Flutter and FanDuel # 1 Earnings Report hint at a boom in US sports betting

0
89

""US Sports"" – Google News

The latest year-end earnings report for Flutter Entertainment has proven its position as number one on the sports betting throne in the United States. But it becomes even clearer what astonishing progress sports betting in America has made over the past twelve months as a whole.

Flutter Entertainment, which owns FanDuel and PokerStars, released their 2020 annual report this week. It showed an EBITA of 1.4 billion US dollars. A number that is above the original forecast of $ 1.275 billion in November and an actual 23% year-over-year increase.

The numbers reported excluded the legal US betting market, which the group posted an EBITDA loss of $ 170 million. The loss was attributed to high investments by the Flutter Group, which merged with The Stars Group (TSG) in May and increased its stake in FanDuel in November 2020.

Overall, Flutter accounts for 40% of the U.S. legal betting space, and the report concludes that positive contributions were made to revenue from states operating in New Jersey, Pennsylvania, and West Virginia prior to 2020 were. They anticipate a potential of $ 20 billion for the U.S. market by 2025, as the majority of states legalize sports betting and FanDuel retains at least their 40% component.

Regarding her US stake, Flutter noted via FanDuel that her earnings were higher than that of her two biggest competitors, including lead competitor DraftKings Sportsbook. Flutter executives also noted the booming interest in sports betting recently, saying that FanDuel was used by more customers in Super Bowl week of last month than it was in all of 2019.

In the first seven weeks of 2021, Flutter’s gross sales increased 36%

Peter Jackson, CEO of Flutter, added the following comments to the report:

We delivered a very strong financial performance in 2020 and benefited from our size and diversification. We are continuing to expand our recreational player base in key regions. In the fourth quarter alone, the group had over 7.6 million online players per month. Nowhere has our growth been as marked as in the United States, where we have consolidated our leading position in this crucial market with a customer economy that continues to exceed our expectations, and this year as the first US online operator to achieve a gross profit of over 1.1 Billions of US dollars have been made in gaming revenue.

FanDuel against the market

The sports betting market has grown significantly over the past six months and FanDuel (Flutter) has many operators in several emerging areas. Main competitor DraftKings has also increased gross gaming revenue with major sports betting providers such as BetMGM, William Hill, PointsBet and FOX Bet, as well as other strong newcomers vying for state market share.

The market for sports betting, currently dominated by online betting for convenience and due to the continued presence of COVID-19, has grown significantly since the repeal of the PASPA (1992 Law on the Protection of Professional and Amateur Sports) in May 2018.

Next steps for FanDuel

The current year will include growth into many new US states as legislation moves forward. FanDuel will certainly be among those approved for licensing. Previous steps have already been taken in selected states to start operations as soon as possible. They have also started partnerships to increase potential market share.

As with all sports betting operators, it is assumed that they will intensify their pursuit of “live-in-play betting”. Along with strong advertising to attract new customers in new markets.

At this point, FanDuel’s speech as a stand-alone company has not yet been confirmed and management has not commented on it.

Source Link

Leave a Reply