Flutter Cuts 2026 Outlook, Pauses Buybacks and Books $873 Million Brazil Impairment Under New CEO
Flutter Entertainment cut its 2026 outlook, paused share buybacks "for the foreseeable future" and booked $873 million of Brazil impairment charges as new CEO Dan Taylor reset priorities at the FanDuel parent, according to its 8-K released Wednesday.
Third-quarter revenue rose 2% to $3.874 billion, but adjusted EBITDA fell 25% to $360 million. The net loss widened to $1.148 billion from $789 million a year earlier.
Brazil and sports results weigh
The non-cash impairment relates to Flutter Brazil, reflecting what the company described as challenging trading conditions and a Provisional Measure banning sports betting and iGaming there. Flutter said $537 million of the post-tax charge was attributable to it, reflecting its 56% ownership. The quarter also included a $105 million increase in legal loss contingencies.
Flutter lowered its full-year revenue guidance midpoint by $300 million to $17.61 billion and its adjusted EBITDA guidance by $160 million to $2.495 billion, citing unfavorable sports results in the U.S. and international markets plus the Brazil closure, partly offset by cost actions.
FanDuel spends on prediction markets
U.S. revenue grew 6% to $1.455 billion, with sportsbook up 4% and iGaming up 8%. But U.S. adjusted EBITDA dropped 94% to $3 million after spending on the company's prediction market offering and its Alberta launch.
International revenue was flat at $2.419 billion, and adjusted EBITDA there fell 14% to $435 million, reflecting a higher U.K. gaming tax.
Deleveraging first
Taylor said his four priorities are building on U.S. leadership, capturing the prediction markets opportunity, getting more value from the international portfolio and simplifying the operating model. Flutter said it is prioritizing organic investment and deleveraging; its leverage ratio stood at 4.6 times, up from 3.7 times in December 2025.
The company also restructured its U.K. and Ireland business, closed Betfair Brazil and completed a refinancing that extends its revolving credit facility and Term Loan A maturities to 2032.
By the numbers
- Q3 revenue: $3.874 billion, up 2%
- Adjusted EBITDA: $360 million, down 25%
- Net loss: $1.148 billion
- Brazil impairment: $873 million
- New 2026 adjusted EBITDA guidance: $2.495 billion
Sources
- Flutter Entertainment Form 8-K with third-quarter 2026 earnings release, filed Nov. 4, 2026 (accession 0001193125-26-446166)
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