ENTAIN Share Price Rises 50% in the last Six Months!

[Chief Stipe]

19 hours ago, curious said:

Another surprising figure is that 2/3 of bookie revenue comes from 2% of customers. That is presumably primarily those big losers that have VIP managers.

If Entain does reach a similar agreement and/or if Australia implements the review recommendations, I wonder if similar will happen here?

Where will those punters go?  

[curious]

18 minutes ago, Chief Stipe said:

Where will those punters go?  

I'm not sure. They may stay but not bet so excessively unless they are excluded or attracted by some unregulated off shore outfit?

[Gammalite]

20 hours ago, curious said:

I'm guessing that was part of the settlement arrangement with Austrac. You'd think that might mean that Entain will have to do the same since all the remaining claims involve the actions of VIP managers and those sort of inducements without appropriate checks as to where the customer money was coming from.

the Aus Federal  case against Entain is still on-going.  

Recently Austrac did retract part of it's charge list against Entain which included dropping the allegation that Entain breached it's duties as a remittance provider. Mediation is on-going but never-the less the charges remaining are still quite serious. some of the 17 high risk customers that pushed millions of dollars through are alleged drug traffickers , so that doesn't sit well with anyone. Financing multi million dollar betting to criminals . 

Regarding the Share Price. Better SELL those shares guys 😆. it's heading South as we hit mid October.

share price Beginning of year Price was about 700.00, bottomed out April at about 550.00 (for only a day or 2 )  ,

then climbed to a maximum 1,020.00 August,  and now dropping daily is at 820.00 in mid October .

Probably finish the year about where they started in Price at this rate. ?  a good result 'considering' 😎.

[Chief Stipe]

29 minutes ago, curious said:

I'm not sure. They may stay but not bet so excessively unless they are excluded or attracted by some unregulated off shore outfit?

Isn't the key issue not one of AML (which is what AUSTRAC is focussed on) but gambling harm which is a different juridiction in OZ?  A VIP generally gets enticements and rebates to continue to spend money.  You don't need a VIP manager to do that.

[curious]

I understood that they had stopped the inducements but could be wrong.

[Chief Stipe]

6 minutes ago, Gammalite said:

Recently Austrac did retract part of it's charge list against Entain which included dropping the allegation that Entain breached it's duties as a remittance provider. Mediation is on-going but never-the less the charges remaining are still quite serious. some of the 17 high risk customers that pushed millions of dollars through are alleged drug traffickers , so that doesn't sit well with anyone. Financing multi million dollar betting to criminals .

So?  We have discussed this ad infinitum.  Quantitatively it is not as significant as other corporations taken on by AUSTRAC.  Did ENTAIN know that they were "alleged drug traffickers"?  Probably not.  Did they have the AML systems in place to stop the activity?  Seems they didn't however they do have now.  Note ENTAIN did alert the authorities.  Two of OZ's major banks and two large Casinos erred as well but by a significant quantum.  You probably bank with one or both of those banks - how does it sit with you that they facilitated the laundering of billions?

10 minutes ago, Gammalite said:

Regarding the Share Price. Better SELL those shares guys 😆. it's heading South as we hit mid October.

 

BUZZ - wrong.  There was some profit taking in April which saw the price drop.  However it is up 46% since April.  

ENTAIN announced this week Q3 revenue has grown 6%.  Not bad in this economic environment.

Entain’s transformation plan appears to be gaining ground. The FTSE 100 betting and gaming group posted a solid third quarter, buoyed by strong growth at its US joint venture BetMGM and steady progress in its core online operations.

Total group net gaming revenue (NGR), including Entain’s 50 per cent share of BetMGM, rose 6 per cent year on year, or 7 per cent on a constant-currency basis. Group NGR excluding the US grew 4 per cent, while online revenue climbed 5 per cent. Retail, which includes Ladbrokes and Coral shops, rose 3 per cent.

The performance marks a stabilisation for the group following a year of restructuring and leadership changes. Chief executive Stella David, who took the helm earlier this year, said the business was “delivering growth across our portfolio” and highlighted the “sustainable, profitable growth” emerging from BetMGM.

• Rank Group results showing steady revenue growth
• UK Stock Market News: Entain, PageGroup, Rank
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Entain reiterated full-year guidance for group EBITDA of £1.1bn to £1.15bn, and expects online NGR growth of around 7 per cent on a constant-currency basis. BetMGM, meanwhile, upgraded its outlook and now forecasts net revenue of at least $2.75bn and EBITDA of about $200mn for 2025 — a sharp improvement on previous expectations.

The joint venture also plans to return at least $200mn to its parent companies this year, a sign that the long-term investment in the US market is starting to pay off.

Entain’s mixed core trading picture

In its core operations, trading remained mixed but resilient. The UK and Ireland business performed well, with NGR up 8 per cent at constant exchange rates. Online grew 15 per cent, supported by higher player values and market share gains, while retail rose 2 per cent amid improving sports and gaming activity.

Internationally, NGR rose 1 per cent. Online volumes increased 5 per cent, but the benefit was largely offset by customer-friendly sports results in September, which hit betting margins. The impact was most visible in Brazil, where revenue dropped 11 per cent despite strong underlying demand, and in Australia, which was down 6 per cent. Italy, by contrast, grew 6 per cent, maintaining steady market share. Double-digit online growth was recorded in several smaller markets, including Georgia, Spain, New Zealand, Canada and Greece.

Entain CEE, the group’s Central and Eastern Europe joint venture, continued to perform ahead of expectations, with NGR up 10 per cent, led by strength in Croatia.

BetMGM remains the star performer

BetMGM remained the star performer. The US business posted net revenue of $667mn in the quarter, up 23 per cent on a constant-currency basis. Sports betting revenue grew 36 per cent, while iGaming advanced 21 per cent, helped by a stronger product offering and more effective customer engagement.

Despite a drag from adverse sports results in September, the underlying picture looks encouraging. Entain expects its online business to deliver an EBITDA margin of 25–26 per cent for the full year.

The group emphasised its focus on cash generation and expects to produce more than £500mn in annual adjusted cash flow from 2028.

For investors, the third quarter offers cautious reassurance. After a turbulent period marked by regulatory scrutiny and management overhaul, Entain appears to be regaining its footing. With BetMGM profitable and growing, and the core business stabilising, the group may finally be moving from transformation to traction.

[Chief Stipe]

6 minutes ago, curious said:

I understood that they had stopped the inducements but could be wrong.

I don't know either but if they did it may reduce turnover but could improve margin.

[Gammalite]

7 minutes ago, Chief Stipe said:

So?  We have discussed this ad infinitum.  Quantitatively it is not as significant as other corporations taken on by AUSTRAC.  Did ENTAIN know that they were "alleged drug traffickers"?  Probably not.  Did they have the AML systems in place to stop the activity?  Seems they didn't however they do have now.  Note ENTAIN did alert the authorities.  Two of OZ's major banks and two large Casinos erred as well but by a significant quantum.  You probably bank with one or both of those banks - how does it sit with you that they facilitated the laundering of billions?

well it's an important topic Chief ? aren't we allowed to discuss it ? Has potential to overlap onto our Harness and racing industries in some form. ENTAIN help with NZ betting, and Ladbrokes (a Entain subsidary ) do QLD racing.

Brodie has already complained on this site heaps of times that Entain will be cutting funding to NZ racing substancially after their first 5 years from taking over NZ TAB.?? you want to shrug it off ?

or deflect to what the 'Banks' are doing ? I don't know what the Banks are doing regarding Laundering mate . BUT would say they have to deal with Money Laundering every day. You worry about it . I'm not. 

the local Aus/NZ ENTAIN  CEO was DEan Shannon has been removed. Because when the 'alleged drug traffickers' came to light , 11 management personnel were removed and a new regime of tracking customer activities was introduced. this is Big action from the Company that controls NZ Betting ?? and worthy of discussion. 

Dean Shannon, who has assembled and sold betting companies through his career,  A fine man who loved Harness racing and would of supported you ( i.e the Entain TAB NZ takeover)   through tough times. But now is Gonski. (probably to Addington to see 'Merlin' run through the Spring and pick up some NZ dollars that way  😉)

Austrac action is quite a BIG thing. and ongoing . so was just doing a Share price update for you.  not ok ? 

 

Like Most companies , they blurb out which quarter of the year was 'Best' for them regarding growth  and new investment.  so a + 6% 3rd quarter you say was announced by them,   while being totally impressed ? good for you Chief. But it's HISTORY now. we're in the 4th quarter mate.  your 6% has disappeared again. 

Anyway Share Market isn't for amateurs . nor is horse racing really lol 😂   the quality of the competition in Australia and NZ is just too good ,  and so it's nearly always the 'Pro's ' who will win the money in the end.

have a good week. 

 

[Chief Stipe]

5 minutes ago, Gammalite said:

well it's an important topic Chief ? aren't we allowed to discuss it ? Has potential to overlap onto our Harness and racing industries in some form. ENTAIN help with NZ betting, and Ladbrokes (a Entain subsidary ) do QLD racing.

Of course you are allowed to discuss whatever you want on BOAY (unlike the Anti-racing sites).  However you have made the same point several times now and have yet to take on board the facts.

[Chief Stipe]

30 minutes ago, Gammalite said:

Brodie has already complained on this site heaps of times that Entain will be cutting funding to NZ racing substancially after their first 5 years from taking over NZ TAB.?? you want to shrug it off ?

You are conflating a two issues.  @Brodie has been banging on about funding for a long time before ENTAIN pitched up to buy an insolvent TABNZ.  Even then the Government had to bail TABNZ out with taxpayers money.  So the revenue issue has been around a long time.  ENTAIN has handed the industry a lifeline for 5 years before any revenue cuts occur.  
 

30 minutes ago, Gammalite said:

or deflect to what the 'Banks' are doing ? I don't know what the Banks are doing regarding Laundering mate . BUT would say they have to deal with Money Laundering every day. You worry about it . I'm not. 

 

I'm not deflecting I'm just making the point, which you refuse to accept, that comparatively ENTAIN transgressions are nowhere near that of WESTPAC or CBA.  The former received the largest fine in history!  Yet the doomsayers are not looking at the facts of the case but are intent on sucking the lemon and casting doubt on ENTAIN's future.  I post a great financial result and it is ignored.  The point is ENTAIN are NOT going to be finded 100's of millions of dollars for their alleged transgressions.  You can paint a scandulous picture if you want but it has no substance.

30 minutes ago, Gammalite said:

the local Aus/NZ ENTAIN  CEO was DEan Shannon has been removed. Because when the 'alleged drug traffickers' came to light , 11 management personnel were removed and a new regime of tracking customer activities was introduced. this is Big action from the Company that controls NZ Betting ?? and worthy of discussion.

So?  Action was taken.  Heads were rolled.  Cost cutting has occurred.  All prudent senior management decsions.  Discuss it all you want but don't overlook facts!
 

30 minutes ago, Gammalite said:

Dean Shannon, who has assembled and sold betting companies through his career,  A fine man who loved Harness racing and would of supported you ( i.e the Entain TAB NZ takeover)   through tough times. But now is Gonski. (probably to Addington to see 'Merlin' run through the Spring and pick up some NZ dollars that way  😉)

 

A fine man he may well be but you are overlooking his role in the alleged money laundering which YOU say is extremely serious.  You can't have it both ways!!  2 bob each way as it were!

30 minutes ago, Gammalite said:

Austrac action is quite a BIG thing. and ongoing . so was just doing a Share price update for you.  not ok ? 

 

I never said AUSTRAC wasn't a serious issue however to quantify it as a BIG thing is wrong when you compare it to other actions undertaken by AUSTRAC.  Perspective is important!!  As for your share price anlysis it was subjective and not accurate.  In the last 6 months the share price as risen 46%!  Profit takers took a profit in April and obviously have reloaded buying in at a lower price.  Some have made an absolute killing!

30 minutes ago, Gammalite said:

Like Most companies , they blurb out which quarter of the year was 'Best' for them regarding growth  and new investment.  so a + 6% 3rd quarter you say was announced by them,   while being totally impressed ? good for you Chief. But it's HISTORY now. we're in the 4th quarter mate.  your 6% has disappeared again.

How do you know it has "disappeared"?  You made that up or you are privy to ENTAINS corporate accounts.