FanDuel becomes first U.S. online sportsbook to post a quarterly profit, as parent company Flutter’s shares soar

FanDuel becomes first U.S. online sportsbook to post a quarterly profit, as parent company Flutter’s shares soar

Article brief provided by Yahoo Finance
  • Josh Schafer, Yahoo Finance
August 13, 2022 2:29 PM
  • Josh Schafer, Yahoo Finance

    FanDuel Sportsbook reported its first quarterly profit on Friday, marking a seismic shift in the sports gambling industry.

    The company’s CEO Amy Howe stated the positive balance sheet came even as FanDuel leaned in harder than expected to acquire customers.

    “Q2 profitability was a function of the player values [being] incredibly strong,” Howe told Yahoo Finance Live. “And what we’re seeing candidly coming out of the Super Bowl, is if you look at the relationship between our player values and customer acquisition costs, that formula was great.”

    FanDuel and competitors such as DraftKings, Caesars Entertainment, BetMGM, and Penn National have all spent generously on advertising, content acquisitions, and promotional betting lines as new states have legalized mobile sports wagering.