Flutter Entertainment shares flew 8.1% to 10,150p in early morning trading on Friday after the betting group announced an 11% revenue growth to £3.3 billion in HY1 2022 compared to £3 billion the year before, despite a challenging market.
Flutter Entertainment attributed its revenue climb to a surge in recreational player growth, with a 14% rise in average monthly players to 8.7 million against 7.6 million.
However, Flutter Entertainment highlighted a 23% EBITDA fall to £434 million from £562 million, in line with management expectations.
The company said the Sports Betting market share accelerated to 51% in Q2 on the back of FanDuel’s US product, customer acquisition and strong operational execution, with its player base profits underpinning confidence in its FY 2023 EBITDA profit.
The gambling group also mentioned a widened post-tax profit of £112 million compared to £86 million the last year, after a £286 million charge for amortisation of acquired intangibles.
Flutter Entertainment confirmed a £322 million net debt climb to £3 billion, including the HY1 completion of its Tombola acquisition.
The company added its HY2 was currently trading in line with management expectations, with its FY 2022 EBITDA expected to be in line with market projections.
The firm noted a loss per share of 64.7p against 50.4p year-on-year.
“The first half of 2022 was positive for the Group with significant progress made against the strategic objectives we outlined in March,” said Flutter Entertainment CEO Peter Jackson.
“Outside of the US, the business remains well positioned thanks to its leadership positions in its mature markets and the investment we are making in attractive, high growth markets such as India, Canada and Brazil.”
“In the UK, while the delay in publishing the Gambling Act Review White Paper has been disappointing, we are confident that the safer gambling changes we have already made to date position us well for the future. In Australia, we delivered another excellent performance with revenue and players continuing to grow.”
