Flutter reports rise in both revenue and net losses

Lea Hogg May 14, 2024

SiGMA news

Flutter reports rise in both revenue and net losses

Flutter has released its financial performance for the first quarter of 2024. The company reported a revenue of $3.4 billion, marking a 16 percent increase compared to the same period last year. This growth was largely driven by the company’s iGaming operations across the US, UK, Ireland, and other international markets.

However, despite the impressive revenue growth and a 46 percent increase in adjusted EBITDA to $514 million, Flutter’s net loss widened. The company reported a net loss of $177 million, a significant 59 percent increase from the $111 million loss reported in Q1 2023. This increase was partly due to a non-cash charge of $184 million following the closure of the Fox Bet brand.

In the US, Flutter’s operations contributed significantly to the Q1 revenue, accounting for 41.5 percent of the group’s total revenue. This segment reported a revenue of $1.41 billion, reflecting a year-on-year growth of 32 percent. FanDuel, Flutter’s US sportsbook, remained the market leader with a net gaming revenue market share of 52 percent and a gross gaming revenue market share of 46 percent.

In the UK and Ireland, revenue increased by 17 percent year-on-year to $861 million, with adjusted EBITDA up 30 percent to $268 million. The future performance of this segment remains uncertain following Flutter’s exit from the Irish stock market and its focus on the US market.

The international segment, which includes markets like Italy, Spain, Brazil, India, and others, reported a revenue of $797 million, up 5 percent year-on-year. The segment also saw a 20 percent growth in adjusted EBITDA. However, the sports betting revenue in this segment declined by 12 percent year-on-year, despite an 8 percent increase in iGaming revenue.

In Australia, sports betting stakes were down 19 percent, and sportsbook revenue decreased by 6 percent to $329 million. The adjusted EBITDA remained relatively stagnant at $83 million.

When excluding the US, the combined results from Australia, UK, Ireland, and the international segment amounted to a revenue of $1.99 billion, up 16 percent year-on-year, with adjusted EBITDA growth of 20 percent, totalling $488 million.

Flutter’s CEO, Peter Jackson, expressed satisfaction with the company’s performance, particularly in the US. He stated, “We have had an excellent start to the year. In the US, FanDuel’s top-line momentum is translating into strong growth in US adjusted EBITDA and market share gains.” He also highlighted the company’s focus on delivering the best products for its players, which is driving good momentum in key markets such as the UK and Italy.