Rush Street Interactive broke records with its ninth straight growth quarter.
Income increased 22% and net profit rose to $29 million at one of North America’s fastest-growing gaming companies.
Key takeways
- Rush Street Interactive’s revenue grew 22% in Q2, to $269 million.
- Quarterly net income broke records at approximately $29 million.
- Full Year 2025 Revenue and Adjusted EBITDA guidance ranges were raised.
Rush Street Interactive had what CEO Richard Schwartz called “an exceptional quarter.” The company broke records in both net income, which approached $29 million, and quarterly adjusted EBITDA, up 88% to top $40 million.
The operator's financial results revealed $269 million in Q2 revenue, a 22% year-over-year increase. This is now the company's ninth straight significant revenue and EBITDA growth quarter.
Both income and adjusted EBITDA guidance ranges were raised in response to the earnings reports, which exceeded expectations by a considerable margin. Rush Street now forecasts $1.05 billion to $1.1 billion in revenue for the year. Its updated EBITDA target is $133-147 million.
Commenting on the results, Schwartz said: “I'm excited to report that we've delivered another exceptional quarter with records across the board, marking our ninth consecutive quarter of improving both revenue and adjusted EBITDA from the preceding quarter.”
Schwartz attributed much of the company’s Q2 success to the “consistency and strength” of its business model, which continued to deliver a "strong, broad-based performance.” Online revenue was up 25% and online sports betting wasn’t far behind, with a 15% rise.
Schwartz explained the company’s “strategic focus on markets where we can deploy our full suite of gaming offerings continues to drive exceptional performance and maximize player value.”
Positive North American momentum offsets tax challenges
Rush Street Interactive overcame a number of challenges the past three months. Tax increases in the U.S. and Colombia threatened to derail the operator's growth, but more positive momentum across other markets soon outweighed them.
In the U.S. and Canada, the gaming company saw Monthly Active Users (“MAU”) rise by 21% year-over-year, to approximately 197,000. In Latin America the increase was even more substantial, up nearly 42% to an estimated 403,000.
U.S. and Canadian users brought in an average revenue of $391 during Q2, a new quarterly high. In Latin America the average was $30, a slight dip from last year’s $38, but Rush Street put this down to a new bonus strategy used in response to Columbia’s temporary VAT tax.
Shares jumped 19% in response to both the raising of the company’s full-year outlook and continued Q1 growth. In Q2, the company saw 11 cents in adjusted earnings per share, 5 cents more than the forecasted 6 cents.
