The global sports betting, gaming and entertainment provider, Flutter Entertainment plc, announced its financial results for the three months that ended March 31, 2022. On Wednesday, the company said that in Q1, 2022, it has seen growth, primarily driven by the outstanding performance of its US-facing operations.
Flutter Sees Strong Revenue for the First Quarter of 2022
Overall, Flutter’s revenue during the first quarter hit £1.56 billion ($1.96 billion), up 6% when compared to the £1.49 billion ($1.87 billion) from the same period in 2021. A breakdown of the revenue shows that the company’s sports betting operations have seen growth in the first quarter of this year.
In Q1, 2022, the sports revenue hit £930 million ($1.17 billion), up 5% when compared to the £896 million ($1.12 billion) in revenue from the same period in 2021. Additionally, Flutter’s gaming revenue increased as well. The operator said its gaming revenue in Q1, 2022 hit £636 million ($797 million), up 9% from the £589 million ($738 million) in gaming revenue for the same period the prior year.
Across all of its active markets, Flutter has seen an average of 8.9 million active monthly players. It’s no surprise that this result marked another significant increase of 15% when compared to the 7.7 million active players from Q1, 2021.
US Market Revenue Skyrockets, Marks 45% Growth in Q1, 2022
Without any doubt, the revenue from the first quarter of this year was significantly boosted by Flutter’s US market. The revenue for that market in Q1, 2022 hit £429 million ($574 million), up 45% when compared to the £288 million ($361 million) for the same market from Q1, 2021. A breakdown of that total shows that the sports betting operations in Q1, 2022 have seen 50% growth, while Flutter’s US gaming operations grew by 34% when compared to the same period in 2021.
Flutter did acknowledge that its US-based sportsbook FanDuel “delivered another excellent performance with 2.4 million customers and revenue of £429 million ($574 million).” Moreover, the company said that the sportsbook kept its leadership position in the US market and captured some 37% of the online sports betting market share.
UK Market Experienced Drags
In contrast to the soaring results in the US, Flutter’s UK and Ireland online operations have seen a decline in revenue. During the first quarter of 2022, the number of average monthly players increased by 15%. But the revenue for the period declined 20% to £453 million ($568 million).
According to Flutter, multiple factors impacted the revenue for the UK and Ireland online market. Over the last 12 months, the country introduced safer gambling measures, which undoubtedly had an impact. What’s more, during Q1, 2021, the COVID-related restrictions led to a peak in the engagement of the players.
The retail sector, on the other hand, reported a total of £65 million ($81.4 million) in revenue during Q1, 2022. That result cannot be compared to the same quarter last year, considering that Flutter’s retail operations were completely shut during that time.
Q1, 2022 Brings Success for Flutter, Says CEO Peter Jackson
Peter Jackson, Flutter’s CEO, said that the company has seen a successful Q1 with revenue growing by 6%. He explained that during the quarter, FanDuel continued to increase its presence and enter more states. Jackson acknowledged that in Q1, 2022, FanDuel entered Louisiana, as well as New York, which proved to be the biggest sports betting market so far. Additionally, Jackson pointed out that the revenue for the company’s US-facing operations were undoubtedly boosted by major sports events such as the Super Bowl and March Madness.
“With our enlarged recreational customer base, winning position in the US and ongoing focus on sustainable growth, our business remains well placed for the future.”Peter Jackson, CEO at Flutter Entertainment
Speaking about the company’s operations outside the US, Jackson said: “our business performed well, adapting to the evolving regulatory and trading environment and reflecting the benefits of our global diversification.” In conclusion, he said that combining the growth in the US with the growing customer base reaffirms that the company is positioned well for further growth.