Flutter's Fourth Quarter Stumbles as FanDuel Bets Go Cold

Flutter Entertainment, the parent company of sports betting giant FanDuel, posted fourth-quarter results Thursday that fell short of analyst forecasts. The report sent shares tumbling nearly 7% in after-hours trading.

Chief Executive Peter Jackson attributed the underperformance to an unfavorable run of luck for bettors in the final months of 2025. "When customers lose more frequently than the statistical norm, it impacts their engagement," Jackson explained in an interview with CNBC. "It's fair to say, not everything went our way in the fourth quarter."

The company reported revenue of $4.74 billion, missing the expected $4.97 billion. Adjusted earnings per share came in at $1.74, well below the $1.95 consensus. Adjusted EBITDA was $832 million, also under the $893 million analysts had projected.

Despite the quarterly miss, Flutter's revenue showed a 25% increase compared to the same period last year. However, the company's full-year 2026 revenue guidance of $17.75 billion to $19.05 billion was softer than the $19.34 billion the market anticipated.

During an investor call, Jackson pointed to political prediction markets as a potential catalyst for further state-level legalization of sports betting. He also stated the company's internal analysis found no sign that these markets are drawing significant business away from their core sportsbook operations.

Source: CNBC