Flutter 2025 results: revenue up 17% but India impairment flips the bottom line
Flutter Entertainment posted a strong operational year in 2025, but statutory profit told a different story. Group revenue rose 17% to $16,383m as Average Monthly Players (AMPs – the count of unique paying players each month) climbed 14% to 15.9 million. Adjusted EBITDA grew 21% to $2,845m, showing good underlying momentum.
However, a non-cash impairment of $556m linked to India’s sudden ban on real-money gaming pushed the Group to a net loss of $407m. Free cash flow fell to $407m as capex and interest picked up following acquisitions in Italy and Brazil and the FanDuel buyout step-up.
| FY 2025 headline numbers | ||
|---|---|---|
| Revenue | $16,383m | +17% YoY |
| Adjusted EBITDA | $2,845m | +21% YoY |
| Adjusted EBITDA margin | 17.4% | +60bps YoY |
| Net income (loss) | $(407)m | vs $162m in 2024 |
| Adjusted EPS | $7.94 | +9% YoY |
| Free cash flow | $407m | -57% YoY |
| Leverage ratio | 3.7x | 2.2x in 2024 |
Q4 2025: big top line, higher costs deflate net profit
Q4 revenue rose 25% to $4,737m, with Adjusted EBITDA up 27% to $832m. Net income fell 94% to $10m due to a swing in tax (a $198m credit last year turned into a $144m expense), higher depreciation and amortisation from M&A, and increased interest expense.
- US revenue up 33% to $2,142m, Adjusted EBITDA up 90% to $310m.
- International revenue up 19% to $2,595m, Adjusted EBITDA up 6% to $588m.
- Group AMPs up 3% despite the India exit.
US update: FanDuel still number one but ‘recycling’ dents handle
Flutter retained US leadership with 41% sportsbook GGR share and 28% iGaming GGR share in Q4. Sportsbook net revenue margin was 8.9% in the quarter, up 220bps year over year, helped by a structural revenue margin of 15.5% and more bookmaker-friendly results versus last year.
Handle (the total amount wagered) grew just 3% as the market digested a run of high margins that reduced punters’ bankrolls – the “recycling” effect. FanDuel’s generosity playbook did not fully offset this at the time, and market share slipped late in the NFL season. Even so, Missouri launched strongly with a 44% GGR share, and FanDuel Casino delivered 33% revenue growth with AMPs up 18%.
- US sportsbook revenue +35% to $1,497m; iGaming +33% to $586m.
- Promotional spend rose to 5.8% of sportsbook revenue, reflecting Missouri and targeted investment.
- Management expects a sequential improvement through 2026 as product, loyalty and generosity are refreshed.
International: Italy and CEE strong; India exit and sports results cloud the picture
International revenue grew 19% in Q4, or 14% in constant currency, with iGaming up 31%. Excluding M&A, International revenue was 1% lower due to customer-friendly sports results and the India market exit.
- Southern Europe and Africa +105% (or +23% excluding M&A), led by Italy where Sisal extended online leadership by six percentage points and PokerStars Italy migration drove 13% revenue growth.
- CEE +17% with record share in Georgia above 33%.
- UK & Ireland -9% as adverse sports results hit sportsbook, partly offset by double-digit iGaming growth and Sky Bet’s platform migration savings.
- APAC -10% on the cessation of real-money iGaming in India.
Adjusted EBITDA rose 6% to $588m, with margin of 22.7% reflecting a deliberate investment phase in Brazil. The integration machine keeps turning, with Sky Bet, PokerStars migrations and the planned Snai online move to Flutter’s SEA platform in H1 2026 underpinning targeted cost savings of $300m by 2027.
Prediction markets: a new US growth lane with near-term investment
FanDuel Predicts launched late in Q4, offering sports in 18 states and non-sports in all 50. Revenue is not included in 2026 guidance, but adjusted EBITDA investment is expected toward the top of the previously guided $200m to $300m range. Management sees this category as TAM-expanding and strategically helpful for eventual broader US regulation.
Balance sheet, cash and buybacks: M&A lifts debt, buybacks go flexible
Available cash stood at approximately $1.8bn at year-end. Net debt increased to $10,591m after financing Snai, BetNacional and buying out Boyd’s 5% of FanDuel. Leverage rose to 3.7x (3.6x including Snai’s pre-acquisition EBITDA).
The company has returned $1.12bn since starting share repurchases, including $245m in Q4. In 2026, Flutter will adopt a flexible cadence, starting with approximately $250m in H1 while prioritising strategic investment.
2026 guidance: revenue growth, modest EBITDA uplift, heavier opex
Guidance through 22 February points to another year of growth, though adjusted EBITDA only nudges higher as Flutter invests in the US and Brazil and absorbs UK tax changes.
| 2026 guidance midpoints | Amount | YoY |
|---|---|---|
| Group revenue | $18.4bn | +12% |
| Group adjusted EBITDA | $2.97bn | +4% |
| US revenue | $7.8bn | +12% |
| US adjusted EBITDA | $1.05bn | +14% |
| International revenue | $10.6bn | +13% |
| International adjusted EBITDA | $2.23bn | +1% |
| Unallocated corporate overhead | $(310)m | n/a |
| Interest expense, net | ~$(610)m | n/a |
| Capital expenditure | ~$(855)m | n/a |
US assumptions include a measured view of market handle recovery, a new state adjusted EBITDA loss of $70m, and higher Predicts investment. International assumes about $70m of Brazil investment, UK tax increases from April 2026, and the full-year impact of the India exit. Timing matters: the US expects only about 13% of full-year adjusted EBITDA in Q1, with improvement later in the year.
What it means and why it matters
Positives I’m leaning into
- Scale and leadership: 41% US sportsbook and 28% iGaming GGR share, plus strengthening positions in Italy and CEE. Scale supports better product, pricing and unit economics.
- Structural margin advantage: US sportsbook structural margin at 15.5% in Q4 and 14.2% for 2025 is a real differentiator that compounds over time.
- Execution on integrations: Sky Bet, PokerStars and upcoming Snai migrations underpin the $300m cost-savings plan by 2027.
- Product roadmap: loyalty revamp, generosity optimisation and exclusive iGaming content should help retention as the US market normalises.
Watchouts on my dashboard
- India exit hangover: 2026 headwind of approximately $250m revenue and $90m EBITDA, plus the $556m non-cash impairment already recognised.
- Handle recovery uncertainty: management is candid that timing is unclear after Q4’s recycling impact. A slower rebound could weigh on near-term US growth.
- Higher interest and D&A: interest expense rose to $515m in 2025 and is guided to ~${610}m in 2026, while D&A stays elevated. That caps statutory net income even as EBITDA grows.
- UK tax step-up: iGaming tax moves to 40% from April 2026. Flutter expects first-order mitigation, but sector profitability will be pressured.
- Investment drag: Predicts and Brazil spend are strategically sensible but keep 2026 EBITDA growth modest.
Catalysts to watch in 2026
- US product and loyalty upgrades driving sequential market share gains as the year progresses.
- FIFA World Cup 2026 and the related acquisition push in Brazil, where customer volumes are already rising.
- Snai online migration to the SEA platform in H1 2026 and further PokerStars migrations, unlocking synergy and content benefits.
- Buyback cadence updates after the initial $250m in H1 and progress on leverage reduction from 3.7x.
Quick jargon buster
- AMPs: Average Monthly Players – unique paying customers per month, averaged over the period.
- Handle: the total amount staked by customers.
- GGR share: share of gross gaming revenue in a market.
- Adjusted EBITDA: a proxy for operating cash earnings before interest, tax, depreciation and amortisation
