Flutter Entertainment suffered a huge hit to its profit performance in 2025, a change in fortunes impacting the status of one of the world’s largest betting and igaming PLCs.
The NYSE/LSE co-listed business, owner of market leading brands across the US, UK, Ireland, Brazil, Italy and others, published its Q4 and FY2025 accounts last night.
Flutter’s revenue profile remains unmatched growing in both the final quarter and across the full 12 months to $16.4bn (£12.5bn), up 17% on FY2024 results of $14.0bn. However, net income results portray a stark difference down 351% from $162m to a loss of $407m for the whole of 2025.
FY2025 accounts booked a $515m impairment in H2, related to the full closure of the Junglee brand in India as a result of the Modi government’s decision to ban all real money games and apps as of 22 August 2026
Factors beyond the Junglee impairment, saw FY2025 accounts reflected a significantly higher cost base, as full-year technology investment stood at $991m (+20%) and sales and marketing expenses climbing to $3.7bn (+14%).
Weighed down by lower sportsbook margins, Flutter saw operating profit fall sharply to just $36m, down from $870m recorded in FY2024.
In Q4, net income was down 94% from $156m to $10m. Adjusted EBITDA did fare better, up 21% for FY25 from $2.3m to $2.8m and up 27% during the fourth quarter from $655m to $832m. Nonetheless, the blow to net income leaves leadership with a lot to consider.
The dip in net income was attributed to the EBITDA growth from US expansion and M&A – 2025 having been yet another active year for acquisitions for Flutter. Higher income tax and interest expenses, and net and non-cash amortisation of acquired assets were also cited.
Flutter remains confident, expecting the World Cup to provide a solid boost this year while continuing to make progress in the US. It also expects its foray into US predictions, via the launch of FanDuel Predicts in December, to begin making an impact this year.
Regarding US activity, the company now claims 41% market share of US-wide sports betting gross gaming revenue and 28% share in iGaming, as of Q4, with revenue up 35% for the former and 33% for the latter.
Group wide revenue grew 17% for the full 12 months of last year, coming in at $16.4m (2024: $14m) and grew 25% during Q4, coming in at $4.7m ($3.8m).
Peter Jackson, Flutter Chief Executive Officer, commented: “Flutter delivered strong 2025 results. Our unparalleled global scale and ongoing product innovation helped us reach almost 40 million customers across our portfolio of market-leading, local hero brands during the year.
“We made clear progress against our strategic priorities; maintaining our US leadership position in both sportsbook and iGaming; entering an exciting and incremental new category in the US with the launch of FanDuel Predicts; completing our strategic acquisitions of Snai and NSX; and delivering several important milestones across our International segment’s transformation programmes.”
Around the World
US activity is now the biggest growth driver for Flutter, and has been for some time with FanDuel’s revenue dwarfing that of many of its other international assets – Sky Bet and Paddy Power in the UK and Ireland, Sportsbet in Australia, Snai and Sisal in Italy, Betnacional in Brazil and Maxbet in Serbia.
The International division saw revenue grow 19%, with betting revenue up 6% and iGaming up 331%. The group reported a particularly strong performance in Southeast Europe, Central and Eastern Europe, and Asia, despite acknowledging India headwinds as a result of last year’s real money games (RMG) ban.
“Flutter SEA achieved overall Q4 online market leadership in Italy, with Sisal extending its lead to six percentage points, through a strong product offering and the effective use of Flutter Edge capabilities,” said Jackson.
In the UK and Ireland, the situation is a little more patchy. Overall revenue was down 1% for the full year and 9% in Q4, with sports betting dragging iGaming – for FY25, betting revenue was down 13% while iGaming was up 13%.
This comes amid major changes in both the UK and Ireland. In the latter, where Flutter’s roots lie, a new regulatory regime is in full swing; the freshly formed Gambling Regulatory Authority of Ireland (GRAI) is taking charge of the market.
In the former, the recommendations of the Gambling Act review White Paper, published in April 2023, are still being adopted, while the industry gears up for a heavy showdown with the illegal market. The biggest challenge of all is in the new tax regime set to come into force in April this year, expected to deal a huge blow to IGaming profit margins.
In a letter to shareholders, Jackson wrote: In UKI, the Sky Bet migration to the Flutter proprietary platform delivered the expected cost savings and positions the brand for stronger long‑term growth.
“Following the planned pre‑migration development freeze and post‑migration bedding‑in period, we are now accelerating customer‑facing investment to restore momentum.”
He added: “The first phase of UK gambling tax increases will see iGaming rates almost double to 40% from April 2026, and we are already executing robust first-order mitigation plans, while leveraging our scale advantages will capture regulated market share over time.”
Elsewhere, Flutter’s new position in Brazil got off to a tricky start with revenue down 32% for the full year, though as Betnacional was not fully acquired until May 2025 and the Brazil market went live in January 2025 comparatives will have been difficult.
Leadership continues to recognise Brazil as a ‘significant growth opportunity for Flutter’, in Jackson’s words. The CEO labelled Brazil ‘a large regulated market with strong medium-term growth prospects, and expressed confidence in Betnacional performance.
“BetNacional’s local market expertise, enhanced by Flutter’s broader capabilities, is already delivering results with customer volumes up 51% since the start of the year, driven by improved Casino offerings and digital marketing integration,” Jackson remarked.
“Our strategic plan in Brazil brings together proven Flutter Edge capabilities, including in‑house pricing, our proprietary Bet Builder product, and enhanced generosity tools.
“This will be combined with an increase in our investment plan designed to maximize the customer‑acquisition opportunity presented by the 2026 FIFA World Cup in a soccer-obsessed market, and grow our market position.”
The path ahead
2026 is set to a truly mixed year for Flutter. In Europe, Italy stands out as the biggest prospect, with various stakeholders responding well to the initial stages of the re-regulated market, despite betting taking more time to adjust than iGaming.
The UK will be the bigger outlier here, and Flutter, like many others, will be tested in how it responds to the forthcoming April tax challenge. Taxes are also incoming in Brazil, much earlier than many expected with the Bets market being barely a year-and-a-half old.
As has been the case for the past couple of years, the US will continue to stand out as Flutter’s biggest market – though even here, leadership had to acknowledge some ‘noise and soundings around tax increases in certain states’ while speaking to investors yesterday.
Flutter’s guidance for 2026 puts group wide revenue at $18.4bn with adjusted EBITDA of $2.97bn, representing YoY growth of 12% and 4%.
International revenue is expected to grow 13% to $10.6bn and adjusted EBITDA by 1% to $2.23bn. US revenue is expected to rise 12% to $7.8bn and adjusted EBITDA by 14% to $1.05bn.
Jackson concluded: “Looking ahead, we have a clear plan in place to navigate recent US trends and we continue to see a significant runway for growth in a dynamic market as we increasingly convert our scale, technology and customer proposition into sustained profitability.
“With a pivotal calendar of global sporting and iGaming moments ahead, including the World Cup, we are focused on capturing the full breadth of these opportunities in 2026 and beyond.”