BetMGM brought in $696 million in net revenue in the first quarter of 2026, up 6% from a year ago, while adjusted EBITDA rose 11% to $25 million.
That’s the good news.
The less good news is that the $696 million missed Wall Street consensus expectations of $767 million by 9%, according to a note from Citizens JMP Securities analyst Jordan Bender. And the growth was not exactly roaring compared to the competition. Bender noted that BetMGM’s 6% revenue growth stacks up against expected Q1 growth of 17% for DraftKings, 26% for Rush Street Interactive, 18% for Caesars’ online division, and 5% for FanDuel.
Online casino did most of the work for BetMGM, with revenue up 9%. Online sports was up just 4%, hurt by what BetMGM called “player friendly sports outcomes,” which is corporate speak for “the bettors had a nice quarter.” The company also said competition forced it to be more generous with promos.
Handle was up 3% overall, but Bender’s math tells a more interesting story. New York handle jumped 23% and accounts for roughly 15% of BetMGM’s total. Outside New York, Bender estimates handle grew just 1%. Meanwhile, combined GGR market share slipped to 13%, down 100 basis points quarter over quarter in both iGaming and sports betting. The press release calls it a “podium position.” The trend line says it is a shrinking one.
Beware Kalshi
And if you add in prediction markets, the picture gets blurry real fast.
On the Q1 earnings call, CEO Adam Greenblatt referred to prediction market platforms as “new sports betting companies” before adding, “They call themselves prediction markets.”
If you take Greenblatt at his word and count Kalshi as a sports betting operator, BetMGM pretty much falls off the podium, as its revenue figures on sports betting have fallen below Kalshi’s. Applying the prediction market’s fee formula to every trade made in the first quarter shows that Kalshi made $304.9 million in fees on sports contracts in Q1, easily beating BetMGM’s $203 million in sports betting revenue.
BetMGM’s average monthly active users fell 9%, but the operator says that was by design, part of a more disciplined strategy focused on better customers — not just more customers. And there is some evidence of that. In online sports, handle per active user rose 23% and NGR per active rose 25%. Nevada handle was up 11%.
The company trimmed its full-year 2026 net revenue guidance to $2.9 billion to $3.1 billion, down from $3.1 billion to $3.2 billion, while keeping its adjusted EBITDA target at $300 million to $350 million, though now toward the lower end of that range. BetMGM says it remains on the path to $500 million in adjusted EBITDA in 2027.
It pointed to the upcoming Alberta launch, the World Cup, multi-product states, and its omnichannel position in Nevada as growth drivers going forward.
