Flutter US rally continues as it moves HQ from London to New York
Gambling giant Flutter said its total average monthly players rose by 11 per cent year on year in the first quarter of 2024, as it prepares to move its operational headquarters from London to the US at the end of the month, in another knock to London.
In the US, players grew 15 per cent and revenue up 32 per cent, in spite of “unfavourable” sports results in March.
Revenue increased 16 per cent to $3.4bn (£2.7bn) but shares fell nearly three per cent as it missed analysts’ expectations for $3.57bn.
Flutter netted losses of $177m (£141m), down nearly 60 per cent from the first quarter of 2023, which it blamed on non-cash charges of $356m (£284m).
In January, the UK’s largest London-listed gambling stock made a secondary listing on the New York Stock Exchange (NYSE).
But at the start of May, shareholders voted to move Flutter’s primary listing to the US, with boss Peter Jackson calling it a “natural home” for the group. The listing will become effective on 31 May.
Jackson said: “With a greater proportion of the Group’s future profits expected to be generated in the US, we have moved our operational headquarters to New York reflecting the importance of the US sports betting and iGaming market to our business.”
At the end of 2023, Flutter said its US business was “rapidly scaling” with revenue up more than 40 per cent year on year.
“In the US, FanDuel’s top line momentum is translating into strong growth in US Adjusted EBITDA and market share gains. We are focused on continuing to expand our player base, market share, and embedding future profits within our business through disciplined investment,” Jackson added.
Outside of the US, the UK launch of Super Sub on Paddy Power is Flutter’s most successful product launch to date while in Italy its online sports betting and iGaming market share hit an all-time high in April.
Flutter said it remains confident in its 2024 guidance.