Flutter Entertainment reported US revenue of $1.45 billion for the third quarter of 2026, a 6% year-over-year increase, with FanDuel’s casino business growing at twice the rate of its sportsbook as sporting outcomes ran against the operator. Sports betting revenue rose 4% year over year while iGaming revenue climbed 8%, and newly appointed Flutter chief executive Dan Taylor told shareholders that “sports results went against us in the quarter.”
The figures cover the three months ended 30 September 2026, measured against the same period in 2025. FanDuel’s US revenue growth comfortably outpaced Flutter’s group revenue growth of 2%.
“Our Q3 performance gives me confidence that we are moving in the right direction,” Taylor said. “In the U.S., our sportsbook improvement plan is delivering early but tangible progress in customer engagement and performance.”
Underlying activity metrics pointed in the same direction. FanDuel’s US handle rose 13% year over year in the quarter, while average monthly players increased 9% against Q3 2025. According to Taylor, FanDuel remained the top US market share holder.
The casino vertical was the standout on customer growth, with FanDuel Casino average monthly players up 24%. Taylor attributed the pace of US iGaming revenue growth to “competitive dynamics” and the US market’s “maturity curve.”
Prediction market investment weighs on FanDuel profit
Profitability told a different story. FanDuel’s Adjusted EBITDA came in at $3 million for the quarter, down 94% from the prior-year third quarter, after increased investment in its prediction market product and a launch in the newly regulated Canadian province of Alberta.
Flutter said FanDuel’s prediction market capabilities “substantially improved” during Q3. Taylor said prediction markets still have little impact on sports betting activity, but that the industry is seeing a rise in marketing costs associated with trading exchanges.
“The duration of this trend will depend in part on how the regulatory landscape develops, but at this early stage, we expect our marketing intensity to continue in 2027 at levels similar to this year,” Taylor said.
Brazil impairment drives group loss
At group level, Flutter reported revenue of $3.87 billion, which the company said was held back by the “adverse” impact of International sports results compared with the prior-year third quarter.
The operator posted a group net loss of $1.15 billion, which it attributed to an $873 million non-cash impairment charge in Brazil following that market’s ban on online betting.
International segment revenue was $2.42 billion, flat year over year, with Adjusted EBITDA down 14% due to gaming tax increases in the UK. Flutter cut 1,400 jobs last month in response to those UK tax increases.
The divergence between Flutter’s two main segments extended to customer numbers: average monthly players rose 12% year over year in the US but fell 8% in the International segment, following the company’s exit from India.
Flutter also reduced its full-year guidance, cutting projected 2026 group revenue by $300 million to $17.61 billion and Adjusted EBITDA by $160 million to $2.49 billion, citing the Brazilian market impact. Taylor said early sports betting outcomes had been unfavourable so far in Q4 in both the US and International segments.
“Online betting and gaming is still a relatively young industry, with significant room to grow as markets develop and customer behavior evolves,” Taylor said. “Flutter enters its next phase from a position of strength.”
This article was produced with AI assistance and reviewed under the GamblingZine editorial verification process.
Sources
- FanDuel Revenue Up 6% Despite Unfavorable Sports Results in Q3 — Independent reporting (published 2026-11-04)
Reporting verified against the sources above; retrieval timestamps are preserved in the editorial record.