Prediction Market Partnership - FanDuel predicts 将于 12 月上线，为无法访问 FanDuel 体育博彩的美国用户提供体育产品 [3] - FanDuel 与 CME 合作，在 FanDuel 没有体育博彩许可证的州提供体育产品 [5] - 预测市场受 CFTC 监管 [5] Company Strategy - FanDuel 正在扩展到预测市场，为用户提供更多体育产品 [3][5] - FanDuel 预测应用程序将于 12 月上线 [3][5] Industry Perspective - CME 被认为是此类活动的首要仲裁者，与 CME 的合作使预测市场合法化 [1] - Bet Fair 交易所已在英国、意大利和世界其他市场运营 20 年 [2]

Core Insights - The partnership between FanDuel and CME is set to enhance the legitimacy and accessibility of prediction markets in the U.S. [1][5] - FanDuel Predicts will launch in December, allowing users in states without traditional sports betting licenses to participate [3][5] - The prediction markets are regulated by the CFTC, which adds a layer of credibility to the offerings [5] Group 1 - FanDuel has been operating in the prediction market space for a long time and is now expanding its offerings [1][2] - The partnership with CME is expected to provide a robust platform for prediction markets, particularly in states like California, Texas, and Florida [4][5] - The launch of FanDuel Predicts will enable customers to access sports betting products without needing traditional gaming licenses [4][5] Group 2 - The experience of FanDuel in various international markets, such as the UK and Italy, supports its expansion strategy in the U.S. [2] - The collaboration aims to provide the best products available in prediction markets, enhancing user experience [3] - The upcoming launch is anticipated to attract a significant user base in states currently lacking sports betting options [3][5]

Core Insights - Flutter Entertainment reported a revenue of $3.79 billion for the quarter ended September 2025, reflecting a year-over-year increase of 16.8% [1] - The company's EPS was $1.64, significantly higher than the $0.43 reported in the same quarter last year, resulting in an EPS surprise of +1161.54% [1] - Revenue fell short of the Zacks Consensus Estimate of $3.86 billion, indicating a surprise of -1.65% [1] Financial Performance Metrics - International revenue was $1.9 billion, below the average estimate of $2.42 billion [4] - U.S. revenue reached $1.37 billion, slightly lower than the estimated $1.44 billion [4] - U.S. iGaming revenue was $530 million, exceeding the estimate of $515.17 million [4] - U.S. Sportsbook revenue was $783 million, compared to the average estimate of $840.37 million [4] - Other U.S. revenue was $55 million, below the estimate of $71.33 million [4] - International revenue from other regions was $229 million, surpassing the estimate of $211.55 million [4] - International Sportsbook revenue was $982 million, lower than the average estimate of $1.05 billion [4] - International iGaming revenue was $1.37 billion, slightly above the estimate of $1.34 billion [4] - International Other revenue was $75 million, exceeding the estimate of $66.86 million [4] - U.S. Sportsbook stakes totaled $10.65 billion, slightly above the estimate of $10.59 billion [4] - Revenue from Brazil was $87 million, below the estimate of $97.07 million [4] - Revenue from Central and Eastern Europe was $151 million, closely matching the estimate of $151.4 million [4] Stock Performance - Flutter's shares have returned -7.2% over the past month, contrasting with the Zacks S&P 500 composite's +4.6% change [3] - The stock currently holds a Zacks Rank 4 (Sell), suggesting potential underperformance relative to the broader market in the near term [3]

Core Viewpoint - Flutter Entertainment reported quarterly earnings of $1.64 per share, significantly exceeding the Zacks Consensus Estimate of $0.13 per share, marking an earnings surprise of +1,161.54% [1] - The company posted revenues of $3.79 billion for the quarter ended September 2025, which was below the Zacks Consensus Estimate by 1.65% [2] Financial Performance - Earnings per share (EPS) for the current quarter was $1.64, compared to $0.43 per share a year ago [1] - Revenue for the quarter was $3.79 billion, up from $3.25 billion year-over-year [2] - Over the last four quarters, Flutter has surpassed consensus EPS estimates four times and topped revenue estimates two times [2] Market Performance - Flutter shares have declined approximately 10.3% since the beginning of the year, while the S&P 500 has gained 16.4% [3] - The current Zacks Rank for Flutter is 4 (Sell), indicating expected underperformance in the near future [6] Future Outlook - The consensus EPS estimate for the upcoming quarter is $2.73 on revenues of $5.37 billion, and for the current fiscal year, it is $8.08 on revenues of $17.06 billion [7] - The gaming industry is currently ranked in the bottom 39% of Zacks industries, which may impact Flutter's stock performance [8]

Financial Data and Key Metrics Changes - Group revenue increased by 17% year-over-year, while adjusted EBITDA grew by 6% in Q3 2025 [5][19] - The company reported a net loss of $789 million for the quarter, compared to a loss of $114 million in the prior year, primarily due to a non-cash impairment charge of $556 million related to regulatory changes in India [18][19] - Adjusted earnings per share grew by 29%, while loss per share increased to $3.91 from $0.58 in Q3 2024 [18] Business Line Data and Key Metrics Changes - In the US, revenue was up 9%, driven by exceptional iGaming growth of 44%, while sportsbook revenue declined by 5% [18] - International revenue increased by 21% year-over-year, with acquisitions contributing 18 percentage points to this growth [19] - iGaming performance showed strong organic growth of 10%, particularly in Turkey and Italy [12][19] Market Data and Key Metrics Changes - Average monthly players engaging with products exceeded 14 million, contributing to revenue growth [5] - The company maintained a 47% market share in net gaming revenue (NGR) in September, despite competitive pressures [11][30] - The international division's revenue reached $2.4 billion, reflecting a 21% increase, with strong performance in Turkey and Italy [19] Company Strategy and Development Direction - The company is strategically positioning FanDuel to capture emerging prediction markets with the launch of FanDuel Predicts in December [6][17] - The focus remains on state-regulated sports betting and iGaming as the most valuable long-term opportunities in the US [8] - The company plans to invest significantly in FanDuel Predicts, anticipating an incremental EBITDA cost of $40-$50 million in Q4 2025 and $200-$300 million in 2026 [23][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the underlying business performance despite a reduction in full-year guidance due to customer-friendly sports results [5][21] - The competitive landscape has seen heightened generosity from competitors, impacting initial NFL season performance, but management remains optimistic about long-term growth [11][30] - The company is closely monitoring the regulatory environment in India and remains engaged with policymakers regarding potential gaming tax increases in the UK [15][16][60] Other Important Information - The company completed share repurchases totaling $225 million in Q3 and plans to continue the program into 2026, with a commitment to return $5 billion over the coming years [20][21] - The integration of recent acquisitions is progressing well, with a focus on delivering synergies and enhancing the iGaming proposition [13][14] Q&A Session Summary Question: Can you elaborate on the planned investment for FanDuel Predicts? - Management expressed excitement about the product and emphasized a disciplined approach to customer acquisition, monitoring CAC to LTV dynamics closely [25][26] Question: How widespread was the competitive generosity seen at the start of the NFL season? - Management noted that while there was heightened generosity, they maintained a disciplined investment posture and were pleased with their market share performance [30][31] Question: What is the outlook for trading in September and into Q4 in the US? - Management reported strong momentum into Q4, with double-digit handle growth and a positive start to the NBA season [30][31] Question: Can you provide insights on the prediction markets and regulatory engagement? - Management highlighted extensive engagement with stakeholders and optimism about accelerating state legalization of sports betting [34][35] Question: How do you view the competitive landscape with new partnerships like ESPN and DraftKings? - Management acknowledged the competitive dynamics but emphasized their strong product offering and successful partnerships, particularly with Amazon [56]

And right now we are 2 minutes away from the end of the trading day. Romaine Bostick here with Katie Greipel taking you through to that closing bell with a global simulcast. We're joined now by Carol Massar, Tim Stenovec in the radio booth.Welcome to our audiences across all of our bloomberg platforms. Carol Massar This is the second day in a row we've seen massive outperformance by the Dow Jones Industrial Averages. This will be the most we ever talk about the Dow Jones Industrial Average in days.Well, yes ...

Market Performance - The Dow Jones Industrial Average has shown significant outperformance, reaching a record high and outperforming the S&P 500 in six of the past eight sessions, with a gain of 0.7% on the day, up more than 300 points [7] - In contrast, the Nasdaq composite and Nasdaq 100 finished in the red, along with the Russell 2000, which dropped by 0.3% [8] Company Earnings - Cisco is expected to report strong earnings, with projections indicating a slight increase in adjusted EPS guidance to a range of $4.02 to $4.14 for the full year, and revenue guidance of $60.2 billion to $61 billion [24][25] - Cisco's second quarter adjusted EPS is projected to be between $1.01 and $1.03, exceeding the estimate of $0.99, with revenue expected between $5 billion to $5.2 billion, also above the estimated $4.72 billion [26] - The CEO of Cisco highlighted strong demand for their technologies, particularly in secure networking and AI, indicating a positive outlook for the company's future [28] Sector Performance - In the S&P 500, big tech, healthcare, and financials were among the best-performing sectors, while energy and communication services, including Amazon, were among the biggest losers [9] - Airlines showed strong gains, with United up 5%, Delta up 4.7%, and SkyWest up 4%, driven by expectations of government lifting flight curbs [12] Other Company Updates - AMD was the top gainer in the S&P 500 and Nasdaq 100, with a 9% increase, driven by projected accelerating sales growth for data center products [10] - Circle Internet Group's shares fell by 12.2% despite better-than-expected third-quarter revenue and earnings, as concerns over declining interest rates overshadowed growth prospects [15] - BlackRock Coffee reported a 24% increase in total revenue compared to the prior period, but shares were down 5% following its first post-IPO earnings report [19]

Group 1 - The sports betting firm is launching a stand-alone prediction market app called FanDuel Predicts [1] - The app is being developed in partnership with CME Group [1]

Core Insights - Flutter Entertainment Inc. reported mixed third-quarter earnings, with earnings per share of $1.64 surpassing the Street estimate of 86 cents, while quarterly revenue of $3.79 billion fell short of the analyst estimate of $3.9 billion [1][2] Financial Performance - The company experienced a solid third quarter, with continued momentum in both US and International businesses, maintaining its position as the number one operator in the U.S. [2] - The adjusted EBITDA for Q3 was reported at $51 million, reflecting a 12% year-over-year decline [4] Revenue Outlook - Flutter lowered its fiscal 2025 revenue outlook to $16.69 billion from the previous estimate of $17.05 billion [2] Market Reaction - Following the earnings report, Flutter Entertainment's stock was down 2.1% in extended trading, priced at $229.50 [3] Business Segment Performance - Sportsbook revenue declined by 5% year-over-year due to temporary impacts from sports results and high levels of competition during the NFL season start [4] - The company noted a 10% year-over-year handle growth in Q4 to date, attributed to increased investment in FanDuel and a strong start to the NBA season [4]

Core Viewpoint - Flutter, the world's largest online betting company, has significantly reduced its full-year profit growth forecast due to a prolonged winning streak by gamblers, which has led to increased payouts [1] Company Summary - Flutter's revised profit growth forecast indicates a challenging financial outlook for the company, primarily driven by the impact of higher payouts to gamblers [1] Industry Summary - The online betting industry is experiencing fluctuations in profitability as a result of changing gambler behavior, particularly during winning streaks that can strain company finances [1]