FanDuel saw revenue growth in the fourth quarter of 2023 to help bolster parent company Flutter’s strength in the U.S. market.
According to Thursday’s figures release, the online sportsbook giant raised profits by 26% year-over-year and secured 43% of the gross revenue market share in the U.S. (51% net revenue share) in the final quarter. Its iGaming market share of 26% reached No. 2 in the U.S. market behind BetMGM.
However, FanDuel’s $1.4 billion revenue from the fourth quarter fell $225 million short of projections because the house sometimes doesn’t win. Bettors had one very strong month against FanDuel.
“In the U.S., FanDuel consolidated its sports leadership position during the peak quarter for sporting activity, while FanDuel Casino went from strength to strength,” Flutter CEO Peter Jackson said in the release. “While sports results were very customer friendly, particularly on the NFL in November, the underlying momentum in the business remains very strong heading into 2024.”
Global revenue growth
Flutter saw global growth across the board in the fourth quarter and year-end numbers in 2023. Total revenue reached $3.4 billion, up 15% year-over-year, in the final quarter. FY23 revenue was $12 billion, up 25% from 2022.
Sports betting revenue for the Ireland-based company increased 13% year-over-year for the final quarter and 23% compared to all of 2022. Gaming revenue rose 19% and 29%.
Revenue from U.K. and Ireland operations rose 19% year-over-year in Q4 while a 7% market increase internationally led to a 4% revenue hike.
Future of Flutter
The gaming company is set up well in 2024.
Flutter’s listing on the New York Stock Exchange will begin Jan. 29, subject to the effectiveness of its Form 20-F Registration Statement with the U.S. Securities and Exchange Commission. This secondary listing is expected to enhance U.S.-based investments in a market it’s currently profitable.
Flutter expanded into the Serbian market after acquiring MaxBet earlier this month.
Guidance for 2024 will be announced in March.
“I am looking forward to 2024 and further building on the momentum within the Group to continue delivering growth,” Jackson said.
