Rush Street Interactive executives were besieged by Wall Street stock analysts in its fourth quarter earnings call yesterday, who wanted to know if or when the company was going to enter prediction markets. The former remained mostly firm in their demurral.
Chief Executive Richard Schwartz had addressed the topic glancingly in his opening remarks, saying prediction markets were primarily benefiting from sports betting, “which is not a priority for us.” He added that event contracts were a subject of constant evaluation at Rush Street.
Rush Street was, he said, unique in terms of leading with igaming rather than sports betting. Igaming players, Schwartz explained, tend to demonstrate higher retention rates and greater lifetime value to the company.
Asked if Rush Street’s business was being cannibalized, Chief Finance Officer Kyle Sauers replied, “It’s hard to tell. It doesn’t appear it’s hurting our online sports betting business.” In Delaware alone, he said, Rush Street saw revenue increases of 50% month over month, for the past four months.
