FanDuel’s Plans to “Get Ahead” in iGaming
In a recent trading update for the full-year 2023 results, Flutter Entertainment’s CEO Peter Jackson announced that FanDuel has set its sights on getting ahead in the igaming industry. This comes after the company’s Q4 financial results revealed a 25% revenue growth in the US, totaling £9.51bn (€11.08bn/$12.07bn).
Jackson outlined FanDuel’s three-year strategy for success, stating that the operator aims to complete a race to the finish line in the final year. He emphasized that this strategy aligns with the plan laid out at the capital markets day and highlighted the importance of fixing issues, achieving product parity, and ultimately surpassing the market in the third year.
Organic growth has been a primary focus for Flutter, particularly in Brazil, where the company has seen positive performances from Pokerstars and Betfair. Jackson expressed optimism about the imminent regulation of the Brazilian market and the company’s M&A efforts to cement its position there.
In addition to its success in sports and casino in the UK, Flutter faces intense competition in the US market. Despite this, FanDuel’s sportsbook currently holds a 43% gross revenue market share, and its US igaming offering had a 26% share in the last quarter, with a 38% year-on-year revenue increase reaching £3.06bn.
Jackson acknowledged the competitive nature of the US market, citing the launch of the football season and the emergence of new competitors like Fanatics and ESPN. However, he expressed confidence in the quality of the company’s products and the strong momentum seen in customer acquisitions in Q4.
Although Flutter’s revenue in the US fell slightly below expectations, Jackson remained optimistic, stating, “The business is in a good place. We’ve got a great product and great momentum to exit the year in the states.” As the company looks to solidify its position in the US and Brazil and establish itself as a market leader in the casino space, the future of Flutter Entertainment and FanDuel remains promising.