Flutter Entertainment has reported strong growth in revenue for the third quarter.
Quarterly revenue jumped 12% to £1.44bn and the group saw average monthly players rise 13% to 7.3 million. US revenue soared 85% to $386mn.
Despite strong revenue, Flutter said they expect an Adjusted EBITDA loss of £250m and £275m.
“A 7% earnings downgrade is not what one has come to expect from gambling giant Flutter Entertainment. The earnings disappointment was primarily linked to unfavourable sports results as well as a temporary withdrawal from the Netherlands,” said Russ Mould, investment director at AJ Bell.
“Ultimately, Flutter’s story remains focused on the US where there are plenty of growth opportunities. Competition is growing in this space, but Flutter is holding its own in the market.”
The CEO cemented the importance of the US for Flutters future in a statement.
“Flutter delivered a strong third quarter performance, with double-digit growth in our global player base. This resulted in the Group delivering revenue growth of 12% despite challenging comparatives including a concentration of key sporting events in the prior year,” said Peter Jackson, the chief executive.
“In the US we maintained our leadership position, with the quality of our product offering leading to high levels of customer engagement. As expected, the start of the NFL season saw a step-up in competitive intensity. We remained disciplined however, leveraging the broad set of high quality marketing assets at our disposal.”
“The customer response has been very encouraging with FanDuel now regularly experiencing staking levels on Sundays that match its 2021 SuperBowl performance. Early engagement on NBA since the recent start of season has also been strong.”