Flutter Entertainment has revealed ambitious plans for the future, which includes a massive $5 billion share buyback program and bold revenue targets, setting the stage for significant growth. This announcement came during the company’s Investor Day, where Flutter outlined its strategic vision to double core profits and expand its market presence, particularly in North America. The company’s medium-term guidance suggests it will generate $21 billion in revenue by 2027, with profits projected to hit $5 billion, an impressive leap from the $2.5 billion forecasted for 2024.
This growth trajectory is supported by a regulated global total addressable market (TAM) worth $368 billion in gross gaming revenue (GGR) by 2030. With an expected compound annual growth rate (CAGR) of 8%, Flutter is positioning itself to capitalize on these trends with its diverse product offerings across different regions, especially in North America and the rest of the world (ROW).
In the U.S. and Canada, Flutter anticipates its market potential to reach $70 billion in TAM by 2027, including $63 billion in the U.S. alone. This showcases the company’s confidence in the rapidly maturing North American market, driven largely by its FanDuel brand, which has maintained strong momentum in sports betting and iGaming.
Flutter’s ROW operations are also expected to make significant contributions to its growth strategy. With a projected $11.5 billion in revenue by 2027, the ROW segment remains a vital component of Flutter’s global presence, contributing $3 billion in adjusted EBITDA by the same year.
To strengthen shareholder value, Flutter’s board has approved a share buyback program of up to $5 billion, commencing after the third-quarter earnings release in November 2024. This program reflects the company’s confidence in its future financial performance and allows Flutter to strategically allocate capital to maximize returns.
With shares already climbing by 5.2% following the announcement, the market has shown a positive response to Flutter’s long-term vision. As the world’s largest publicly traded gambling company by market cap, Flutter is well-positioned to lead the global gaming industry with its scale, diversified portfolio, and commitment to innovation. This approach not only strengthens its current market presence but also sets the stage for continued growth in regulated markets worldwide.
