Entain cuts FY26 outlook as Brazil betting ban hits growth

Entain plc (LON:ENT), the global sports betting and gaming group, has noted the announced regulatory development in Brazil, prohibiting online sports betting and gaming.

On 25 September 2026, an executive measure was published which provisionally withdraws all operators’ authority to operate online sports betting and gaming with immediate effect. This provisional measure requires Congressional approval within a 120-day period to remain valid thereafter. Congress may reject, approve, or make amendments to the executive measure. Therefore, the longer-term outcome is likely to remain uncertain during this period.

Entain is disappointed by this sudden development without consultation of industry stakeholders regarding its significant adverse consequences. However, Entain’s operations in Brazil are complying with the provisional measure.

In FY26, Entain expected Brazil to represent approximately 5% of the Group’s Online Net Gaming Revenue (NGR), although given the challenging and highly competitive operating environment, its EBITDA contribution was expected to be modest.

Reflecting the strength of the Group’s globally diverse portfolio, Entain reconfirms FY26 Group Underlying EBITDA guidance¹ of between £910m to £960m and Online Underlying EBITDA margin guidance¹ of 21-22%, while now expecting to be towards the lower end of both ranges due to Brazil’s provisional executive measure².

Excluding Brazil, Entain remains on track to deliver FY26 Online NGR growth at the top end of its guidance¹ of 5-7% on a constant currency³ basis.

Including Brazil, Entain now expects FY26 Online NGR growth of 4-6% on a constant currency³ basis, reflecting Brazil’s year to date performance and assuming the immediate ban is upheld for the remainder of 2026.

Entain will continue to monitor the situation and will provide updates as appropriate.

Notes

1.      Guidance as stated at Entain H1-26 results on 13 August 2026 (excluding BetMGM parent fees and CEE reported as discontinued operations)
2.      Assuming the immediate ban is upheld for the remainder of 2026
3.      Growth on a constant currency basis is calculated by translating both current and prior year performance at the 2026 exchange rates