Flutter Entertainment has cut its full-year 2026 guidance, reducing its revenue midpoint by $300 million to $17.61 billion and its adjusted EBITDA guidance by $160 million to $2.495 billion. The operator said the downgrade reflected a combination of headwinds and the impact of the market closure in Brazil.
The revision followed a third quarter in which revenue edged up 2% year on year to $3.87 billion but profitability deteriorated sharply. Adjusted EBITDA fell 25% to $360 million, down from $478 million in the same period of 2025, while the group net loss widened to $1,148 million from $789 million a year earlier.
Brazil was the single most visible drag on the quarter. A Provisional Measure banning online sports betting and iGaming in the country led Flutter to record $873 million in non-cash impairment charges. Of the post-tax impairment, $537 million was attributable to Flutter itself, reflecting its 56% ownership of Flutter Brazil.
US growth, but margins squeezed
Flutter’s US segment, home to FanDuel, generated revenue of $1,455 million in the third quarter, up 6% year on year. The company attributed that growth to the expansion of FanDuel rewards, the launch of new iGaming products and the growth of its FanDuel Predicts prediction market platform.
Earnings in the division, however, were close to breakeven. US adjusted EBITDA came in at $3 million, a 94% decline on the prior year. Flutter said the fall was driven by heavy investment in prediction markets and the launch of gaming in Alberta.
The International segment reported revenue of $2,419 million, broadly consistent with the prior-year figure, while segment adjusted EBITDA dropped 14% to $435 million. Flutter attributed the earnings decline to UK tax increases, partially offset by cost savings in the UK and Ireland and in Brazil.
At group level, the company said revenue growth in the quarter was driven by strong performances in its UKI and SEA regions, partially offset by weaker sports results across the wider International segment.
Management points to scale and next phase
Flutter’s chief executive struck a confident tone despite the downgrade, saying the company “enters its next phase from a position of strength” and expressing confidence in both the US and International segments. “We have leading businesses in many of the world’s most attractive markets, great brands and scale advantages that few others can match,” he said. “Our job now is to make more of those advantages.”
He set out three core goals for the group: building on its US leadership, capturing prediction market opportunities and enhancing the International portfolio. He added that he was pleased with iGaming performance and that there remains significant room to grow.
This article was produced with AI assistance and reviewed under the GamblingZine editorial verification process.
Sources
- Flutter Reduces FY 2026 Guidance as Brazil iGaming Shutdown Impacts Financials — Independent reporting (published 2026-11-04)
Reporting verified against the sources above; retrieval timestamps are preserved in the editorial record.