BetMGM reported $711 million in Q2 2026 net revenue, up 3% year over year, as strong online casino growth offset flat sportsbook revenue. Online casino revenue increased 8% to $483 million, while online sports betting remained unchanged at $228 million.
Why it matters: The results highlight a widening gap between online casino and sportsbook performance, reinforcing that iGaming remains the primary growth driver for major US gambling operators.
The figures, published in BetMGM’s official second-quarter 2026 business update, extend a pattern that has defined the operator’s results for several quarters: online casino is doing almost all of the heavy lifting, while sports betting growth is proving harder to find as competition intensifies.
Key Takeaways
- BetMGM Q2 revenue increased 3% to $711 million.
- Online casino revenue rose 8% to $483 million.
- Sports betting revenue remained flat at $228 million, even as hold improved to 10.3%.
- Adjusted EBITDA declined 14% to $74 million.
- Full-year guidance remains in place but is expected to finish at the lower end.
Quick Facts: BetMGM Q2 2026
| Metric | Q2 2026 |
| Net revenue | $711 million (+3% YoY) |
| Online casino (iGaming) | $483 million (+8% YoY) |
| Sports betting | $228 million (flat YoY) |
| Sportsbook hold | 10.3% (up from 9.8%) |
| Adjusted EBITDA | $74 million (-14% YoY) |
| Average monthly actives | 875,000 (-3% YoY) |
| FY26 guidance | $2.9B-$3.1B revenue, toward lower end |
BetMGM Online Casino Revenue Climbs 8%
BetMGM’s iGaming division has become the steadiest part of its operation. Quarterly casino revenue rose 8% year over year to $483 million, and first-half casino revenue reached $964 million on the same 8% growth rate. Average monthly active customers actually fell 3% to 875,000 during the quarter, which means the growth came from existing players spending more per session rather than from a larger user base.
Management pointed to a steady release of new slot and table titles, alongside a brand refresh at Borgata, as drivers of that higher spend per player. BetMGM describes its position across active iGaming markets as a leading one, citing a double-digit share of gross gaming revenue in states where the product is legal.
Online casino generated roughly 68% of BetMGM’s Q2 revenue ($483 million of $711 million), a share the company hasn’t stated outright but that underscores how central iGaming has become to its results, per figures in the official Q2 2026 business update.
Sportsbook Revenue Remains Flat Despite Higher Handle
Online sports betting told a different story. Handle rose roughly 2% to about $3.49 billion for the quarter, helped by heavy wagering volume around the NBA playoffs and the FIFA World Cup. None of that volume reached the bottom line.
Sportsbook hold, the share of wagers an operator keeps after paying winning bets, actually improved to 10.3% in Q2, up from 9.8% a year earlier. That gain should have helped revenue, but customer-friendly results on major events pushed payouts higher elsewhere and offset the benefit. Retail sportsbook locations were hit hardest, with a run of large payouts wiping out most of that channel’s revenue for the quarter.
The pattern lines up with what several rivals have also reported this year: betting volume and hold are both improving, but favorable outcomes for bettors keep eating into operator margins.
EBITDA Falls as BetMGM Lowers Expectations
BetMGM’s adjusted EBITDA fell 14% to $74 million in the quarter, down from $86 million in Q2 2025. First-half adjusted EBITDA dropped 9% to $99 million. Despite the decline, the company said it generated positive cash flow during the period and continues to invest in what it calls its highest-return opportunities.
This marks the second guidance cut of 2026. BetMGM lowered its full-year outlook once already in April, and it has now confirmed that both full-year net revenue ($2.9 billion to $3.1 billion) and adjusted EBITDA ($300 million to $350 million) will land toward the lower end of those ranges, according to the company’s official Q2 2026 business update. The operator has also pushed back its target of reaching $500 million in adjusted core profit, a milestone it had previously aimed to hit by 2027.
Prediction Markets Increase Competitive Pressure
Part of the pressure on sportsbook growth comes from a competitor category that barely existed in prior guidance cycles: prediction market platforms. Firms such as Kalshi have expanded rapidly into sports-adjacent contracts, and legacy operators including FanDuel, DraftKings, and Fanatics have rolled out comparable products of their own, according to a Reuters report cited by InfotechLead. That crowded field is driving up customer acquisition costs across the sector and adding pressure to sportsbook market share right as regulatory scrutiny of the new products intensifies.
Unlike traditional sportsbooks, prediction markets let users trade contracts tied to sporting outcomes rather than place fixed-odds bets. That structure gives bettors another venue for the same underlying interest in game outcomes, and it is pulling both attention and spending away from conventional sportsbook operators like BetMGM.
BetMGM Keeps Expanding Despite the Slowdown
BetMGM isn’t pulling back on growth plans despite the softer guidance. The company renewed its partnership with Major League Baseball, extending broadcast and digital exposure while opening the door to branded casino content built around sports fandom. It also launched in Alberta during the first half of the year and is targeting three additional US casino states for 2027, betting that its iGaming strength can travel into new jurisdictions faster than its sportsbook can find fresh growth at home.
For a deeper look at how operators structure the offers driving that player spend, see our UK online casino bonus guide, our explainer on how ante bet slot features work, and our guide to why casinos are required to publish RTP percentages.
What BetMGM’s Q2 Results Mean for the US Online Gambling Market
BetMGM’s second quarter confirms a trend that has held for several reporting cycles now: online casino is the reliable engine, and sports betting growth is getting harder to find as the market matures and new competitors crowd in.
Unless sportsbook revenue begins to match the pace of casino growth, BetMGM’s financial performance will continue to depend heavily on iGaming. Investors will be watching upcoming quarters to see whether improving betting activity translates into stronger revenue growth.
