Entain is eyeing three of the 15 available iGaming licences in New Zealand, CEO Stella David told analysts this morning during its FY25 results call, which revealed group net gaming revenue rose 8% to £5.3 billion.
Responding to questions on potential growth markets, David said New Zealand had not been included in the London-listed operator’s forecasting for 2026 or 2027. However, Entain expects it could capture up to half of the country’s estimated £600 million market, CFO Rob Wood said.
The market is expected to launch in 2027, with the licensing process set to commence in July, the country’s Department of Internal Affairs said this week. David noted that, with its exclusive betting brand TAB in New Zealand, Entain is the only online operator that could cross-sell between sports and iGaming.
Previously, there had been some discussion among stakeholders about whether TAB would even be able to apply for an iGaming licence, considering it owns the betting monopoly. However, both David and Wood appeared extremely bullish on the opportunity.
Entain doubles UK tax savings
Elsewhere on the call, David unveiled an updated plan for the company to make £50 million in savings to mitigate the financial impact of incoming hikes to the UK’s Remote Gaming and Remote Betting duties.
Initially the company had set out a £25 million savings plan, but this has since doubled. David said Entain’s priorities had to evolve “to reflect the next stage in its journey”, including intensifying its focus on cash generation. Entain expects to deliver £500 million in annual adjusted cash flow from 2028.
Part of its plan has included – and will continue to include – refining bonusing to improve player retention and closing product gaps. David said its customer acquisition rate was comfortably above 15%. She said the company had more to do on “continuing to improve cost of sales and optimising marketing rates as a percentage of NGR”.
The CEO also highlighted its AI-enablement programme as a source of cost savings. This, she said, was helping to improve the customer experience, colleague experience and accelerate tech developments.
As a result of these savings, Entain expects to continue on its single-digit growth trajectory in 2026. It also aims to grow further market share in the UK, as smaller operators struggle to compete.
Market share gains in the UK
Entain recorded 15% online growth in its core UK&I market in 2025, driven by 18% gaming NGR growth. Sports NGR was up 7% for the 12-month period, impacted by results in Q4. The operator said it had increased its UK market share this year and held podium positions across 13 of its 16 live markets globally.
When asked about its position in the UK, which one analyst suggested was “materially outperforming its largest competitor”, David attributed the growth to improved customer journeys and a new Ladbrokes experience. This included its recent launch of a bet builder for racing.
Bottom line and 2026 outlook
For the 12-month period, Entain’s gross profit hit £3.2 billion, up 3% from 2024. Meanwhile, underlying EBITDA was up 7% to £1.2 billion.
Profitability and cash flow were helped by a higher-than-expected return on investment from BetMGM during the year.
In 2026, the company expects online NGR growth of 5-7% cc, with “broad-based growth across the portfolio”, Wood said. He expects total group EBITDA, including BetMGM, to be stable, year-on-year, “despite digesting the significant increase in UK taxes”.
Original article: https://igamingbusiness.com/finance/entain-eyeing-three-nz-gaming-licences/
