26th Feb 2026 22:17
(Alliance News) - Flutter Entertainment PLC on Thursday reported 2025 earnings and sales below expectations, with handle growth of 3% missing forecast.
The New York-based bookmaker which owns FanDuel, Betfair and Paddy Power said its net income declined to USD10 million in the three months to December from USD156 million a year prior.
Adjusted earnings before interest, tax, depreciation and amortisation improved 27% to USD832 million from USD655 million. Adjusted earnings per share dropped 41% to USD1.74 from USD2.94.
Revenue increased 25% to USD4.74 billion from USD3.79 billion with average monthly players up 3.2% to 15,072 from 14,605.
Flutter said fourth quarter growth was driven by M&A and more favourable US sports results year-over-year.
Sportsbook revenue growth reflected a net revenue margin of 8.9%, up 220 basis points year-over-year, driven by continued structural gross revenue margin expansion of 90bps, and a positive sports results impact year-over-year of 310bps.
Handle growth of 3% was behind expectations and reflected a moderation in market growth which has continued into 2026, primarily due to the unfavourable recycling impact from sustained, bookmaker-friendly sports results.
"It is difficult to be definitive as to when market handle growth rates will recover," Flutter said.
For 2026, Flutter gave revenue of USD18.4 billion and adjusted Ebitda of USD2.97 billion guidance midpoints, representing year-over-year growth of 12% and 4%.
Revenue and adjusted Ebitda were below USD16.69 billion and USD2.92 billion guidance.
In 2025, Flutter reported revenue of USD15.91 billion and adjusted Ebitda of USD2.85 billion, up 17% and 21% on-year respectively.
Flutter expects US revenue of USD7.8 billion in 2026 and International revenue of USD10.6 billion.
Flutter said it sees no "meaningful impact" on its business from prediction markets.
"We are confident that the prediction markets have not been a significant driver of the moderating customer and handle trends we have observed," the company said.
Shares in Flutter slumped 8.2% in after hours trading after closing up 2.8% in New York on Thursday.
By Jeremy Cutler, Alliance News reporter
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