Entain released two major strategic signals at the FY2025 earnings meeting: targeting three of the 15 iGaming licenses soon to be issued in New Zealand, while doubling the UK tax burden mitigation plan to 50 million pounds. The group's annual NGR increased by 8% to 5.3 billion pounds, with online business in the core UK and Ireland market growing by 15%. In plain terms, it means grabbing new market territories while tightening belts in the old markets.
New Zealand Opportunity: Targeting Half of the 600 Million Pound Market
Entain CEO Stella David revealed that the company is targeting three of the 15 iGaming licenses in New Zealand. Although New Zealand is not included in the forecasts for 2026 or 2027, CFO Rob Wood stated that Entain is likely to secure up to half of the anticipated 600 million pound market. The New Zealand Ministry of Internal Affairs confirmed this week that the licensing process will start in July, with the market expected to open in 2027. With the exclusive gambling brand TAB in New Zealand, Entain becomes the only online operator capable of cross-selling sports and iGaming. There had been discussions in the industry about whether TAB, which holds a gambling monopoly, is eligible to apply for an iGaming license, but the management is very optimistic about the opportunity.
UK Tax Saving: Dual Approach with AI Empowerment and Refined Operations
To address the upcoming increase in remote gambling tax and remote betting tax in the UK, Entain has doubled its cost-saving plan from the initial 25 million pounds to 50 million pounds. David stated that the company's priorities must evolve to reflect "the next phase of development," including strengthening cash generation. The plan includes continuous optimization of bonus strategies to improve player retention, filling product gaps, and easily surpassing a 15% customer acquisition rate. The AI empowerment plan is also a source of cost savings, helping to improve the experience for customers and colleagues and accelerate technology development. Thanks to these measures, Entain expects to maintain single-digit growth in 2026 and further expand its market share in the UK, as small operators struggle to compete.
Performance Highlights: 15% Growth in the UK and Ireland Market, BetMGM Returns Exceed Expectations
Entain's core online business in the UK and Ireland market grew by 15% in 2025, with gaming NGR increasing by 18% and sports NGR growing by 7% due to Q4 results. Analysts noted that its performance has "substantially surpassed its biggest competitor." The group's gross profit reached 3.2 billion pounds (+3%), with basic EBITDA growing by 7% to 1.2 billion pounds. Profitability benefited from BetMGM's investment return exceeding expectations. In 2026, the company expects online NGR to grow by 5-7%, and group EBITDA to remain stable, "despite having to absorb a significant increase in UK taxes." Want to know the latest strategic moves of the global gambling giants? PASA official website keeps track.
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