Entain has increased its full-year guidance for joint venture firm, BetMGM, following continued positive momentum into its second quarter.

The FTSE 100-listed global sports betting and gaming group, which co-owns BetMGM with US firm, MGM Resorts, increased BetMGM’s full-year net revenue guidance from between $2.4bn and $2.5bn to $2.6bn.

Entain said this was a result of positive momentum seen in Q1 continuing into Q2, with strong growth across its iGaming and online sports sectors.

It also added that its full-year EBITDA is expected to be at least $100m, which is up from a previous guidance of being positive.

Entain’s share price increased by over 14% following the announcement.

Investment director at AJ Bell, Russ Mould, said that Entain’s latest update has revealed "why the US is seen as the promised land for UK gambling outfits".

He added: "The company’s recovery effort was undermined at the start of the year when chief executive Gavin Isaacs departed just a few months into the job but today’s update will give the market encouragement that a turnaround in its fortunes is still possible under his successor, Stella David.

"Entain turned down a shares and cash offer equivalent to £28 a share from US fantasy sports betting company DraftKings in 2021 and a £14 per share offer from US its joint-venture partner BetMGM a few months earlier and subsequently pursued a questionable acquisition strategy which put pressure on the share price.

"The company still has a long way to go to convince investors staying independent was the right decision but today’s news offers some hope that the US operations can be an engine of growth for the business."

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