Flutter Highlights Global Dominance and Future Growth at Investor Day Presentation

“Flutter Edge” as Key to Success

Throughout the presentation, executives emphasized the company’s competitive advantage, referred to as the “Flutter Edge”.

This formula, which combines product innovation, technology, expertise, and scale, has been credited for the company’s leading positions in markets such as the US, UK, Italy, and Australia.

Executives highlighted the company’s dominance in odds pricing and parlay products, noting that between 2019 and 2023, the share of bets placed as parlays grew by 65%, with a 38% increase in the average number of legs per parlay.

The company estimates its current market capitalization at $41bn, with 32 million active users worldwide.

Flutter projects revenue of $14bn and adjusted EBITDA of $2.5bn for FY24.

FanDuel’s Surpassing Growth in the US

FanDuel CEO Amy Howe spoke about the company’s rapid rise in the US market, where it has become the largest iGaming brand by gross gaming revenue (GGR).

FanDuel’s GGR market share for sports betting and iGaming now stands at 38%, with a projected US revenue of $9.7bn by 2027.

Howe also attributed the company’s improved GGR margins, which increased from 10% to 13%, to the “Flutter Edge”.

Looking ahead, FanDuel expects the North American market to grow significantly, particularly with the potential expansion into California, Texas, and Florida, which remain key targets for legalization.

Howe emphasized the importance of lobbying and public education to unlock these markets, acknowledging that FanDuel had previously spent tens of millions on unsuccessful lobbying efforts in California.

Global Expansion Strategy

Dan Taylor, Flutter’s international CEO, focused on the company’s broader global strategy. Flutter plans to continue investing in “local hero” brands that resonate in individual markets, backed by Flutter’s global resources, technology, and purchasing power.

Taylor pointed to brands like Paddy Power and Sky Bet in the UK & Ireland, Sportsbet in Australia, and Sisal in Italy as examples of successful market leaders.

In developing markets, mergers and acquisitions remain a key part of Flutter’s growth strategy. Taylor highlighted regions such as Latin America, India, Turkey, and North Africa and Central and Eastern Europe as areas with significant potential.

The company recently expanded into Brazil through a $350m investment in Betnacional’s parent company, NSX Group.

Financial Outlook and Efficiency

Group CFO Rob Coldrake outlined Flutter’s financial trajectory, projecting $21bn in group revenue by 2027, along with $2.5bn in free cash flow.

He also announced plans for up to $5bn in share buybacks over the next four years.

Coldrake emphasized the company’s focus on cost efficiencies, estimating that the group will save $300m through platform integrations and other operational improvements by 2027.

Q&A Focus on US Expansion

The Q&A session, dominated by US-related topics, saw Amy Howe and Peter Jackson fielding questions about FanDuel’s future.

Howe noted that at least two of the “big three” markets—California, Texas, and Florida—would need to legalize for Flutter to meet its projections.

She also reaffirmed that FanDuel has no immediate plans to expand into adjacent US verticals, such as ilottery, and emphasized the company’s focus on maintaining its dominance in sports betting and iGaming.

Jackson concluded by stating that complacency is the only major risk to achieving Flutter’s goals, stressing that the company must remain vigilant to maintain its position as a global leader.