The re-branded iGaming company that owns Betfair Casino and FanDuel, Flutter Entertainment Plc (FEP), indicated a 24% drop in profits before tax (PBT). Indeed, the profits lost were evident after the company released its half-year (H1) interim report. In essence, the H1 report indicated that the revenue dip is due to increased tax in regulated markets outside of the States.
But as you’ll see below, it’s not all bad news for the company. In fact, their operations as a whole saw a revenue increase in the first half to $1.2 Billion. And it’s mostly because New Jersey is performing so well for their brands. So, let’s crunch some numbers, shall we?
A happy face, despite a negative trend
When releasing the H1 figures, FEP’s CEO Peter Jackson praised the organization for working so hard. But also for making the most of a lousy hand dealt in some markets. “We have had another productive six months at FEP. All divisions are performing strongly on an underlying basis and have responded well to the challenges faced. We are happy with the progress we are making to build a more diversified and sustainable business.”
And when referring to a “sustainable business” Jackson is, of course, relating to their latest investments. As you know, the company invested in the wagering network TVG and horse racing TV too.
On a positive note, Jackson pointed out that Betfair casino profits increased by 5%. Plus, the brand exceeded his projection by 46%. And lastly, he reflected on the current climate in New Jersey, which allowed FanDuel to seize 50% of the sport-betting shares in H1.
Inching closer to more market
All in all, even if the global figures indicate an unpleasant, and yet small dip. The US market, and especially New Jersey, is walking upstream. And surely it’s only the beginning of a positive graph as the company heavily invested in cross-sell initiative. Plus, they’ve also inked a new deal with a media agency which will guarantee them even more exposure across several markets in the States.