Flutter Entertainment plc has published its financial results for the third quarter of 2021, declaring a 9% group revenue growth year-over-year, as well as maintaining its ‘leadership position’ in the US market.
Posting its Q3 trading update, Flutter reported group revenues of $1.96bn, up 9% on corresponding 2020 results of $1.8bn.
The group attributes this growth to it maintaining a double-digit increase in active monthly players to 7.2m (Q3 2020: 6.4m).
Flutter’s sportsbook performance recorded combined revenues of $1.24bn (+13% on Q3 2020: $1.09bn), while its igaming revenues came in at £729m (+1% on Q3 2020: $719m).
CEO Peter Jackson commented: “Flutter delivered a strong third-quarter performance, with double-digit growth in our global player base. This resulted in the group delivering revenue growth of 12% despite challenging comparatives including a concentration of key sporting events in the prior year.”
In the US, Flutter noted that its business continues to ‘lead the market’ with a 42% share of online sports betting and an 18% share of online gaming. Its brands in the region include FanDuel, TVG, Stardust, FOX Bet, and PokerStars.
US net revenue stood at $382m (+85% on Q3 2020: $220m) with FanDuel accounting for 94% of that. Its number of average monthly players in the market reached 1.3m (+17% on Q3 2020), with 1.9m players active in September at the start of the NFL season.
Sports revenue in the region came in at $251m (+97% on Q3 2020: $135m), including a sportsbook growth of 422%. Flutter attributes the growth in sports revenue down to the significant investment it made during Q3 2020 following the return of sports, favorable sports results in 2021, and its beneficial product mix.
Its FanDuel sportsbook is now live online in 12 different states including launching in Arizona and Connecticut in September and October respectively.
Flutter’s gaming revenue in the US for the quarter totaled $130m (+65% on Q3 2020: $85m). Its gaming products are now live in five states following its recent launch in Connecticut in October.
Jackson continued: “In the US we maintained our leadership position, with the quality of our product offering leading to high levels of customer engagement.
“As expected, the start of the NFL season saw a step-up in competitive intensity. We remained disciplined, however, leveraging the broad set of high-quality marketing assets at our disposal.
“The customer response has been very encouraging with FanDuel now regularly experiencing staking levels on Sundays that match its 2021 SuperBowl performance. Early engagement on NBA since the recent start of the season has also been strong.”
Flutter’s US market guidance remains unchanged at $1.8bn – $2bn revenues with Adjusted EBITDA loss expected to be between $341m and $375m – which includes a $20m impact from adverse sports results in October.
