Flutter has lauded the impact of its US operations as the firm reports overall revenue results of £7.69bn.
Publishing its full-year 2022 preliminary results, the company’s group revenues were up 27% on the corresponding FY2021 figures of £6.03bn, with its headline objectives being achieved as its FanDuel division strengthened its US position, taking over 50% of the North American sportsbook market.
Doubling its revenues to £2.6bn (FY2021: £1.3bn), FanDuel would hit the upper-end of its expected guidance. However, the ‘fast-growth’ unit’s EBITDA contribution stood at a loss of £250m (FY2021: – £243m) – attributed to its New York activities that doubled its overall cost of sales to £1.3bn.
Commenting on FanDuel’s performance, Peter Jackson, CEO of Flutter, stated: “FanDuel is going from strength to strength as our advantages compound with each new state. We are extending our number one position in the market.
“Our US performance in 2022 is outstanding and continues to exceed all expectations.”
Expanding in five new US states, FanDuel sales and marketing costs increased by £301m to £964m ($1.2bn) – as Flutter booked in total US adjusted losses of £328m (FY2021: £289m).
Looking into Flutter’s home market in the UK & Ireland, the firm achieved a 4% increase in revenues to £2.1bn (2021: £1.05bn).
However, its sportsbook revenues came in just below the £1bn mark at £998m. Online sportsbook drags were offset by UK and Ireland gaming brands achieving a 21% increase in revenues to £873m, up from £721m in 2021.
Jackson noted: “Outside of the US, the actions that we have taken to address underperformance in the UK and Ireland at the end of 2021 have delivered very promising results.”
Looking towards the future, Jackson concluded the preliminary results by stating: “2023 is off to a pleasing start. With our combined US business on track to deliver full-year profitability in 2023, the group year profile is set to be transformed.
“We look forward to delivering future growth, progressing further against Flutter’s strategic priorities in the coming year.”