Flutter Entertainment plc (FLUT) Tops Q2 EPS by $1.05
Flutter Entertainment plc (NYSE: FLUT) reported Q2 EPS of $2.61, $1.05 better than the analyst estimate of $1.56. Revenue for the quarter came in at $3.61 billion versus the consensus estimate of $3.39 billion.
Full year 2024 guidance
Guidance is raised driven by our excellent performance in Q2, the benefit of positive sports results, and momentum into Q3. We now expect the following revenue and Adjusted EBITDA2,3 ranges:
US: revenue $6.05bn to $6.35bn and Adjusted EBITDA $680m to $800m (previous: revenue $5.8bn-$6.2bn, Adjusted EBITDA $635m-$785m). This represents revenue and Adjusted EBITDA2 mid-points of $6.2bn and $740m with year-over-year growth of 41% and 219%, an improvement of 3% and 4% respectively to the previous midpoints. Guidance includes:
| • | Sports results benefit in Q2 |
| • | $50m gross impact from tax changes in Illinois in H2 with expected initial mitigation of $10m resulting in a net cost of approximately $40m in 2024. Cost of sales as a percentage of revenue now expected to be approximately 56.8% of revenue (previous guidance 56.5%) |
| • | Expect seasonality of investment at the start of the NFL season to result in a small Adjusted EBITDA2 loss in Q3 2024 with the majority of Adjusted EBITDA2 arising in Q4 2024 |
Group Ex-US: revenue $7.85bn to $8.15bn and Adjusted EBITDA $1.69bn to $1.85bn (previous: revenue $7.65bn-$8.05bn, Adjusted EBITDA $1.63bn-$1.83bn). This represents revenue and Adjusted EBITDA2 mid-points of $8.0bn and $1.77bn, both representing year-over-year growth of 8% and an improvement of 2% to the previous midpoints. Guidance reflects:
| • | Sports results benefit from the Euros in Q2 and Q3 |
| • | Adjusted EBITDA in Australia of approximately $270m (from approximately $250m) driven by the benefit of positive sports results in Q1 2024 and Q2 2024 and underlying trends as expected |
For earnings history and earnings-related data on Flutter Entertainment plc (FLUT) click here.