Q2 FY2026
Filed Aug 5, 2026Flutter reported Q2 2026 revenue growth of +3% but a net loss of $296 million, with adjusted EBITDA down (45)% and full-year revenue and adjusted EBITDA guidance reduced.
M&A-supported Group revenue growth, International growth and improved US underlying sportsbook trends were offset by an adverse US sports-results swing, lower AMPs following the India closure, tax provisions, higher M&A-related costs, sharply lower adjusted EBITDA and reduced full-year guidance.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Average monthly players (AMPs) ('000s')other | 14,287 | – | (11 )% |
| RevenueGAAP | $4,326 million | – | +3 % |
| Net (loss) incomeGAAP | ($296 ) million | – | (900 )% |
| Net (loss) income marginGAAP | (6.8 )% | – | (770 )bps |
| Adjusted EBITDAnon-GAAP | $508 million | – | (45 )% |
| Adjusted EBITDA marginnon-GAAP | 11.7 % | – | (1,020 )bps |
| (Loss) earnings per shareGAAP | ($1.57 ) | – | (366 )% |
| Adjusted earnings per sharenon-GAAP | $0.49 | – | (83 )% |
| Net cash provided by operating activitiesGAAP | $363 million | – | +1 % |
| Free cash flownon-GAAP | $189 million | – | +21 % |
| Free cash flow including financing capex and excluding player fundsnon-GAAP | $125 million | – | (56 )% |
| Leverage ratioother | 4.3x | – | – |
| US adjusted EBITDAnon-GAAP | $119m | – | (-70%) |
| International adjusted EBITDAnon-GAAP | $476m | – | (-19%) |
| Sportsbook GGR market shareother | 39% | – | – |
| iGaming GGR market shareother | 27% | – | – |
| US total iGaming AMP growthother | 14% | – | – |
| Direct casino AMP growthother | +26% | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| USSportsbook revenue was -15% and iGaming revenue was +14%; overall revenue included an adverse 6 percentage-point year-over-year impact from sports results. | $1,683m | – | -6% |
| InternationalSportsbook revenue was +14% and iGaming revenue was +7%; M&A supported results and organic revenue was +4%. | $2,643m | – | +10% |
Full year 2026 outlook
- Revenue$17.91bn at the midpoint
- NoteAdjusted EBITDA: $2.655bn at the midpoint
- NoteReduction to full year Group revenue guidance: $395m
- NoteReduction to adjusted EBITDA guidance: $210m
- NoteMarket-making capability expected to deliver $50m revenue in 2026
- Note$500m gross savings by 2029
What drove it
- Group revenue +3% reflected the benefit of M&A, excellent FIFA World Cup engagement and an adverse swing in US sports results year-over-year.
- Group AMPs reflected a 17 percentage-point impact from the India closure.
- US revenue included an adverse 6 percentage-point growth impact from sports results year-over-year.
- International revenue benefited from M&A, while organic revenue was +4%.
- SEA revenue was +36% and +18% organic.
- UKI iGaming revenue growth was +7% and CEE iGaming revenue growth was +16%.
- International AMP growth was -16%, including a 21 percentage-point impact from the India closure.
- US adjusted EBITDA was ahead of expectations after prediction market investment and new state launch investment.
- International adjusted EBITDA reflected revenue growth offset by the UK tax increase and FIFA World Cup marketing spend.
- The Group initiated the next phase of its cost transformation, targeting $500m gross savings by 2029.
Concerns
- The Group reported a net loss of $296 million compared with a $37 million profit in Q2 2025.
- Adjusted EBITDA declined (45)% and adjusted EBITDA margin declined (1,020 )bps.
- The Group cited a Junglee Goods and Services Tax $62m provision and a US Sales and Use Tax $33m accrual.
- M&A drove increases in interest expenses, net and depreciation and amortization.
- US underlying market growth remained subdued during H1 following market-wide customer churn.
- Flutter plans proactive sportsbook investment in H2, which it stated will reduce near-term profitability.
- Full-year Group revenue and adjusted EBITDA guidance were reduced.
What to watch
- Early Q3 trading, which Flutter said was ahead of expectations due to FIFA World Cup knockout-stage engagement and slightly favorable sports results.
- The planned increase in US customer-acquisition and retention investment and its effect on AMP growth, customer value and profitability.
- The NFL schedule changes referenced in the full-year guidance update.
- Expansion and operational progress of FanDuel Predicts, including player props and customizable combos.
- Delivery of expected US operating cost efficiencies and the Group's $500m gross-savings target by 2029.
- Dan Taylor's succession as CEO on October 1, 2026.
Balance sheet and cash flow
- Net cash provided by operating activities: $363 million
- Free cash flow: $189 million
- Free cash flow including financing capex and excluding player funds: $125 million
- Leverage ratio: 4.3x
Analysis
Flutter delivered $4,326 million of Q2 revenue, up +3 %, but the growth profile was uneven. M&A, FIFA World Cup engagement and International expansion supported the Group, while AMPs declined (11 )% to 14,287 ('000s'), including a 17 percentage-point impact from the India closure. US revenue declined -6% to $1,683m, as an adverse sports-results swing created a 6 percentage-point year-over-year growth impact. International revenue increased +10% to $2,643m, including +4% organic revenue growth.
The US business showed contrasting sportsbook and iGaming trends. Sportsbook revenue was -15%, while iGaming revenue was +14%, supported by total iGaming AMP growth of 14% and direct casino AMP growth of +26%. Management said underlying sportsbook AMPs, handle and revenue excluding sports results improved sequentially, citing its sportsbook improvement plan, enhanced loyalty program and FIFA World Cup engagement. FanDuel retained reported GGR market shares of 39% in sportsbook and 27% in iGaming.
Profitability weakened materially. Adjusted EBITDA fell to $508 million from $919 million, while adjusted EBITDA margin fell to 11.7 % from 21.9 %. The Group reported a net loss of $296 million and loss per share of ($1.57 ), compared with $37 million of net income and $0.59 of earnings per share in Q2 2025. Flutter attributed the loss to the Junglee Goods and Services Tax $62m provision, the US Sales and Use Tax $33m accrual, M&A-driven increases in interest expense and depreciation and amortization, and lower year-over-year non-controlling-interest benefits and income-tax expense.
Cash generation was more resilient than earnings: net cash provided by operating activities was $363 million and free cash flow was $189 million, compared with $359 million and $156 million, respectively, in Q2 2025. Free cash flow including financing capex and excluding player funds declined to $125 million from $287 million. The leverage ratio was 4.3x, compared with 3.7x in December 2025.
Flutter reduced full-year 2026 Group revenue guidance by $395m to $17.91bn at the midpoint and adjusted EBITDA guidance by $210m to $2.655bn at the midpoint. The update incorporates Q2 trading, US market-making revenues, expected US operating cost efficiencies, NFL schedule changes, investment to strengthen the proposition and accelerate FanDuel sportsbook momentum, and forward FX rates. The company also plans increased H2 sportsbook investment that it said will reduce near-term profitability, while its cost transformation targets $500m gross savings by 2029 to offset expected inflation and known tax increases and support revenue-driving initiatives.
Management, verbatim
The quality of our portfolio was evidenced once again in Q2 as we delivered another encouraging quarter relative to our expectations.
Peter Jackson, CEO
The momentum we are seeing gives us confidence to increase investment in the second half to further strengthen our proposition and market leadership.
Peter Jackson, CEO
Looking ahead, I feel confident we are positioning the business optimally and we are on a trajectory to deliver sustainable, long-term value for our shareholders.
Peter Jackson, CEO
Not in the filing
stated, not guessed- Prior outlook document, so reported results cannot be compared with prior guidance
- Gross profit and gross margin
- Operating income or loss and operating margin
- Operating expenses
- Income tax expense and effective tax rate
- Cash and cash equivalents
- Total debt
- Capital expenditures
- Share repurchases
- Dividends
- Detailed segment revenue for US sportsbook, US iGaming, International sportsbook and International iGaming
- Prior-quarter figures for reported Q2 metrics
- Full financial statements and accompanying non-GAAP reconciliations, which were not included in the supplied filing text
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.