FanDuel iGaming growth slows to 8% as players rise 24%, and Flutter trims its outlook

FanDuel's US online casino business grew revenue 8% in the third quarter of 2026 even as its player base expanded 24%, and its share of US iGaming gross gaming revenue slipped to 27%. Parent Flutter Entertainment cut its 2026 guidance on a weaker iGaming outlook, a signal that the mature state markets now set the pace for US online casino.

• Average monthly players on FanDuel's US iGaming product rose 24% in Q3 2026, while iGaming revenue grew 8%.
• Flutter put FanDuel's US iGaming share of gross gaming revenue at 27% for the three months ended Sept. 30, 2026, compared with 28% in Q4 2025.
• Flutter's US adjusted EBITDA fell 94% to $3 million in the quarter, which the company linked to spending on its prediction market product and its Alberta launch.
• Flutter lowered its 2026 group revenue guidance by $300 million to a midpoint of $17.61 billion, with the US outlook assuming weaker iGaming trends.

FanDuel signed up casino players far faster than it grew casino revenue in the third quarter of 2026. Average monthly players on its US iGaming product rose 24%, but iGaming revenue growth slowed to 8%, Flutter Entertainment said in the quarterly results it published Nov. 4. The company blamed competition and slowing growth as US iGaming states mature.

That 8% compares with 33% US iGaming revenue growth in the fourth quarter of 2025, a figure Flutter reported in its full-year results on Feb. 26. The trend was already visible a quarter earlier. In Q2 2026, average monthly players on the direct casino product grew 26% while total US revenue came in at $1,683 million, down 6% year on year. Players keep arriving. Revenue per player is not keeping up.

FanDuel’s US iGaming revenue for the quarter was $572 million, according to a transcript of the earnings call published by The Motley Fool. Total US revenue reached $1,455 million, up 6% year on year, with sportsbook revenue up 4%.

FanDuel’s US iGaming GGR share slips to 27% from 28%

Flutter put FanDuel’s share of US iGaming gross gaming revenue at 27% for the three months ended Sept. 30, down from the 28% it reported for Q4 2025. Taken together with the player numbers, the figures are consistent with a market where acquisition is still working but rivals are holding or gaining ground on monetization.

DraftKings offers the closest comparison. Its Q2 2026 quarterly filing showed iGaming revenue up $32.3 million, or 7.5%, year on year, and the company credited better management of promotional spending. FanDuel’s 8% third-quarter growth now sits in the same single-digit range, well below the 33% pace Flutter reported for the final quarter of 2025.

US adjusted EBITDA falls 94% to $3 million

Profit in the US segment nearly disappeared. Flutter’s US adjusted EBITDA fell 94% to $3 million, and the company linked the drop to spending on its prediction market product and its Alberta launch.

Alberta, at least, is producing early share. Management said on the call that FanDuel took 20% or more of the Alberta market in Q3 after launching there in July.

At group level, revenue of $3.87 billion came in below the roughly $4 billion LSEG consensus, and adjusted EBITDA fell about 25% to $360 million, CNBC reported. The quarter was Dan Taylor’s first as Flutter CEO, about five weeks after he took over. Jefferies analysts said in a Nov. 4 research note that the below-consensus figures were not unexpected.

Flutter cuts 2026 revenue guidance by $300 million

The outlook moved down with the quarter. Flutter lowered its 2026 group revenue guidance by $300 million to a midpoint of $17.61 billion and cut adjusted EBITDA guidance by $160 million to $2.495 billion.

For the US, the new guidance midpoint is $7.34 billion in revenue, up 5%, and $715 million in adjusted EBITDA, down 22%. The company said the guidance assumes a weaker iGaming outlook because of recent trends. In practical terms, Flutter is no longer counting on the online casino product to carry US growth through the end of the year, after a quarter in which it added players at three times the rate it added revenue.

PokerStars transfer feeds 48% drop in ‘other regions’ revenue

The poker brand surfaced in the segment numbers too. Revenue in Flutter’s other regions segment fell 48% in Q3 2026. Part of the drop came from moving PokerStars’ North American customers into the US segment, and part from lower overall activity on the PokerStars global platform, according to the company’s release.

The reclassification means PokerStars’ North American player base now reports alongside FanDuel’s casino and sportsbook figures. Only one of the two causes is a reporting change, though; the remainder of the decline reflects less play on the PokerStars global platform.

The next read on whether FanDuel’s slowdown is company-specific or market-wide comes from its closest rival. Once US stock trading ends on Nov. 5, 2026, DraftKings will release its own figures for the July-to-September quarter, and its iGaming growth can then be set against FanDuel’s 8%.