The owner of a major sportsbook reported strong third-quarter financial results.
Flutter Entertainment — the owner of FanDuel — posted $2.5 billion in group revenue in Q3 2023, up from $2.3 billion for the same period last year. The company reported the results behind favorable gaming performance figures and strong player growth for its Sisal business.
Flutter acquired the Italian online gaming and lottery brand in 2022 for $1.97 billion. The Ireland-based company also benefited from its U.S. business in Q3 led by FanDuel operations.
"We are particularly pleased by the great progress we are making in the U.S. We are the first online operator to achieve structural profitability, and the strong ramp in EBITDA during 2023 will continue into 2024 and beyond."
- Flutter CEO Peter Jackson in a statement.
Flutter saw gaming revenue reach $1.1 billion in Q3 — a 22% uptick year-over-year. Sports revenue for the company closed at $1.3 billion for the quarter, down 2% compared to Q3 2022.
Flutter expects full-year U.S. revenue to reach roughly $4.7 billion in FY2023 with an adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of around $180 million despite ongoing investments in new customer acquisition.
Losing steam
FanDuel has been regarded as the No. 1 sportsbook in America with a market share of 47%. However, the company has stiff competition in DraftKings as it is getting closer to or has surpassed FanDuel’s market share. Recent figures by regulators across the country show that DraftKings is inching toward being America’s top sportsbook or has already reached that mark.
The Boston-based operator was responsible for more than half of Massachusetts’ online sports betting handle in September, per the state’s gaming commission. DraftKings accepted $290.1 million in wagers for the month. The state closed with a total online handle of $499.7 million.
Flutter is planning a listing on a U.S. stock exchange, which could further bolster FanDuel’s reach. Flutter is currently listed on the London Stock Exchange and the Irish Stock Exchange.
