Lara Martinez, a market researcher at Third Bridge, provided commentary on Flutter’s Q3 financial performance, highlighting the company’s US strategic trajectory, market dominance, and the potential consequences of the UK’s gambling white paper. For the third quarter concluding September 30, 2022, Flutter posted revenue of £1.89 billion (approximately $2.18 billion), a 31% surge year-on-year.
“Examining past figures, economic downturns haven’t substantially affected consumer outlay in the gaming and sports wagering sectors,” Martinez noted. “Nevertheless, if the recession is protracted and severe, it will undoubtedly influence customer purchasing ability.”
She posits that Flutter’s approach in the US market is anticipated to remain fruitful, but the company exhibits a noticeable vulnerability in its casino product portfolio. “The primary obstacle for Flutter is sustaining its current market share,” Martinez stated. “Our specialists foresee the US market becoming increasingly segmented in the coming years. BetMGM or other contenders might introduce sports betting offerings akin to Flutter’s.”
Regarding the UK, Martinez contends that the government’s gambling white paper is projected to have a negligible effect on Flutter, as its clientele predominantly comprises casual gamblers rather than high-stakes players.
Flutter’s third-quarter figures revealed that revenue from its US operations escalated by 82% to £598 million, propelled by the Sisal acquisition. Sports betting revenue constituted £1.14 billion of overall revenue, while gaming revenue reached £748 million.
Flutter Entertainment’s chief executive, Peter Jackson, expressed great satisfaction with the firm’s Q3 results. He emphasized the remarkable 11% increase in both income and monthly active users across Flutter’s platforms. Jackson was especially enthusiastic about their achievements in the American market, particularly with the NFL season kickoff. They are currently observing over a million users on a typical NFL game day, a significant milestone! He further noted that user engagement is on the rise, attributed to the increasing popularity of their multi-event wagering choices and the commencement of the NBA season.
