A leading sports betting provider in the United States reported earnings this week. The comments made by the company highlighted the huge sports betting handle being seen for National Football League games.
What Happened: FanDuel parent Flutter Entertainment PDYPY reported third-quarter revenue Tuesday that was up 12% year-over-year.
The highlight for the company may have been its U.S. segment, which saw revenue grow 85% year-over-year. Flutter reported 42% market share for online sports betting in the U.S. in the third quarter. The company reported it had 1.9 million average monthly players in the month of September.
“In the U.S. we maintained our leadership position, with the quality of our product offering leading to high levels of customer engagement,” the company said.
The start of the National Football League was expected to be a catalyst for sports betting stocks, but might be even bigger based on comments from Flutter.
“The customer response has been very encouraging with FanDuel now regularly experiencing staking levels on Sundays that match its 2021 Super Bowl performance.”
Flutter also reported strong early betting figures for National Basketball Association games.
FanDuel was live in 12 states at the time of it reporting third-quarter earnings.
Why It’s Important: Week one of the NFL season kicked off on Sep. 9 with Thursday Night Football. The NFL season had three full weeks of games in the month of September, which could make the next quarter even stronger for Flutter and other sports betting operators.
DraftKings Inc DKNG reports quarterly earnings on Friday, Nov. 5. The company is a pure play online sports betting company that could see similar strength from the NFL betting handle increasing.
Penn National Gaming PENN, which owns a stake in Barstool Sports and Barstool Sportsbook, reports earnings on Thursday, Nov. 4.
The Super Bowl saw a record betting handle. Comments from FanDuel that each NFL week is seeing similar numbers puts into perspective how fast sports betting is growing and how the NFL season is a major catalyst for sports betting operators.
Another company to watch is Genius Sports GENI, which signed a deal to be the official data provider of NFL data to sports betting operators.
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