In this piece, we will take a look at the thirteen biggest gambling companies by revenue. For more companies, head on over to 5 Biggest Gambling Companies By Revenue.
The outbreak of the coronavirus pandemic and the subsequent lockdowns decimated a host of industries all over the globe. One of the hardest hit sectors was the hospitality industry since large indoor gatherings were prohibited.
Fast forward to 2022, and these industries are on the road to recovery. While 2022 has been beset with inflation. rate hikes and Russia-Ukraine war, foot traffic across retail and hospitality businesses has resumed, and casinos in particular have started back on the road to growth in regions where their businesses are not impacted by lockdowns.
Gambling is one of the oldest industries in the world since it exists simply due to the human nature of taking chances for big returns. The industry itself was worth $287 billion in 2021 and it will grow at a compounded annual growth rate (CAGR) of a whopping 58.9% by the end of this year to stand at $457 billion, believes The Business Research Company. From then until 2026, the research firm expects the industry to grow at a CAGR of 16.5% and be worth $840 billion by the end of the forecast period. Recovery from the coronavirus pandemic is naturally expected to drive this growth, but there are other factors as well such as branded slots and the continued penetration of the Internet.
Speaking of which, another research report, this time from Custom Market Insights, estimates that the online global gambling market sat at $58.2 billion last year, and it will grow at a CAGR of 12% between 2022 and 2030. This will lend the sector a final value of $145 billion. Driving this growth are trends such as branded slots. These are licensed online casino games that use brands to attract users based on their familiarity with popular fictional characters such as Batman.
Finally, Global Industry Analysts have the most optimistic take on the gambling industry. It believes that the sector was worth $711 billion in 2020, and from then until 2027 it will grow at a CAGR of 3.6% and be worth a whopping $912 billion in 2027. Dividing the industry into segments, the research firm reports that betting will outpace the broader industry growth by growing at a 4.4% rate to sit at $370 billion by 2027 end.
Today’s piece will list down the largest gambling companies, with the top players being MGM Resorts International (NYSE:MGM), Caesars Entertainment, Inc. (NASDAQ:CZR), and Flutter Entertainment plc (LON:FLTR.L).
Pixabay/Public Domain
Our Methodology
We took a look at the broader gambling industry to identify the top players. These are listed based on their revenue, and hedge fund sentiment courtesy of Insider Monkey’s 920 fund survey is also provided.
Biggest Gambling Companies By Revenue
13. Melco Resorts & Entertainment Limited (NASDAQ:MLCO)
Trailing Twelve Month (TTM) Revenue: $1.49 billion
Melco Resorts & Entertainment Limited (NASDAQ:MLCO) is a Hong Kong based casino and resort firm. It has properties in Asia and Europe, with more than 1,000 tables. Melco Resorts & Entertainment Limited (NASDAQ:MLCO) is based in Central Hong Kong.
Melco Resorts & Entertainment Limited (NASDAQ:MLCO) is one of the Asian casino operators that continue to suffer from the ongoing Chinese hide and seek lockdowns. However, the firm’s second quarter saw it report $2.8 billion in liquidity, which is more than sufficient to meet its run rate of $1.7 million per day for capital expenditure.
By the end of this year’s third quarter, 30 out of the 920 hedge funds polled by Insider Monkey had held a stake in Melco Resorts & Entertainment Limited (NASDAQ:MLCO).
Melco Resorts & Entertainment Limited (NASDAQ:MLCO)’s largest investor is Ken Griffin’s Citadel Investment Group which owns 11 million shares that are worth $73 million.
Along with Caesars Entertainment, Inc. (NASDAQ:CZR), MGM Resorts International (NYSE:MGM), and Flutter Entertainment plc (LON:FLTR.L), Melco Resorts & Entertainment Limited (NASDAQ:MLCO) is one of the largest casino firms in the world.
12. DraftKings Inc. (NASDAQ:DKNG)
Trailing Twelve Month (TTM) Revenue: $1.86 billion
DraftKings Inc. (NASDAQ:DKNG) is an American digital sports entertainment and gaming company. The firm offers several sports gaming brands and has a collectible online marketplace. It is headquartered in Boston, Massachusetts.
DraftKings Inc. (NASDAQ:DKNG)’s fiscal third quarter saw the firm post $502 million in revenue which marked 136% annual growth. The firm’s monthly unique payers (MUP) also grew by 22% annually to sit at 1.6 million during the quarter. However, despite the fact that DraftKings Inc. (NASDAQ:DKNG) raised its 2022 revenue guidance as well, the shares fell as it projected a $475 million operating loss for 2023, wider than Wall Street estimates of $426 million.
34 out of the 920 hedge funds polled by Insider Monkey during Q3 2022 had owned DraftKings Inc. (NASDAQ:DKNG)’s shares.
11. Light & Wonder, Inc. (NASDAQ:LNW)
Trailing Twelve Month (TTM) Revenue: $2.41 billion
Light & Wonder, Inc. (NASDAQ:LNW) is an American firm that is headquartered in Las Vegas, Nevada. The company provides gaming, lottery, social, and digital gaming services.
Light & Wonder, Inc. (NASDAQ:LNW)’s revenue and operating income grew 20% and 16% annually, respectively, during its fiscal third quarter, and its net debt leverage dropped to 3.1x after having peaked at 10.5x during the peak of the coronavirus lockdowns. The debt reduction came as Light & Wonder, Inc. (NASDAQ:LNW) sold one of its businesses for $6.6 billion in cash, which then allowed it to reduce its debt by a strong 55%.
By the end of this year’s September quarter, 25 out of the 920 hedge funds polled by Insider Monkey had held a stake in Light & Wonder, Inc. (NASDAQ:LNW).
Light & Wonder, Inc. (NASDAQ:LNW)’s largest shareholder is Debra Fine’s Fine Capital Partners which owns 9.3 million shares that are worth $401 million.
10. La Française des Jeux Société anonyme (EPA:FDJ.PA)
Trailing Twelve Month (TTM) Revenue: $2.48 billion
La Française des Jeux Société anonyme (EPA:FDJ.PA) is a French company that targets the online gambling market. The firm offers lottery and sports betting. It is based in Boulogne-Billancourt, France.
La Française des Jeux Société anonyme (EPA:FDJ.PA)’s first half of 2022 financial results saw the firm report EUR1.2 billion in revenue and EUR308 million in operating income. These marked 11% and 18% annual growths, respectively. The company is also France’s sole lottery operator.
9. Wynn Resorts, Limited (NASDAQ:WYNN)
Trailing Twelve Month (TTM) Revenue: $3.8 billion
Wynn Resorts, Limited (NASDAQ:WYNN) is an American resort operator. The firm has more than a million square feet of casino space and thousands of slot machines in its portfolio. It is headquartered in Las Vegas, Nevada.
Wynn Resorts, Limited (NASDAQ:WYNN) was at the center of some much needed optimistic sentiment from the investment bank JPMorgan, which in November 2022 explained that the firm is well poised to benefit from recovery from the lockdowns in Macau. These have decimated the shares of firms that operate casinos in lockdowns, and JPMorgan believes that as recovery starts, they will reverse their losses.
Insider Monkey studied 920 hedge funds portfolios for their third quarter of 2022 investments to discover that 23 had held a stake in Wynn Resorts, Limited (NASDAQ:WYNN).
Out of these, Ken Griffin’s Citadel Investment Group is Wynn Resorts, Limited (NASDAQ:WYNN)’s largest shareholder. It owns 662,502 shares that are worth $41 million.
8. Bet365 Group Ltd
Trailing Twelve Month (TTM) Revenue: $3.8 billion
Bet365 Group Ltd is a private British online gambling company that is headquartered in Stoke-on-Trent, England.
Bet365 Group Ltd has consistently been ranked as the number one internet gaming company for years, and also for its profit growth rate. November and December 2022 will be great months for the firm as the FIFA World Cup drives users to its platform. Bet365 Group Ltd reported $3.8 billion in revenue for the year ending in March 2022.
7. Las Vegas Sands Corp. (NYSE:LVS)
Trailing Twelve Month (TTM) Revenue: $4 billion
Las Vegas Sands Corp. (NYSE:LVS) operates resorts in the U.S. and in Asia. The firm has ten properties, and the bulk of these are located in Macau. Las Vegas Sands Corp. (NYSE:LVS) is headquartered in Las Vegas, Nevada, the United States.
Las Vegas Sands Corp. (NYSE:LVS) has faced debilitating losses in Macau, but the firm’s property in Marina Sands Bay, Singapore, which is not subject to Chinese lockdowns, has made a roaring recovery. This property generated $343 million in operating income during the third quarter and ensured that Las Vegas Sands Corp. (NYSE:LVS) posted a positive operating income of $141 million.
48 out of the 920 hedge funds polled by Insider Monkey during Q3 2022 had invested in Las Vegas Sands Corp. (NYSE:LVS).
Las Vegas Sands Corp. (NYSE:LVS)’s largest investor is Robert Pitts’ Steadfast Capital Management which owns 2.5 million shares that are worth $94 million.
6. International Game Technology PLC (NYSE:IGT)
Trailing Twelve Month (TTM) Revenue: $4.18 billion
International Game Technology PLC (NYSE:IGT) is a British company that provides gaming, lottery, and gaming services. The firm also provides a platform to let retailers and lottery authorities reconcile their funds. International Game Technology PLC (NYSE:IGT) is headquartered in London, United Kingdom.
International Game Technology PLC (NYSE:IGT)’s second fiscal quarter saw the firm grow its revenue by double digits, and its operating income by a strong 22%. Additionally, and more importantly, the firm’s U.S. tribal and commercial gaming segments have remained resilient during the Great Recession of 2008, a factor undoubtedly driven by the fact that 80% of International Game Technology PLC (NYSE:IGT)’s revenue is recurring.
As part of their third quarter of 2022 holdings, 29 out of the 920 hedge funds polled by Insider Monkey owned International Game Technology PLC (NYSE:IGT)’s shares.
Out of these, John Overdeck and David Siegel’s Two Sigma Advisors is International Game Technology PLC (NYSE:IGT)’s largest hedge fund investor through a $27 million stake that comes via 1.7 million shares.
International Game Technology PLC (NYSE:IGT) joins MGM Resorts International (NYSE:MGM), Caesars Entertainment, Inc. (NASDAQ:CZR), and Flutter Entertainment plc (LON:FLTR.L) in our list of the biggest casino companies by revenue.
Click to continue reading and see 5 Biggest Gambling Companies By Revenue.
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Disclosure: None. 13 Biggest Gambling Companies By Revenue is originally published on Insider Monkey.
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