A 60 percent rise in retail revenue for Q421 has helped Entain offset a 9 percent decline in online NGR, as betting shop volumes rise to within 10 percent of 2019 levels.
Entain has announced its retail revenue jumped 60 percent year-on-year during the fourth quarter of 2021, despite 254 of its 4,679 outlets remaining closed for the period.
The rise brought in person sales volumes to within 10 percent of pre- Covid levels, and helped mitigate a 9 percent decline in the group’s online net gaming revenue.
“2021 has been a successful and eventful period for Entain, and our market-leading platform has driven another year of strong, sustainable and diversified growth,” said CEO Jette Nygaard-Andersen. “All of our major markets have performed well.”
“We have also made significant operational progress and have continued to provide our customers with even better content, experiences and excitement as the worlds of media, entertainment, technology and gaming converge.”
Following the trading update, the Ladbrokes and Coral operator noted it would be focusing its projected annual earnings from £850-900m to £875- 885m, as FY21 Online NGR rose 12 percent, demonstrating “consistent ability of our operating model to deliver diversified and sustainable growth.”
The company added “online growth continues to be actives driven, with actives up 25 percent year on year,” prompting overall net gaming revenue to rise 7 percent for the full year period despite a disappointing performance in Germany where “the new regulatory regime is impacting the market.”
Despite the promising boost to retail in the fourth quarter, the full year NGR for the sector fell 3 percent compared to 2020, with the decline “reflecting more Covid- 19 restrictions than the prior year.”
“We continue to see significant growth opportunities ahead of us, with a total addressable market of around $160bn across our new and existing markets, as well as in emerging areas of interactive entertainment,” concluded Nygaard-Andersen.
“We believe these opportunities will enable us to at least treble the size of our business. As a result, we remain confident in our prospects for the year ahead and beyond.”