BetMGM posted net revenue of $696 million in Q1 2026, up 6% year-on-year, as iGaming continued to carry the bulk of the business while the sports segment delivered a more modest contribution.
iGaming drives growth, sports results mixed
iGaming revenue reached $481 million in the quarter, a 9% increase compared to Q1 2025. Online sports brought in $203 million, up 4%, though the result was weighed down by customer-friendly outcomes and heightened promotional activity. Retail and other revenue fell to $11 million from $20 million in the prior-year period.
Total handle for Q1 reached $4.218 billion, up 3% year-on-year. Gross gaming revenue hold improved to 8.8% from 8.2% in Q1 2025. Net gaming revenue hold remained flat at 4.8%. Contribution held steady at $116 million.
Adjusted EBITDA came in at $25 million, up from $22 million a year earlier — an 11% increase. The company began accruing parent fees during the quarter, recording $3 million in Q1. These fees relate to services and licences provided by MGM Resorts International and Entain, and became applicable as the business reached a threshold of sustained profitability.
Player volumes fall as acquisition discipline tightens
Average monthly active players stood at 975,000 in Q1, down 9% from 1.067 million in Q1 2025. BetMGM attributed the decline to a deliberate shift toward more selective player acquisition rather than volume-driven growth.
Net gaming revenue per active player increased 12% in iGaming during the quarter, alongside a 3% decline in average monthly actives in that segment. Within online sports, handle per active rose 23% and net gaming revenue per active increased 25%, while average monthly actives in the sports segment fell 16% year-on-year.
Nevada handle — covering both retail and online activity — grew 11% compared to the same period in 2025.
Full-year guidance revised down on revenue
BetMGM revised its 2026 revenue outlook to a range of $2.9 billion to $3.1 billion, compared with earlier guidance of $3.1 billion to $3.2 billion. The company said the revision reflects actual year-to-date performance and updated expectations for the remainder of the year.
Adjusted EBITDA guidance was left unchanged at $300 million to $350 million, though management indicated the outcome is now expected toward the lower end of that range. The company’s previously stated target of $500 million in adjusted EBITDA by 2027 remains in place.
The Q1 update follows BetMGM’s strong Q3 2025 performance, when the company raised its full-year 2025 guidance on the back of iGaming momentum. The latest guidance cut on revenue marks a step back from that trajectory, even as profitability metrics continue to improve. The pattern — tighter player acquisition, higher revenue per active, lower overall handle growth — reflects a broader shift in how the US digital market is maturing, consistent with the dynamics observed in operators prioritising margin over market share heading into 2026.
Source: BetMGM
