Flutter Entertainment Launches Ambitious Brazilian Expansion Plan

The company’s management expects significant revenue growth, forecasting that the expected $2.5 billion in revenue in 2024 will more than double to reach $5 billion by 2027. This growth will come from both established and emerging markets, with the U.S. set to play a key role. However, Flutter is also looking to grow in promising jurisdictions such as Brazil, where a regulated market is expected to launch.

Flutter intends to create a new business unit called “Flutter Brazil”, which will unite the company’s regional brands: Betfair, Pagbet, MrJack.bet and Betpix. Flutter Entertainment CEO Peter Jackson emphasized that the company’s synergies, combining local knowledge and modern technology, will create unique opportunities. Following the acquisition of local operator NSX, Flutter sees itself as a “strong player on the podium” in the soon-to-be-regulated Brazilian betting market.

“The extensive experience of the NSX team, our existing Betfair business and the strength of Flutter Edge will create a compelling opportunity to realize growth in Brazil,” said Peter Jackson.

Flutter expects to maintain its momentum based on its current 11% market share, and forecasts net gaming revenues (NGR) of $4.3 billion by 2030, up from $2.8 billion in 2023. iGaming and sports betting are expected to perform roughly the same, with NGR of $2.0 billion and $2.3 billion, respectively, by 2030.

JMP Securities analysts are bullish on Flutter’s regional prospects, believing Brazil’s large population and ongoing regulation of sports betting will be catalysts for success. The NSX acquisition is in line with Flutter’s usual strategy of pursuing growth through M&A of established local brands in regulated regions. Analysts estimate that Flutter has spent $11.5 billion on M&A deals outside the United States.

The company’s focus on the Brazilian market highlights its growing appeal. Some of the biggest names seeking gambling licenses in the country include Betfair, Betsson, Stake.com, Caesars Entertainment, Sportingbet, and bet365, among other major operators. This significant competition poses additional risks for Flutter as it seeks to establish itself at the launch stage of the market.

With a focus on expansion, protecting regulators, and driving shareholder value, Flutter is poised to conquer the Brazilian market. Regulated betting in the country is projected to generate up to $34 billion in betting turnover by 2028, and Flutter appears set to maximize its market share.