The owner of the Paddy Power and Betfair brands has revealed a £60m hit from a “run of customer-friendly” sports betting results last month, saying it will be partly responsible for a cut to its full-year financial guidance.
Flutter Entertainment, which is the world’s largest online betting group, saw its shares tumble 7% at Tuesday’s market open after reducing its forecast range for annual adjusted profits to between £1.24bn and £1.28bn.
That compared to the £1.27bn to £1.37bn it had previously expected.
It also blamed a temporary withdrawal from its Dutch online operations, due to a change in regulations, which was tipped to cost it a further £10m this year.
Flutter said its operations outside the United States were hit by “unfavourable sports results in (the) first 24 days of October” but it did not reveal what those events were.
However, they are understood to have included high stakes in favour of Tyson Fury beating Deontay Wilder in the final bout of their trilogy series in Las Vegas – won by Fury thanks to an 11th round knockout.
Liverpool’s big 5-0 win over Manchester United in the Premier League also resulted in a big win for punters.
Flutter’s third quarter results, covering the three months to the end of October, showed revenue rising by 12% on the same period last year, driven by a 13% hike in average monthly players.
It credited a strong performance in Australia and in the United States in particular where it owns America’s largest betting business, FanDual.
Flutter said FanDuel, which is tipped by financial analysts to be spun off from the parent firm, was now regularly experiencing staking levels on American Football Sundays that match its 2021 SuperBowl performance as gambling continues to takes off rapidly in the US after a ban was lifted on sports betting in 2018.
Revenue in the UK and Ireland fell 5% however, which Flutter said in part reflected a busier, high profile sporting calendar in…
Source : skynews
