Flutter Entertainment Reports 19% Revenue Growth to $14.05 Billion in Fiscal Year 2024

Flutter Entertainment plc, the world's leading online sports betting and iGaming operator by revenue, reported total revenue of $14.05 billion for the fiscal year 2024, a 19% increase compared to $11.79 billion in 2023. This growth was driven by strong performance across segments, particularly a 32% increase in U.S. revenue to $5.798 billion, despite a 3% negative impact from unfavorable sports results, primarily in the NFL. The UK and Ireland division saw an 18% revenue increase to $3.598 billion, while the International division grew by 13% to $3.257 billion, boosted by the acquisition of MaxBet in Serbia. The company's average monthly players (AMPs) increased by 13% to 13.9 million globally.

Cost of sales rose by 18% to $7.35 billion, remaining in line with revenue growth. Sales and marketing expenses decreased by 15% to $3.205 billion, representing 23% of revenue, a significant decrease from 32% in 2023. This reduction was attributed to economies of scale and a more disciplined approach to player acquisition. General and administrative expenses increased by 13% to $1.81 billion, primarily due to U.S. business expansion and increased labor costs. The company reported a net income of $162 million for 2024, a substantial improvement from a net loss of $1.21 billion in 2023. Adjusted EBITDA increased by 26% to $2.36 billion, with an Adjusted EBITDA margin of 16.8%.

Strategic developments in 2024 included the acquisition of a 51% stake in MaxBet and the announcement of two further acquisitions planned for 2025: a 56% interest in NSX Group in Brazil and 100% of Snaitech S.p.A. in Italy. These acquisitions are intended to expand Flutter's presence in key international markets. The company also reorganized its internal reporting structure, resulting in a change to its reportable segments from four (U.S., UKI, International, Australia) to two (U.S. and International) effective in the first quarter of 2025. This reflects the growing importance of the U.S. market.

Flutter's financial performance in 2024 demonstrated growth across key operational metrics. The U.S. segment maintained a strong market share, with approximately 44% of the online sports betting market and 25% of the iGaming market in the states where FanDuel operates. The UKI segment experienced market share growth, while the International segment benefited from acquisitions and strong performance in key markets. The company's technology investments totaled $820 million, supporting product enhancements across its brands. Flutter employed 27,345 people globally as of December 31, 2024.

The company's 10-K filing also highlighted several risk factors, including economic downturns, competition, customer retention, regulatory changes, cybersecurity threats, and the potential impact of Fox exercising its option to acquire a significant minority stake in FanDuel. Flutter acknowledged deficiencies in its internal control over financial reporting, which constitute material weaknesses, and outlined its remediation plan. The company expects continued growth in the U.S. market and further expansion into international markets, but cautioned that the success of its growth strategy depends on several factors, including regulatory developments and successful integration of acquisitions.