FanDuel Flexes US Sportsbook and Online Casino Leads

Tuesday saw FanDuel reaffirm its position as the nation’s most profitable sportsbook and the national revenue leader for online casino gaming.

Flutter Entertainment, FanDuel’s UK-based parent company, estimates its US sportsbook has a market-leading 43% of national gross gaming revenue. FanDuel has also eclipsed rivals DraftKings and BetMGM for the No. 1 position in online casino gross gaming revenue at 26%, per the company’s earnings report released Tuesday.

“FanDuel remains America’s number one sportsbook with its leading product maintaining a clear structural revenue margin advantage over competitors,” Flutter CEO Peter Jackson said in a statement announcing the results.

Sportsbook financial growth tops rivals

The gross gaming revenue share lead has made FanDuel a profitable component of Flutter’s portfolio, even as many of its US rivals struggle to break even after spending hundreds of millions on marketing costs, free bets, and other promotions.

Flutter grew its combined sports betting and iGaming revenue to $1.6 billion in the fourth quarter of 2024 compared to $1.4 billion in Q4 2023. That revenue growth came as adjusted earnings before interest, taxes, depreciation, and amortization declined (AEBITDA) slightly year-over-year from $168 million to $163 million.

This was still a significantly higher total than its competitors.

DraftKings, FanDuel’s daily fantasy sports innovator turned digital gaming rival, saw its AEBITDA decline from $151 million in 2023 to $89 million in 2024. DraftKings has the No. 2 share in both sports betting and iGaming.

Other smaller competitors, including BetMGM, Caesars, BetRivers, and ESPN BET, all reported significantly smaller AEBITDA totals during their respective parent company earnings earlier this year.

FanDuel expects US AEBITDA to grow from $507 million in 2024 to between $1.28 billion and $1.52 billion in 2025; $FLUT expects US revenue for existing states to grow from $5.8 billion in 2024 to between roughly $7.5 billion and $8 billion in 2025

— Ryan Butler (@ButlerBets) March 4, 2025

This was in part because of FanDuel’s continued growth in hold percentage. FanDuel reported a 14.5% structural hold in Q4 2024 compared to 10.5% for DraftKings. All other major US sportsbooks are still in the single digits.

This growth across all financial metrics comes as multiple sportsbook operators reported one of the strongest seasons for NFL favorites in decades.

NFL bettors tend to bet favorites and stack those wagers in parlays, meaning their success hurts sportsbooks’ bottom lines: FanDuel estimated this cost the company several hundred million dollars in revenue in just 2024’s fourth quarter.

The combination of leading shares of customers and bets placed, combined with the higher profit margins, has allowed FanDuel to continue its top spot among US gaming operators in most key financial metrics.

For the full year, FanDuel expects revenues to grow to as much as $8 billion, generating as much as $1.5 billion in AEBITDA. DraftKings projects revenues of up to $6.6 billion and AEBITDA of up to $1 billion.

No other US sportsbook or iCasino operator projects financials close to those figures.

Continued iGaming growth

Sports betting success has helped FanDuel grow its iGaming division, which has even higher profit margins than sportsbooks.

Online casino gaming average monthly player totals grew 37% from Q4 2023 to Q4 2024. FanDuel attributed part of the growth to new features and content, including exclusive slot titles and cross-content promotions around professional sports.

FanDuel accepted more than $16 billion in handle during Q4 2024, generating $1.1 billion in revenue. Online casino gaming — including digital slots and table games — generated $441 million in revenue.

FanDuel’s digital sportsbook is live statewide in 23 US jurisdictions, while the iCasino is only available in New Jersey, Michigan, Pennsylvania, West Virginia, and Connecticut. Online table games and slots are available 24 hours a day, 365 days a year, and don’t fluctuate like the sports calendar.

They also have significantly higher profit margins, making FanDuel’s iCasino growth arguably even more important than sports betting for the company’s bottom line.

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