Entain said it expects to achieve the lower end of its earnings guidance ranges for this year after a new ban on online betting in Brazil. The British betting company stated that the prohibition, which took effect on January 1, 2024, has significantly impacted its operations in the South American market. Flutter Entertainment, another major player in the sports betting industry, is also assessing the situation.

Both companies had previously invested heavily in the Brazilian market, viewing it as a key growth area. The ban has forced them to reconsider their strategies and financial projections. Entain's CEO emphasized the company's commitment to navigating regulatory challenges while maintaining its global presence.

The Brazilian government implemented the ban citing concerns over gambling addiction and financial stability. Industry analysts suggest that the ban could lead to a shift in focus towards other emerging markets. Entain and Flutter are exploring alternative routes to maintain their presence in the region, including potential partnerships with local operators.