Flutter Entertainment reported a 27% increase in revenue year-over-year during its 2022 financial years. This was primarily due to continued growth in the US, and its acquisitions Sisal and Tombola.
The operator announced preliminary results, stating that its US-facing FanDuel brand increased its market share to 50% in online sportsbook and 21% in igaming. In 2023, earnings before interest tax, depreciation, amortization, and amortisation (EBITDA), will be positive for the US business.
Flutter also managed to increase its presence in countries around the globe, including Italy, through the purchase of Sisal. Sisal’s revenue and EBITDA were both up in 2022.
Flutter also acquired bingo operator Tombola last January, which resulted in a 4% rise in UK and Ireland revenues for the entire year.
Flutter chief executive Peter Jackson (pictured), said that Sisal as well as Tombola will be part of Flutter for the entire 2023 and that further expansion plans in the US including recent launches of Ohio and Maryland are in place. He also stated that the company is on track to continue growth in 2023.
Jackson stated that Flutter had a strong 2022 performance, demonstrating its ability to continue to implement the strategic priorities set out last March. We ended the year with 12.1m monthly average players and 27% revenue growth in 2022 thanks to our recreational customers.
“We are in an unbeatable number one spot in the US, and we’re going from strength to strength. Our most successful launches in Maryland and Ohio were made possible by the combined power of the “FanDuel Advantage” and the “Flutter Edge”.
“We are pleased with the business’s performance, despite the challenges and regulatory changes that we had to face. We are in a strong position to continue building on our gold medal positions in mature markets, while also delivering very strong growth across a variety of attractive high-growth markets.
FY Results
Flutter’s 2022 financial year revenue was PS7.69bn (EUR8.66bn/$9.21bn), 27% more than the previous year. This included PS4.79bn from sports betting. This is a 27% increase year-over-year. Gaming revenue also increased 28% to reach PS2.91bn.
Flutter also reported that the average monthly player across its business increased 26% to 10.2m.
This performance was further broken down by US revenue increasing 67% to PS2.60bn. Flutter stated that its FanDuel business was number 1 in 15 of 18 states where it was active during the fourth-quarter of the year.
Apart from the US, UK, and Ireland, revenue rose 4% to PS2.14bn. This was due to a 54% increase in retail revenue to PS272m. However, Australia revenue declined by 2% to PS1.26bn. Strong performances in Italy and Turkey led to a 31% increase in international revenue to PS1.68bn.
Spending was higher in the business with increased costs for sales, marketing, and other operating expenses. Corporate expenses, amortisation, and depreciation were all rising year-on-year.
Flutter also had to take into account a 25% increase in finance expenses. This resulted in a pretax profit of PS518m. This is 17% less than the previous year because of higher spending. Flutter also paid PS182m income tax. This resulted in a net profit PS336m. This is 26% less than the PS454m Flutter earned in 2021.
Flutter also stated that adjusted EBITDA was 4.4% higher at PS1.05bn.
Jackson stated that 2023 has gotten off to a good start thanks to the positive momentum built up since last year. The group is on track to deliver positive EBITDA in 2023, with the combined US business. We look forward to future growth and advancing against Flutter’s strategic priorities.
