10 March 2023
By Roger Kennedy
roger@TheCork.ie
Entertainment
Flutter Entertainment (formerly Paddy Power Betfair plc) has long been one of the major players within the gambling industry, however it seems the brand is only getting stronger after another solid year in 2022.
The organization, which owns several big brands across the industry including the likes of Sky Bet and Paddy Power in the UK, as well as FanDuel and FOX Bet in the US, has reported that its rapid expansion across America has helped the company to achieve and deliver its objectives over the last 12 months.
According to its preliminary results for 2022, group revenue was found to be up 27% on the FY2021 figures, as the company recorded £7.69 billion compared to the £6.03 billion that was achieved a year prior.
Additionally, the organization revealed that it was able to increase its customer base from 8.1 million in 2021 to 10.2 million in 2022; a 26% increase. Indeed, as brands such as FanDuel is rapidly expanding across the states, it would not be a shock if we were to see these numbers become even greater in the near future, too.
FanDuel Has Pushed Flutter’s Growth
It could be argued that the growth that FanDuel has experienced over the last few years is one reason why the Irish organization has been able to continue to enjoy an incredible amount of success in the US.
The brand managed to act on its major objective of strengthening its aims of becoming the No.1 brand in the US market, as it took control of “+50% of sportsbook market share.” Figures helped to back this up, as the sportsbook managed to double its revenue to £2.6 billion in 2022 compared to 2021.
This was helped as operations expanded into five new markets, with states such as Maryland and Ohio among those newest to experience successful launches. Since the beginning of 2023, the brand has also managed to achieve a record Super Bowl and gain more than 1.2 million new customers since the turn of the year.
Naturally, with the ever-expanding US market, it would not be a shock if the operator were to look to launch in other states where possible. Locations such as Massachusetts are already on the horizon in the future, as the state is set to go live imminently, and the operator has already confirmed it is set to arrive once given the go-ahead.
FanDuel Set to Become US Market’s First EBITDA Positive Business
While there have been mixed results in Europe and domestically for the Irish company, it does not appear to have slowed down its efforts in taking on the American market and becoming the number one player within the industry across the Atlantic.
Flutter recently revealed that they still had plans to make FanDuel the first EBITDA positive business in the US market and want to achieve this by the end of 2023. Defined as the following, Earnings Before Interest, Taxes, Depreciation, and Amortization, EBITDA is a metric used to evaluate a company’s operating performance. This would be a huge achievement for the brand if they were able to manage this.
It has been revealed that shareholders have already been told, while a separate US listing for the FanDuel is potentially being considered following an announcement in February; a move that is understood to have been greeted with positive encouragement and plenty of support.
Final Thoughts
There is no denying that Flutter Entertainment is dominating the iGaming market in the US with its FanDuel brand, and this is only likely to continue as they continue to have ambitious aims and objectives that they want to achieve. Of course, with the expansion of the industry across the US, and new markets like Massachusetts on the horizon, it would not be a surprise if they were able to do accomplish what they wanted to for 2023.