Flutter Cuts 2026 Revenue Outlook After Brazil Ban

The Tip Desk · November 4, 2026 · 3 min read

The online betting operator booked an $873 million Brazil impairment and lowered full-year revenue guidance to a $17.61 billion midpoint.

Flutter Entertainment (FLUT) reported a $1.148 billion net loss for the three months ended September 30, 2026, after recognizing $873 million of non-cash impairment charges on its Brazil operations following a government ban on sports betting and iGaming.

The world’s leading online sports betting and iGaming operator said the Provisional Measure issued September 25, 2026, together with previously disclosed challenging trading conditions, left Brazil revenue growth behind expectations. Of the post-tax impairment, $537 million was allocated to Flutter, reflecting 56% ownership of Flutter Brazil. The company also recorded a $105 million increase in legal loss contingencies, driven by a provision on a class-action lawsuit in Australia.

Group revenue was $3.874 billion, up 2% from a year earlier. Adjusted EBITDA fell 25% to $360 million. Average monthly players declined 3% to 13.67 million. Net cash from operations was $211 million. Leverage rose to 4.6x from 4.3x at the end of the second quarter.

The company cut full-year 2026 Group revenue midpoint guidance by $300 million to $17.61 billion and reduced adjusted EBITDA guidance by $160 million to $2.495 billion, citing adverse sports results and the Brazil closure, partially offset by cost actions. It paused its share-repurchase program for the foreseeable future. Early fourth-quarter trading was in line with expectations on an underlying basis, the company said, while sports results were unfavorable in both the US and International.

US revenue was $1.455 billion, up 6%, reversing a 6% year-over-year decline in the second quarter. Sportsbook revenue grew 4% to $817 million after a 15% drop in the prior quarter, as handle rose 13% and sportsbook AMPs rose 9%, offsetting a 60-basis-point decline in net revenue margin to 6.8%. Promotional spend was 6.0% of handle. iGaming revenue grew 8% to $572 million, with AMPs up 24% after a July Alberta launch that delivered 23% GGR share. US adjusted EBITDA collapsed 94% to $3 million from $51 million a year earlier, following investment in the prediction-market offering and Alberta.

FanDuel Predicts had 66,000 AMPs in the third quarter, with volume of $119 million. Volume growth versus July was 271% in October. The company said it expects marketing intensity in 2027 at levels similar to this year and that investment in prediction markets will continue at similar or higher levels.

International revenue was $2.419 billion, flat year-over-year after 10% growth in the second quarter. International adjusted EBITDA fell 14% to $435 million. Sportsbook revenue declined 2% to $963 million, with handle up 8% and net revenue margin down 120 basis points to 11.2% on a 130-basis-point adverse sports-results swing that the company said translated to an in-quarter impact of about $131 million. iGaming revenue rose 1%.

Brazil revenue fell 31% to $60 million. Operations are closed, discretionary spend is paused, and Betfair Brazil has been shut, with Betnacional as the sole brand. UKI revenue rose 4% to $889 million, with iGaming up 12% and sportsbook down 6%. Southern Europe and Africa revenue was $836 million. The company said successful integrations in Italy, UKI and PokerStars are unlocking revenue upside, with cost benefits expected to exceed a $300 million target.

Chief executive Dan Taylor, who took the role on October 1, said the company expects an additional $500 million in gross operating cost and capital-expenditure savings by 2029 and that International should still target 5–10% annual growth. Refinancing extended the revolving credit facility and Term Loan A maturities to 2032.