By Scott Kanowsky
Investing.com -- Shares in Entain PLC (LON:ENT) rose on Thursday after the gambling firm said it expects its key online gaming business to grow in the fourth quarter when compared to the same period last year.
In a trading statement, the owner of Ladbrokes and Coral described its performance as "healthy" heading into the final three months of its 2022 fiscal year, with the online division in particular seen benefitting from an easing of prior year figures and the completion of its acquisition of Dutch sports betting firm BetEnt.
Soccer's World Cup tournament, which is scheduled to begin in November, is also predicted to boost annual returns.
Full-year group earnings before interest, tax, depreciation and amortization are forecast to be in line with Entain's prior guidance of between £925M - £975M, which would amount to annual growth of 5% - 10%.
"Looking ahead, we remain vigilant of the economic backdrop. However, our diversified revenue base and robust business model enable us to remain confident in our ability to deliver on our growth and sustainability strategy," said Entain Chief Executive Officer Jette Nygaard-Andersen.
Despite the anticipated boost in fourth quarter demand, the company did not change its previous guidance that annual online gaming revenue growth would stagnate in 2022. Entain lowered its outlook for the unit in July down from an expectation for mid- to high-single digit growth, citing a "weaker economic environment" that had eaten away at consumers' willingness to make bets on games and sports.