Flutter Entertainment PLC (FLUT) Q4 2024 Earnings Call Highlights: Strong Revenue Growth Amid ...
Release Date: March 04, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Flutter Entertainment PLC (NYSE:FLUT) reported a strong financial performance with a 19% revenue growth and a 26% increase in adjusted EBITDA for 2024.
The company solidified its leadership position in the US market, achieving a 43% market share in sports betting and 26% in iGaming.
Successful expansion into new markets, including North Carolina and Vermont, and the addition of Maxbet in the international business.
The introduction of innovative products like the 'Your Way' customizable betting option and the FanDuel Casino Rewards Club has driven customer engagement.
Flutter Entertainment PLC (NYSE:FLUT) is on track to achieve its 2027 goals, with a focus on strategic growth and cost efficiency programs expected to deliver over $300 million in annualized cost savings by 2027.
The company faced adverse sports results in the US, particularly in the NFL, which impacted revenue and adjusted EBITDA by approximately $550 million and $360 million, respectively, in Q4 2024.
There is a potential risk of increased state gaming taxes in the US, which could impact profitability.
The racing market in Australia showed softness, leading to an 8% decline in revenue, despite positive player-driven momentum in sports.
The Italian market saw some share loss in the second half of 2024, which the company aims to address post-acquisition of Sny.
The competitive environment in Brazil is challenging, with up to 200 companies applying for licenses, which could impact Flutter Entertainment PLC (NYSE:FLUT)'s market entry strategy.
Warning! GuruFocus has detected 2 Warning Signs with FLUT.
Q: Can you elaborate on the $90 million investment losses in new states like Missouri and Alberta, and discuss the customer acquisition environment? A: (CFO Rob Coldrake) We expect to launch in Missouri in Q4 and Alberta in Q1 2026. Missouri's launch will incur around $80 million in costs, with Alberta adding $10 million for pre-launch investments. (CEO Peter Jackson) We're pleased with our customer acquisition strategy, exiting 2024 with a larger business than anticipated, and we see continued opportunities for growth.
Q: Could you provide insights on the customer acquisition trends between iGaming and core sportsbook, and the expected benefits of new product integrations? A: (CEO Peter Jackson) We're seeing strong growth in iGaming, driven by product innovations like the reward machine jackpots and the Fanjo Casino Rewards Club. These initiatives are enhancing customer acquisition and cross-selling into the sportsbook.
Q: What are the early learnings from the "Your Way" product rollout, and how are you managing the structural hold rate? A: (CEO Peter Jackson) The "Your Way" product saw good engagement during the Super Bowl, with 1 in 20 customers using it. We're focusing on simplifying the user experience and managing associated risks. (CFO Rob Coldrake) We're not guiding specifically on hold for 2025, but we're making progress towards our long-term targets.
Q: How are you addressing the impact of higher tax rates in Illinois, and what is your outlook on potential iGaming legalization? A: (CFO Rob Coldrake) The impact in Illinois was in line with expectations, and we aim to mitigate 50% of the growth factor in 2025. (CEO Peter Jackson) We're optimistic about launching in new states and expect continued momentum in iGaming legalization.
Q: Can you discuss your strategy for expanding in South and Latin America, particularly in Brazil? A: (CEO Peter Jackson) We're excited about working with NSX and plan to leverage our products and technology in Latin America. The Brazilian market is competitive, but we are confident in our ability to succeed given our track record and capabilities.
Q: How do you view media rights partnerships in the US, especially with changes in broadcast deals? A: (CEO Peter Jackson) We've been disciplined in negotiating contracts and are adapting to changes in media rights and streaming. Our scale helps us invest in acquiring the right types of rights to ensure customer access to sports content.
Q: What is your investment strategy in Brazil following the regulated market launch? A: (CFO Rob Coldrake) Brazil's market was already functioning before regulation, so it's different from a US state launch. We're working towards $100 million in losses for this year, with competition for media assets expected to shake out quickly.
Q: What are the key drivers behind the US revenue growth exceeding original guidance, and where do you see potential upside in 2025? A: (CEO Peter Jackson) We ended 2024 with a larger business than anticipated, particularly in iGaming. Progress in parlay offerings and structural hold improvements contributed to exceeding guidance. We remain on track for our long-term targets.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
This article first appeared on GuruFocus.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Luxury Real Estate Brokerage Rocked By Scandal Gets Surprise Takeover Offer Worth Twice Its Market Value
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Embattled real estate brokerage Douglas Elliman Inc. (NYSE:DOUG) saw its stock price briefly soar to almost twice its market value on May 27 following news of a takeover offer from rival Anywhere Real Estate (NYSE:HOUS), according to Bloomberg. The merger proposal would value the company at over $4 a share. However, Bloomberg reported that Elliman was unlikely to accept the offer, noting that the offer included selling the company's property management business as part of the deal. The proposed purchase would give Anywhere a sizable foothold in some of Douglas Elliman's key markets, including New York and Miami. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Invest Where It Hurts — And Help Millions Heal: Despite brand recognition and being involved in some of the biggest deals of the last few years, including hedge titan Ken Griffin's $238 million record-breaking penthouse purchase at 220 Central Park South, Douglas Elliman has seen its valuation tumble to $190 million from a peak of over $900 million in December 2021, when it was spun off into standalone company by the Vector Group (NYSE:VGR), Bloomberg reported. The biggest issue Douglas Elliman has faced in recent years is the fallout from lawsuits against former high-profile agents Tal and Oren Alexander. Although the brothers left the firm in 2022 to form their brokerage, Official, multiple allegations of rape and sexual assault saw them charged with sex trafficking by federal prosecutors. Their alleged crimes date back to their tenure at Douglas Elliman. According to a federal indictment handed down on Dec. 11, the brothers had conspired in their alleged sex trafficking since 2009. There were other scandals at the brokerage as well. Former CEO Howard Lorber retired last year after disclosing in an internal inquiry that he was intimate with two brokers, Bloomberg reported. Trending: This Jeff Bezos-backed startup will allow you to . Michael S. Liebowitz, Douglas Elliman's current CEO, has focused on implementing austerity measures, according to Bloomberg, and growing the firm's development marketing business. It has borne fruit, with the company reporting $253 million in revenue in the first quarter, a 26.5% year-over-year increase. 'By focusing on high-impact areas like Development Marketing, we're driving growth and reinforcing our position as the leader in the luxury market – delivering our highest first-quarter revenue since 2022 with significant reductions in operating losses,' Liebowitz said in a statement. 'We are optimistic about our trajectory, and we are committed to staying nimble in our core business. With our strong balance sheet as well as continued investment in the agent experience and new technologies, I am confident that we will continue to build long-term growth and enhance stockholder value.' The company recently launched its new digital platform, which includes Elliman Inspirations, an AI-powered home discovery tool that personalizes property searches and facilitates collaboration between agents and clients. Read Next: With Point, you can , which provides access to a pool of short-term loans backed by residential real estate with just a $100 minimum. Image: Shutterstock This article Luxury Real Estate Brokerage Rocked By Scandal Gets Surprise Takeover Offer Worth Twice Its Market Value originally appeared on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Yahoo
Meet What's New with Florida's Historic Coast's New Amenities
2025 brings new flights, fresh bites, and an endless list of hot things to do. Hastings farming heritage is celebrated in new mural Newly reconstructed Fort Mose St. Augustine, FL, June 08, 2025 (GLOBE NEWSWIRE) -- Florida's Historic Coast is the place to stay and play this summer and into the Fall with tons of new amenities and adventures to elevate any trip. New Places to StayNow under construction, the AC Hotel St. Augustine by Marriott, situated on the San Sebastian River in St. Augustine's Historic District, is bringing a thoughtful perspective on luxury. Slated to open this fall, the new space features 142 guest rooms, 1,500 square feet of meeting space, a lounge serving cocktails and a curated menu, the latest in integrated technology, and a 65-slip marina. Nestled in the heart of St. Augustine's historic district, guests at Yalhalla at Griffin Estate, a meticulously restored rental property offers a blend of modern comfort and old-world elegance, featuring a private pool, spa and fire pit, pool table, bar, 4 king suites, and more. Yallaha at Griffin Estate is perfect as a destination for wedding parties and large families looking for luxury enjoy easy access to iconic landmarks, vibrant dining, and shopping. Fresh BitesRagga Surf Cafe has brought its laid-back beach vibe to the San Sebastian Riverfront on Riberia Street. It has fresh, scratch-made breakfast and lunch specialties served alongside specialty coffee drinks. The Floridian, a pioneer in St. Augustine's farm-to-table movement, will lose its doors in the Historic District to bring two new wild ideas to life: Bea's Fine Foods + All Day Café and Jefe's Fish Wagon. Both will be located on Anastasia Blvd. and are set to open Summer of 2025. Bea's Fine Food + All Day Café is named after co-owner/chef Genie McNally's grandmother, Bea's will be a fun, fresh, and inventive take on some of her favorite things. Jefe's Fish Wagon will feature fully customizable burritos and sandwiches served up from the brand-new food truck. Castillo Craft Bar + Kitchen is now home to Executive Chef Donald 'Don' Green, whose extensive banquet experience will elevate the Renaissance St. Augustine Historic Downtown's event and meeting spaces. Meehan's Irish Pub + Seafood House announced that homegrown Chef Corey Brown will helm the traditional Irish scratch kitchen. Lynda's at the Ocean Club Restaurant, part of the newly renovated Ponte Vedra Ocean Club, hired Chef Luis Abbey, previously at the Westin Resort in Jekyll Island, GA. Michael's is now open in its new coastal location at the Hyatt Place Vilano Beach, where Chef Michael Lugo continues serving his inspired fare, paired with an award-winning wine list. Two new spaces opened in Historic Downtown St. Augustine: Saint and The French Pantry. Saint offers Italian fine dining with a beautiful courtyard and open-air balcony seating right on the bayfront. Recently opened on 36 Granda Collective concepts, featuring The French Pantry, serving French-inspired baked goods and heartier fare, along with Little Miss Ha, La Petite Kitchen, and Cache Cache. Each brings a unique perspective to the shared culinary experience. In nearby Hastings, the Hastings Coffee Company has become the place for coffee and community where guests gather and chat over espresso drinks, hand-poured coffees, and locally sourced treats. Explore and PlaySt. Augustine's Florida Water Tours is welcoming a new boat to its fleet. 'Great Blue Heron' will be ready to help passengers discover the real Florida this summer, with ecotours, sunset cruises, wine tastings, and more. Rated for 49 passengers, the family-owned and operated outfit can now accommodate 109 passengers between its three boats. I n Ponte Vedra, TPC Sawgrass has promoted Matt Borocz to General Manager of the expansive Ponte Vedra property, which hosts the international THE PLAYERS Championship and encompasses two world-class golf courses, NINETEEN restaurant, and over 13,000 square feet of banquet and meeting space. The settlement of Garcia Real de Santa Theresa de Mose, now referred to as Fort Mose Historic State Park, was established in 1738 as the first free black settlement in the United States and was inhabited by former slaves, who escaped through the original Underground Railroad, which flowed from Georgia and the Carolinas to Spanish St. Augustine. Fort Mose Historic State Park serves as a historical and cultural destination and features a newly opened reconstruction of the fort structure, and after 30 years of work, Fort Mose has once again become a tangible structure. The replica fort, new centerpiece of the park opened in May 2025, and was constructed at a cost of $3 million, raised through grants, donations, and fundraising events like the annual Fort Mose Jazz & Blues Series. Fort Mose is open Thursday through Monday, from 9 a.m. to 5 p.m. with guided tours of the new fort are at 10 a.m. and 1 p.m. Concerts at the St. Augustine Amphitheatre just got way cooler, with the addition of The Amp Shop and Box Office, offering exclusive Amphitheatre-branded apparel, collectibles, and in-person concert ticket sales to avoid online ticketing fees. The expansion also includes The Kookaburra Coffee Outpost, a full-service coffee shop offering a comprehensive menu of coffee, espresso, house-made baked goods, and retail coffee products. August 1, 2025 will mark the reopening of the Ponte Vedra Concert Hall, an indoor live music venue that has undergone an extensive renovation designed to elevate the listener experience. The Hall is hitting the ground running with a full slate of performances, including Dan Tyminski Band, Sister Hazel, and Melissa Etheridge. Tickets for the summer/fall line-up of performers are now on sale. The rural community of Hastings has added a new piece to its growing public art collection with a mural by Kelsey Montague. Secured through the St. Johns Cultural Council's Art in Public Spaces grant program the artwork celebrates the area's rich farming heritage with vibrant imagery of local crops, native wildlife, and an interactive vegetable cart pulled by a real bicycle. And, St. Johns County's multigenerational Treaty Park is now home to 12 new pickleball courts, bringing the total to 20 courts, making it the perfect location for some friendly competition. FlightsGetting here is easier with new flight options. Jacksonville International Airport (JAX) now offers nonstop flights to New Castle, Delaware, through Avelo; a route to Austin, Texas, courtesy of Delta Airlines; and Allegiant started direct service to JAX from Des Moines, Iowa, Grand Rapids, Michigan, and Akron-Canton, Ohio. Arajet is expanding into the Orlando market with new nonstop service between Orlando Sanford International Airport and Punta Cana International Airport in the Dominican Republic. In addition to their existing service at JAX, Breeze Airways will begin service between Daytona Beach International Airport and Akron-Canton, Ohio, as well as Ocean City, Maryland, this fall. Coming with a group or looking for a meeting spot that strikes a balance between work and play? Be sure to download the new Group Travel Guide, the penultimate tool for planning meetings and group events. Located midway between Daytona Beach and Jacksonville, Florida's Historic Coast includes historic St. Augustine, the outstanding golf and seaside elegance of Ponte Vedra, the rural beauty of Hastings, Elkton, St. Johns, and 42 miles of pristine Atlantic beaches. Visitor Information Centers are located at 10 Castillo Drive, St. Augustine; 200 Solana Rd. Suite B, Ponte Vedra Beach: and at the St. Johns County Beach Pier Park, 350 A1A Beach Blvd., St. Augustine Beach. For advance travel information, call 1.800.653.2489 or go to the Visitors and Convention Bureau website at Check us out on social media Instagram @FloridasHistoricCoast; @ViajaStAugustine, and and Twitter @FlHistoricCoast # # # Attachments Hastings farming heritage is celebrated in new mural Newly reconstructed Fort Mose CONTACT: Barbara Golden St. Augustine, Ponte Vedra & The Beaches Visitors & Convention Bureau 9046698142 Bgolden@ in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 hours ago
- Yahoo
Hims & Hers Stock Is Soaring Again. But Should You Buy the Stock?
Hims & Hers stock is on the upswing after the company secured a weight-loss drug partnership. Hims & Hers is acquiring its way into Europe and wants to build more personalized drugs for its telehealth customers. Shares have soared, but still have a ton of potential for patient long-term shareholders. 10 stocks we like better than Hims & Hers Health › Many companies have failed to disrupt the complicated U.S. healthcare market. Hims & Hers (NYSE: HIMS) may finally be succeeding in cracking the code. The online telehealth platform focuses on circumventing the insurance market; its business of selling affordable medications directly to individuals is growing like a weed, and expects to generate $6.5 billion in revenue by 2030. It has had a tumultuous start to 2025, as Hims & Hers waged a battle to sell new weight loss medications on its online marketplace. Now, with momentum back on its side, the stock is up 118% year to date and 446% in the last five years. Let's take a deeper look at this company, and see whether you might want to buy Hims & Hers stock for your portfolio now. Hims & Hers' model is simple. It has two separate web platforms -- Hims for men and Hers for women -- that sell medications and deliver to customers' front doors. It began with sexual health, but has moved into dermatology, hair loss, mental health, and now weight loss medications. A key to its success has been avoiding the insurance market with products that don't break the bank. Customers loathe dealing with health insurers in the United States, and sometimes would rather not use insurance at all. Plus, some of these products aren't covered by insurance. This strategy has helped the company close in on over $2 billion in projected revenue in 2025. To keep up this impressive growth, Hims & Hers wants to offer weight loss medications, which have been a blockbuster set of drugs for the pharmaceutical market. For a while the popularity of these drugs, such as Novo Nordisk's Wegovy, left them in short supply; that allowed third parties such as Hims & Hers to produce them as a compounding pharmacy and sell them at much cheaper prices. This ended up generating $200 million of Hims & Hers' $1.4 billion in 2024 revenue. But with the shortage of Wegovy over and the compounding pharmacy exception ended, the company's weight-loss business was at a major turning point. Luckily, at the end of April Hims & Hers announced a partnership with Novo Nordisk that seems to resolve this issue: It gives Hims & Hers the ability to sell Wegovy directly on its platform. Hims & Hers is not an exclusive supplier of the drug -- or any drugs on its marketplaces, to be fair -- but it hopes to use its subscription business model, marketing expertise, and simplified user proposition to drive sales for Novo Nordisk in the huge obesity-care market. Besides weight loss drugs, Hims & Hers has more ambitions to reach its goal of $6.5 billion in revenue by 2030. Just recently, the company announced its intent to acquire European competitor Zava so it could expand its telehealth service to Europe. The acquisition will add a platform with 1.3 million active customers in the U.K., Germany, France, and Ireland. It makes sense that Hims & Hers can supercharge growth for the platform with its plethora of medications offered to customers, keen marketing skills, and subscription-based selling model. Over the long run, Hims & Hers aims to make healthcare for its customers more personalized. This includes unique drug combinations, its own outsourcing facility, and at-home testing capabilities. Details remain sparse, but the vision is clear: disrupting more and more of the trillions of dollars spent on healthcare by building a business that people actually enjoy interacting with. This is why 2.4 million active customers use Hims & Hers today. A revenue goal of $6.5 billion seems well within reach by 2030. Hims & Hers is only at 2.4 million active customers, and there are tens of millions of people in the United States alone who could start using or switch to one of its telehealth platforms. Add on the Zava acquisition in Europe, and the runway for growth gets even larger. The company has an impressive gross profit margin of 77%, which should lead to high levels of profitability at scale. On $6.5 billion in future revenue, it could very well post a net profit margin of over 20%, and achieve $1.5 billion in bottom-line profits and free cash flow. A 20% profit margin is easily achievable because of its high gross margins and the fact it currently spends 40% of revenue on marketing today, a figure that has come down over time and should come down even more as Hims & Hers keeps scaling. However, Hims & Hers has played fast and loose with laws and regulations in the past. It sold weight loss drugs when the legality of doing so was unclear, and although that dispute seems to have been resolved, management could easily start playing with fire again and burn its reputation as a trusted provider of medications. Otherwise, this looks like a fantastic growth stock that just doubled its addressable market with the Zava acquisition. Today, Hims & Hers has a market cap of $12.3 billion. You might think it's overvalued because of the stock's recent run-up in price, but the numbers show that patient investors could be rewarded by holding for the long term. A $12.3 billion market cap is only around 8 times my 2030 earnings estimate of $1.5 billion, which would be a dirt cheap price-to-earnings (P/E) ratio for a fast-growing company compared to the current market cap. Most likely, the stock will be valued at a higher multiple than 8, meaning that the stock will be higher in five years. It doesn't come without risks, but if you're a growth investor, you might love Hims & Hers stock for its long-term potential. Before you buy stock in Hims & Hers Health, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Hims & Hers Health wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 2, 2025 Brett Schafer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Hims & Hers Health. The Motley Fool recommends Novo Nordisk. The Motley Fool has a disclosure policy. Hims & Hers Stock Is Soaring Again. But Should You Buy the Stock? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
