Flutter’s $3.25 Billion Quarter Shocks Wall St
Flutter Entertainment raked in $3.25 billion of revenue from July to September, which caused a stir on the New York Stock Exchange as the company decimated the Wall St forecasts. The company’s flagship sports betting service, FanDuel, takes much of the credit, although Draftking, Pokerstars, and Tombola have all played their part.
Flutter Entertainment is a juggernaut in the igaming industry, and it owns a multitude of brands, including Sky Bet, Sky Vegas, Paddy Power, Betfair, and many more.
The company claimed income of 43c per share, while the analysts expected them to post figures of 23c per share on sales of less than $3.2 billion. The company figures aren’t based on Generally Accepted Accounting Principles (GAAP), but they were enough to cause a ruckus on Wall St.
“In the US, we had a fantastic start to the new NFL season with peak wagers per minute already higher than Super Bowl LVII. Our proprietary product offering continued to drive strong parlay penetration and a step up in live betting handle,” said CEO Peter Jackson.
“Outside of the US, all divisions delivered a strong performance in the quarter as they leveraged the benefits of the Flutter Edge. In UKI, a broader product range across both sports and iGaming drove player and revenue growth. Sisal continued to make significant share gains in Italy as we look to expand our presence there with the addition of Snai. In Australia, Sportsbet has been demonstrating encouraging trends.”
Despite the breathtaking figures, we should note that this quarter was the first in a while where Flutter actually made a profit. An operating profit of $97 million is still reason to celebrate, compared to last year’s loss of $137 million for the same period, but the company is still operating at a net loss.
Flutter’s US sportsbook business, which includes FanDuel and DraftKings, reported average monthly player (AMP) growth of 28% and 10% year-on-year growth in customer acquisition. So, it’s clear that Flutter Entertainment is on the move in the US, and the Dublin-based operator expects fourth-quarter sales of $6.05-$6.25 billion and EBITDA of $670-$750 million.
An increased appetite for gambling and the recent launch of mobile sports wagering services have had a major impact on Flutter’s North American market.
Internationally, the company continues to grow at an impressive pace. In 2023 it posted global revenue of $11.79 billion, up 23 % from 2022, and this year it has pursued an aggressive acquisition policy that should see further gains.
As well as Snaitech in Italy, the company also bought a 56% stake in the NSX Group in Brazil. Flutter Entertainment is showing no signs of slowing down, and this year looks set to be another record year for one of the biggest names on the igaming scene.
