Flutter lauds US top spot as H1 revenue jumps 159%

Flutter Entertainment’s US division enjoyed a stellar H1 2021 driven by a 159% pro forma annual revenue increase to £652m.

At a vertical level, Flutter’s US sports revenue soared by 202% to £452m led by FanDuel, reflecting a 540% growth spike in sportsbook and 36% growth in other sports including DFS and TVG racing.

Elsewhere, Flutter’s US gaming revenue grew by 95% to £200m.

The operator’s sportsbook net revenue margin grew to 6.2% during H1, with FanDuel making up 93% of Flutter’s total H1 US revenue.

The business said it claimed 31% total market share in the US during Q2, punctuated by a sports betting market share of 45% and an igaming market share of 20%.

Average monthly player (AMPs) numbers increased by 166% in H1 2021 to 1.5 million.

Flutter shelled out £225m of marketing spend on FanDuel during the first six months of 2021, with FanDuel’s DFS database contributing 40% of all sports betting customers in the period.

“When the effectiveness of our viral marketing campaigns, such as “Spread the Love”, is combined with the quality of our product, it enables a compounding customer referral effect, where we have more and more customers referring FanDuel to their friends,” Flutter explained.

“This combination of customer referrals and viral marketing has been identified as the source of 33% of our sports betting customers,” the firm added.

“Encouragingly we continue to lead in states at different stages in their life cycle,” Flutter explained.

“We are the market leader in more mature states like New Jersey and Pennsylvania but also lead in those states that have gone live this year, namely Michigan and Virginia.

“We have also bridged the gap in other states, such as Illinois and Indiana, where we entered marginally later than our competitors, with our product quality coming to the fore,” Flutter added.

Flutter CEO Peter Jackson said the high US revenue provided further proof that the firm sits firmly at the top of the tree in the US.

“In the US, we remain the number one online sports betting operator by some distance thanks to the quality of our products and the extensive reach of the FanDuel brand,” Jackson explained.

“The customer economics we are seeing in the US bode very well for the future, with early FanDuel customers generating positive payback within the first 12 months of acquisition.

“We remain absolutely focused on extending our sports product advantages and replicating our market share success in further states as they regulate.

“In gaming we see an opportunity to grow our market share and look forward to further enhancing our product offering in the coming months,” the Flutter CEO added.