Ladbrokes and Coral betting shops owner Entain said today it expects online gaming revenue to be flat this year, lower than a previous outlook the company had provided in March, as customer spending took a hit due to a cost-of-living crunch.
The company, previously known as GVC Holdings, however said its retail shops were trading ahead of expectations, with volumes in the second quarter ahead of pre-Covid-19 levels.
Gambling firms profited during the last couple of years during the pandemic as punters went online to entertain themselves during lockdowns.
But, Britain's worsening cost-of-living squeeze due to rising fuel and food costs is now forcing customers cut spending on non-essential items.
Entain, which forecast in March annual online net gaming revenue growth in mid- to high-single digit range, had reported a 12% rise in its online net gaming revenue last year.
The bwin and partpoker online brands owner today posted a 7% decline in the online net gaming revenue in the second quarter. For the same period, however, its total group net gaming revenue rose 8%.
