FanDuel Predicts Launch in December as Flutter Cuts Outlook
FanDuel Predicts will open event contract trading in states that ban online sports betting; Flutter cut its FY 2025 profit forecast, shifting positioning.
KEY TAKEAWAYS
- Flutter cut its FY 2025 profit forecast after elevated gambler payouts.
- FanDuel Predicts will let U.S. users trade event contracts in states where sports betting is illegal.
- Q3 adjusted EPS was $1.64 and revenue was $3.79 billion, up 16.8% y/y.
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Flutter Entertainment (NYSE: FLUT) lowered its full-year profit forecast on Nov. 12, 2025, citing elevated gambler payouts. The company also announced it will launch FanDuel Predicts in December 2025, a standalone mobile app developed with CME Group that allows U.S. users to trade event contracts.
FanDuel Predicts Expands Access in Non-Betting States
FanDuel and CME Group said in a joint press release at 4:05 p.m. ET on Nov. 12 that FanDuel Predicts will offer event contracts on financial benchmarks such as the S&P 500 and Nasdaq-100, commodities including oil, gas, and gold, cryptocurrencies, and economic indicators like GDP and CPI. The app will also provide sports contracts in states where online sports betting remains illegal, excluding tribal lands.
Users must complete full Know-Your-Customer (KYC) onboarding, providing birth date, Social Security number, government ID, and banking details. Contract sizes will range from $0.01 to $0.99. The platform will include consumer-protection features such as deposit limits, self-exclusion, and educational resources to promote responsible participation. The rollout is subject to regulatory filings and approvals.
FanDuel CEO Amy Howe said, "We can't wait to bring FanDuel's proven approach to product innovation into this dynamic sector."
Earnings and Profit Forecast
For the third quarter of 2025, Flutter reported adjusted earnings per share of $1.64, surpassing consensus estimates of $0.77. Revenue rose 16.8% year-over-year to $3.79 billion. U.S. revenue increased 9.0% year-over-year, while sportsbook revenue declined 5.0%, affected by customer-friendly sporting results and heightened competition.
Flutter cut its full-year profit forecast, attributing the revision to a "long winning streak" by gamblers that increased payouts. Sell-side analysts project full-year earnings per share of 4.17. Management said guidance remains subject to updates based on regulatory developments and the performance of new products but did not provide specific projections for FanDuel Predicts. The company expects the new app to expand its U.S. reach, particularly in states that currently prohibit online sports betting.
