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DUBLIN, Feb 26 (Reuters) – FanDuel-owner Flutter forecast modest revenue progress for 2026 far beneath analyst expectations as a consequence of challenges within the betting big’s principal U.S. market compounded by its misfiring makes an attempt to win prospects over with promotions and bonuses.
The world’s largest on-line betting firm reported a 21% soar in 2025 core revenue on Thursday however anticipated progress of simply 4% this 12 months to $2.97 billion, considerably beneath the $3.5 billion anticipated by analysts polled by LSEG SmartEstimate.
The corporate’s shares fell greater than 9% in after-hours buying and selling.
Flutter stated the steerage largely mirrored decrease ranges of U.S. buyer engagement within the fourth quarter and into 2026 after it took extra money from American soccer gamblers than its rivals throughout a run of beneficial sports activities outcomes.
Whereas bookmakers have a tendency to make more cash when favourites lose, Flutter stated the dearth of marquee names within the closing levels of the NFL season meant prospects have been much less involved in playing throughout the important thing playoff video games.
“We simply did not execute our generosity technique in addition to we ought to have accomplished within the face of these outcomes,” Flutter CEO Peter Jackson informed Reuters, referring to the promotions and bonuses playing firms provide prospects to maintain them betting.
Jackson stated FanDuel, which has a number one 41% share of the U.S. market, plans to enhance the way it rewards prospects to be “higher positioned” for the 2026/27 NFL season, together with by launching a loyalty programme in the second quarter.
Flutter additionally intends to extend deliberate funding in its new prediction markets platform launched in late December with derivatives trade CME Group.
Prediction markets, which permit customers to win cash on the chance of particular occasions occurring, from sports activities and leisure to politics and the financial system, have surged into the mainstream within the U.S.
With FanDuel Predicts now providing non-sports markets in all 50 states and sports activities markets in 18 states together with California, Texas and Florida the place sports activities betting is unlawful, Flutter expects funding to cut back 2026 core revenue by the higher finish of its earlier $200 million to $300 million estimate.
(Reporting by Padraic Halpin; Enhancing by Jamie Freed)
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