MGM Digital, the international online gambling arm of MGM Resorts International built around LeoVegas, moved close to break-even in the third quarter of 2026, narrowing its segment adjusted EBITDAR loss to $4m from $23m a year earlier. The improvement came alongside a marked slowdown in top-line momentum, with revenue growth easing to roughly 6% year on year.
Segment revenue reached $184m in the quarter, up from $174m in the same period of 2025. The deceleration is stark against the division’s performance so far this year: over the first nine months of 2026, MGM Digital revenue is up 21%, underlining how sharply the pace cooled in the third quarter.
Spain, the Netherlands and the UK drove the gains. Management told analysts that the BetMGM brand lifted MGM Digital’s business-to-consumer revenue by 8%, with those three markets leading the way.
In the UK, MGM began running online sports betting on its own platform in August 2026. That proprietary technology now generates more than 80% of the company’s online sports revenue in the market.
Tax changes loom in the UK
The division’s progress is being measured against a tightening fiscal backdrop. The second quarter’s stronger revenue rise was already recorded with the higher UK online casino tax in force. A further change is coming: a new 25% remote betting rate within UK General Betting Duty takes effect from April 2027, part of a wider government package that ministers say will raise more than £1bn a year.
What sits inside MGM Digital
MGM Digital combines LeoVegas with MGM’s other consolidated interactive gaming subsidiaries and excludes the BetMGM joint venture in North America. LeoVegas results have been consolidated into MGM’s accounts since the acquisition completed on 7 September 2022.
Reported separately, BetMGM posted third-quarter net revenue of $710m, up 7% from $667m, with the joint venture with Entain generating $34m in payments to MGM during the quarter. BetMGM said it expects to finish 2026 near the bottom of both its guidance ranges of $2.9bn to $3.1bn for net revenue and $300m to $350m for adjusted EBITDA.
Group earnings under pressure
At group level, MGM’s adjusted EBITDA fell to $403m in the third quarter from $506m a year earlier. Net loss attributable to MGM narrowed sharply, however, to $17.1m from $285.3m.
Most of the revenue decline came from an 8% fall at Regional Operations and a 2% fall at the Las Vegas Strip resorts, where EBITDAR dropped 12% to $531m. MGM’s average daily room rate in Las Vegas fell 8% to $218 and revenue per available room fell 8% to $193, while occupancy held steady at 89%.
MGM China delivered record revenue of $1.1bn, up 5%, and a record 17.1% market share. Its segment adjusted EBITDAR nonetheless fell 7% to $264m from $284m, with its intercompany branding licence fee expense up $22m year on year.
MGM’s adjusted earnings per share missed expectations — a result CasinoBeats characterised as a sign of the pressure building on large land-based casino operators.
This article was produced with AI assistance and reviewed under the GamblingZine editorial verification process.
Sources
- MGM Digital cuts loss to $4m as LeoVegas-led arm’s revenue growth slows to 6% — Authoritative secondary source (published 2026-10-31)
Reporting verified against the sources above; retrieval timestamps are preserved in the editorial record.