Flutter Lowers 2024 Guidance After Challenging NFL Betting Results

NFL Season Hits U.S. Performance

The 2024/2025 NFL season has been a challenging one for sportsbooks, with an unusually high number of wins by favorite teams—marking the most bettor-friendly season in nearly 20 years. These results were a win for customers but hit Flutter’s U.S. operations hard:

• Gross gaming revenue (GGR) was reduced by an estimated $438 million.
• Revenue projections for the U.S. market were cut by $370 million, bringing the expected total to around $5.78 billion.
• Adjusted EBITDA for the U.S. market was lowered by $205 million to approximately $505 million.

This sharp downturn follows a strong third quarter for Flutter, where U.S. revenue jumped 51% year-over-year and contributed to a 27% increase in global revenues, reaching $3.25 billion.

Strong Performance Outside the U.S.

Despite setbacks in the U.S., Flutter saw growth in its Group Ex-US markets, including the UK, Ireland, and other international operations. Both revenue and adjusted EBITDA in these regions are now expected to exceed earlier projections by 1% and 2%, respectively. Strong results in the English Premier League were a key factor in this positive performance.

Flutter emphasized that these shifts in guidance are tied to the temporary impact of unfavorable sports results and do not reflect any broader issues with the company’s operations.

A Challenging End to the Year

The updated Q4 outlook stands in stark contrast to the optimistic guidance Flutter issued after its strong Q3 results. During that period, the company raised its full-year expectations following a 74% increase in adjusted EBITDA, driven by strong global performance.

Flutter will release its full Q4 and 2024 financial results on March 4, 2025. While the latest updates reflect the pressures of a tough NFL season, the company continues to see growth in its international operations and remains focused on its long-term business strategy.