FD NY Q3 206m revenue Vs 160m last yearRevenue for Sept was a record 95m however the main data industry supplier has picked up the 53m from August in error. And reported it everywhere. Shambles |
FT Article “UK bookmakers don’t want to (and probably won’t have to) pay more tax” is excellent. I’m terrible at sending links but hope anyone interested can Google it. It provides far more detail/insight than anything else I’ve read. |
I have bought EVOK , I think will do well, broker rating up today for EVOK |
Thanks Vraetorian. That is a really helpful note and the exact calculation I was keen to read (likely worst case scenario). |
Correct
This is assuming a 50% level for the UK’s remote gaming duty, levied on gross gambling profit.
Evoke - would take a hit of 42%
Entain - 25%
Entain, it seems, has a sizeable debt caused by an acquisition spree which could amount to 3.6billion next year according to estimates.
They may be looking to offload some assets in the near future.
It's too early to tell what Chancellor Rachel Reeves’ Oct. 30 budget contains.
Expect accurate updates after it's release. |
Thanks Vraetorian. Do you know if the 18% hit you refer to is assuming Reeves went with the £3bn (highest gambling tax) proposal? |
The Silver lining...
"Flutter, which despite being UK market leader counts more of its group revenue from the U.S., could be a beneficiary if the likes of Entain or Evoke step back, or even seek to sell some or all of their assets. "
An 18% hit to Flutter’s 2025 EBITDA isn't small, but better than the hit on Evoke and Entain. |
Wells Fargo ups Flutter share price target to $295 having analysed the floated proposed tax changes in UK. |
Totally agree Whitehouse. 23% of revenues from UK at end of last financial year… feels like that will fall 1% a year ish mainly due to rapid rev increase in US. At least we don’t have to worry about contagion (like US across different states) with a UK tax increase. I am keen to read a serious Analyst/Broker report reviewing this development and not the soundbite paragraph put out by Berenberg this morning. |
I understand the issue is an online tax which will not affect Paddy Retail and indeed may boost it & may be iCasino and not sports so we will see BUT with every month that passes the UK is less of a percentage is somewhat comforting. |
Someone stepped in at 10.15ish...better lateThe UK bookmakers persuasion is that punishing those locals is easy but if odds worsen that players, like me, have just moved our funds and bets to offshore ie Gib, Malta, Costa Rica and tax funds will then end up lower for ever. The 8 times delayed Gambling Act (because no one in gov understands the full picture) is already leading this exodus leaving higher spenders with no regulation as they will not produce reams of sisters to justify a wager. An example given is someone bought a 250,000 yearling and was asked for bank accounts only when wanting a 100 bet on it. Ludicrous |
That's the dilemma here, investing in a world class business with tax rises a given, which will target the big players with the Illinois model. |
I would hazard a guess that UK revenues would currently represent 15-18% of total revenues taking into account the acquisition of Snaitech and continued US hyper growth |
Interesting action.Broadsheet story Friday in England but run down started right after London markets shut & with Columbus Day today this meant the oppo for Flutter to get their act together & activate buybacks to support was massively difficult/impossible. Board have said spend 4bn over next few years but just 9 million would have supported to flat today but appears caught on the back foot Reports exaggerated apparently but any journos get involved I wonder? |
I’d love to read any analysis on this step. I understand these are roughly the facts:
a) 23% of Flutter’s revenue comes from UK. Will gradually reduce over time as US revenue grows far more rapidly.
b) New taxes likely to raise UK Govt between £900m and £3bn per annum in first year.
c) Share price fall (on Friday evening) reduced market cap by around £3.3bn |
first I've heard of it...hopefully an overreaction, they are a volatile share |
Total nightmare this evening. Shares down around £18 (10% from where they were) due to potential UK Govt tax on the sector. |
Looks like the stock is rallying to bump up against $260 [Flut:NYSE]
Edit: What an unexpected reversal from yesterday. Wow. Down 7.5% as of right now... |
I stand corrected on Playtech. I should have qualified as “not a meaningful competitor” to Flutter but I see they do have some competing business areas. The net debt error was the real clanger. |
DraftKings app has been down across the whole US for hours now. |
The tiddlers are backing off. 17 different firms have withdrawn from differing states in the past year as they cannot make it pay ; the latest being BetFred from another 2 leaving it with less than 10 |
Maryland record month in history 33m hold at 14pc, monthly totals are looking tremendous for first month of NFL and Prem football likewise |
Playtech IS a competitor |
Tempus section of today’s Times has a strong piece on Flutter although contains some notable errors (competitor surcharge/net debt went down by $317m not up/Playech is a gambling software company not a competitor). |
West Virginia 15pc hold & NC looking at 13pc+ for September |
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