DAVY VIEW

Flutter Entertainment’s current momentum confirms it is best positioned to capitalise on a wide-ranging set of global gaming opportunities. A clear leadership position in the US and fast-growing businesses in other key geographies are delivering strong top line progress — Q4 revenues increased by 37%, driven by continued customer momentum (H2 FY20 average monthly players +32%), with revenue up by a similar amount in the early part of 2021 (+36%). In line with what we suggested at the time of its recent FY20 results, we upgrade our FY21 revenue and EBITDA estimates by 3% and 4% respectively. Revenue and EBITDA for each business unit (excluding PPB Retail) has been upgraded. With growing conviction regarding the group’s growth prospects, we reiterate our ‘Outperform’ recommendation.