Overview
- Flutter reported Q3 adjusted EBITDA of $478 million, up 6% year on year and ahead of estimates, yet booked a $789 million net loss driven by a $556 million India impairment and a $205 million U.S. one-off.
- Management attributed the earnings pressure to a prolonged run of customer-friendly sports results that has tightened margins since the third quarter.
- Investment to aggressively scale FanDuel Predicts is expected to reduce core profit by $40–50 million in the fourth quarter and by $200–300 million next year.
- FanDuel Predicts, developed with CME Group and launching next month, will offer sports event contracts only in states without legal online sports betting, with those offerings withdrawn as states legalise.
- CEO Peter Jackson warned that higher UK gambling taxes could threaten jobs and investment, as Flutter proceeds with closing 57 Paddy Power shops that put nearly 250 roles at risk and as London-listed shares slipped up to 4%.