Shares in Entain have leapt higher after the betting giant said it expects to report full-year earnings at the top of its guidance range, shrugging off a US sports season which has favoured punters.
The company, which owns betting shops Coral and Ladbrokes, saw its share price jump by as much as 9% when markets opened on Monday morning.
The update to investors took into account sports results over the last three months of the year.
Entain said it saw “customer-friendly” sports results in the US, particularly in October and December, largely affecting BetMGM – its tie-up with entertainment group MGM Resorts International.
The sports betting division offers online betting and casinos, and is also in MGM casinos worldwide.
It echoes remarks made by rival gambling group Flutter, which said the NFL American football season had been more favourable to customers than any season since the launch of online sports betting.
Matches that go in the favour of many punters mean betting companies have to pay out more winnings to customers.
Despite this, Entain said it was not changing its previous forecast for BetMGM, which still expects to report a loss of about 250 million US dollars (£207 million).
Across the group – which owns a string of brands including the UK betting shops, European betting platforms, Foxy Bingo and Gala Bingo – earnings are expected to come in at the “top” of its guidance range.
Entain had previously forecast group yearly earnings before interest, tax, and other costs to be between £1.04 billion and £1.09 billion.
It said more “operator-friendly” sports results had bolstered the global business.
Shares in Entan were trading about 5% higher on Monday morning.
