647 million.

Average monthly active users for the nine-month period declined 5% to 909,000. Despite the lower figure, year-to-date adjusted EBITDA increased 5% to $185 million, reflecting the improvement in revenue and operating performance.

BetMGM reaffirmed its full-year outlook, forecasting net revenue of $2.9 billion to $3.1 billion and adjusted EBITDA of $300 million to $350 million. The company expects both measures to finish toward the lower end of those ranges.

The operator has also begun returning cash to its owners. During the third quarter, BetMGM recorded $18 million in fees paid to its parent companies for licenses and services, alongside an additional $50 million cash distribution. The combined $68 million was returned to Entain and MGM Resorts.

BetMGM continues to target annual adjusted EBITDA of $500 million in the coming years. Its latest update maintains that objective while emphasizing selective customer acquisition and retention spending, particularly in iGaming, Nevada and markets where customers engage with multiple products.

The results also precede separate financial updates from its owners. Entain is scheduled to publish its third-quarter results on October 15, while MGM Resorts is due to report on October 28.