Flutter raises guidance on back of Q2 results
Q2 revenue was up 20 per cent year-on-year.
Ireland.- Flutter Entertainment has upped its full-year fiscal guidance after the group, now listed on the NYSE, “outperformed all market consensus” in Q2. Revenue was $3.6bn, up 20 per cent year-on-year as the number of average monthly players grew 17 per cent to 14.3 million.
Net profits rose from $64m in Q2 2023 to $297m despite non-cash impacts of $147m on acquired intangibles amortisation charge and a $91m fair value gain on Flutter’s Fox Option liability. Group EBITDA was up 17 per cent at $738m.
US-facing FanDuel saw revenue rise 39 per cent to $1.52bn. Flutter said the brand held a 38 per cent market share of online gross gaming revenue (GGR) for the quarter, a 51 per cent net gaming revenue share and a 25 per cent igaming GGR share. It highlighted the migration of the FanDuel Casino to proprietary systems. Its Q2 revenue hit $357m.
In the UK and Ireland, revenue was $928m, up 18 per cent year-on-year on the back of strong trading on the UEFA Euro 2024 tournament. Sportsbook revenue was up 12 per cent at $451m. The quarter saw Sky Bet launch QuickBuild, a “more intuitive Same Game Parlay experience”, while Paddy Power was aided by the launch of Super Sub in March. UK and Ireland igaming revenue increased by 25 per cent to $423m.
Flutter’s International unit reported revenue of $807m, up 11 per cent, driven by the addition of MaxBet in Serbia, which added two percentage points to annual revenue growth. International revenue growth was particularly strong in Georgia (+20 per cent), Spain (+11 per cent), and Brazil (+11 per cent), while revenue fell by 8 per cent in India due to tax changes in Q4 2023. In Turkey, revenue was up 35 per cent on a constant currency basis but down by 13 per cent on a reported basis due to currency depreciation.
Group CEO Peter Jackson said: “Flutter delivered another strong quarter, beating consensus and increasing our revenue and Adjusted EBITDA guidance as we continued to capitalise on our global scale and the Flutter Edge.
“We achieved important milestones during Q2, as the NYSE became our primary listing, and we moved our operational headquarters to New York. This reflects the importance of the US market to Flutter and our view that the US is the natural home for our business.”
He added: “Our US performance was excellent in new and existing states, reflecting our disciplined approach to customer acquisition and our best-in-class product, which offers our sportsbook customers the best pricing in the market.
“We continue to make improvements to our proprietary product offering, which drove the proportion of live betting handle to be more than 400 basis points higher than last year during the NBA playoffs. We also increased our MLB parlay penetration. The returns we are seeing give us the confidence to continue driving customer acquisition in the second half, building a bigger business, which bodes well for 2025 and beyond.”
Jackson concluded: “We look forward to setting out this growth potential in more detail, and the capital allocation opportunities that will unlock, at our Flutter Investor Day in New York on September 25.”
