DAVY VIEW

Flutter Entertainment has issued an update outlining that it has ceased operations in Brazil following the provisional executive measure. It notes that it is assessing all its options, including an appeal. Similar to Entain this morning, it notes that the measure will need approval or amendment by Congress within 120 days. If Congress rejects this measure, it expects to recommence sports betting and iGaming. As we outlined earlier today, this is a frustrating update for the sector. The operating environment in Brazil was already challenging post regulation, and this has compounded the issue. It is also disappointing in the context of Brazil as a potentially longer-term growth opportunity. It is, however, a very small financial impact for Flutter on current forecasts.