The growth and success of FanDuel is helping to drive revenue higher for the online sports betting company’s owner, Flutter Entertainment PLC. However, it’s also that growth which helped to take a bite out of Flutter’s profits in the second quarter of 2025.
- Flutter Entertainment saw global revenue rise 16% to $4.2 billion and average monthly players increase by 11% in the second quarter.
- Flutter’s recent buyback of a 5% stake in FanDuel revalued the brand at around $31 billion, causing financial swings year-over-year.
- Flutter says FanDuel remained the top U.S. sportsbook in Q2.
Flutter reported financial results for the three months ended June 30 on Thursday, posting double-digit increases in average monthly players (AMPs) and global revenue for the second quarter of the year.
AMPs for the Betfair and FanDuel-owner were up 11% to around 16 million, while quarterly revenue increased 16%, to $4.2 billion.
Despite those rising figures, Flutter reported that its profit for the second quarter was down 88% compared to last year, to $37 million. The drop in net income was attributed to a few things, including an $81-million non-cash charge tied to "an increase in FanDuel's valuation."
Now, the numbers: revenue up 16% YoY for the three months ended June 30, to ~$4.2B. Net income, however, down 88%, due in part to FanDuel's value increasing and Fox still having an option to buy 18.6% of FD. pic.twitter.com/Ap4jvlhony
— Geoff Zochodne (@GeoffZochodne) August 7, 2025
TV company Fox Corp. still has an option to acquire 18.6% of FanDuel at a fixed cost of around $4.5 billion. As a result, swings in the “fair value” of that option can affect Flutter’s financial results. In the second quarter of 2024, this created a $91-million gain for Flutter, but this year, it was an $81-million loss.
The valuation of FanDuel recently underwent a significant adjustment as well, as Flutter bought back the 5% of the sports betting brand it doesn’t currently own from Boyd Gaming Corp. for roughly $1.755 billion.
This, Flutter has said, now puts FanDuel’s valuation at around $31 billion, rather than $20 billion or so the Fox option price suggests.
Flutter's adjusted earnings show what happens when you remove things like the FanDuel valuation fluctuations. Adjusted EBITDA for Flutter was $919 million for the second quarter, up 25% from a year ago.
In the U.S. specifically, Flutter's average monthly players for Q2 rose 2% from a year ago, to 3.5 million or so. Handle was up 7%, to $11.7 billion, and total revenue was up 17%, to almost $1.8 billion.
FanDuel, Flutter said, retained its position as the “No. 1 sportsbook” in the U.S.
“Following the last two quarters with very unfavorable sports results in the US, Q2 saw favorable outcomes, with June in particular delivering the highest gross revenue margin month on record of 16.3%,” Flutter CEO Peter Jackson said in a letter to shareholders. “This, alongside very strong iGaming growth, helped deliver total US revenue growth of 17%.”
FanDuel reports 16.3% sportsbook gross gaming revenue margin in June, the highest mark in company history
— Ryan Butler (@ButlerBets) August 7, 2025
This is roughly triple Nevada sportsbooks' historic hold percentage from before FanDuel launched its book in 2018
Meanwhile, like chief U.S. rival DraftKings, Flutter and FanDuel continue to be in a wait-and-see mode for federally regulated prediction markets.
“The event contracts landscape continues to develop at pace,” Jackson said. “We have two decades’ experience of operating the world's largest betting exchange, the Betfair Exchange, which shares similar characteristics with event contracts, and this will help inform our views. We are closely monitoring regulatory developments, and are assessing the opportunities and potential participation strategies this may present for FanDuel.”
More to come.
