Flutter Entertainment (FLUT) H2 2024 earnings summary

Executive summary

• Achieved 19% revenue growth and 26% Adjusted EBITDA increase for 2024, with net income of $156 million, reflecting a turnaround from a $902 million loss in Q4 2023, despite adverse U.S. sports results.

• Maintained U.S. leadership with 43% sportsbook and 26% iGaming GGR market share; FanDuel solidified #1 position, while ex-U.S. markets expanded, notably with MaxBet and strong growth in UK, Italy, and India.

• Expanded into new markets with FanDuel launches in North Carolina and Vermont, and added MaxBet to international business.

• Initiated share repurchase program, returning $121 million in Q4, with up to $1 billion planned for 2025.

• Leveraged product innovation, including Your Way and expanded parlay offerings, to drive engagement and margin.

Financial highlights

• Full year 2024 revenue grew 19% to $14.05 billion, Adjusted EBITDA up 26% to $2.36 billion, and net income reached $156 million; Q4 revenue up 14% to $3.79 billion, Adjusted EBITDA up 4% to $655 million.

• Free cash flow for the year was $941 million, up $0.6 billion year-over-year.

• Net income reached $156 million after $346 million in non-cash expenses; EPS increased 45% in Q4, aided by a U.S. tax credit.

• U.S. revenue up 14% with Adjusted EBITDA of $163 million; iGaming revenue up 43%, sportsbook revenue up 8%.

• UKI revenue up 20% in Q4, with sportsbook and iGaming up 31% and 16% respectively; International revenue up 23% (constant currency), with MaxBet contributing 8 percentage points.

Outlook and guidance

• 2025 U.S. revenue and Adjusted EBITDA midpoints guided at $7.72 billion and $1.4 billion, up 33% and 176% year-over-year.

• Ex-U.S. 2025 revenue and Adjusted EBITDA midpoints guided at $8.25 billion and $1.85 billion, reflecting 6% and 10% growth after FX and sports results normalization.

• Group revenue expected to grow 13% and Adjusted EBITDA 34% in 2025; new state launches expected to have a $40 million revenue and $90 million EBITDA cost.

• Up to $1 billion in share repurchases planned for 2025; Snai and NSX acquisitions expected to close in H1/Q2.

• Cost efficiency program on track to deliver $300 million in annualized savings by 2027.