Flutter Ousts FanDuel CEO as Q1 Profit Drops 38%
Flutter removed FanDuel CEO Amy Howe, triggering a 4% share drop as Q1 net income fell 38% to $209M and EPS was down 22% to $1.23 despite beating revenue expectations. Jefferies flagged shares now price zero US growth, underlining uncertainty around the American segment and prompting trimmed full-year guidance.
1. FanDuel CEO Amy Howe Ousted
Flutter Entertainment announced the immediate removal of FanDuel CEO Amy Howe, citing strategic shifts in its US operations. The decision sparked a 4% decline in the parent company’s shares as investors reassessed leadership stability.
2. Q1 Earnings Show Sharp Profit Decline
First-quarter net income tumbled 38% to $209 million and EPS declined 22% to $1.23, driven by acquisition integration costs and investment in the US prediction markets business. Revenue slightly outperformed estimates, but higher expenses weighed on the bottom line.
3. Guidance Trim and US Growth Concerns
Following the update, management trimmed full-year guidance, and Giannalysis from Jefferies indicated the stock now reflects zero US growth. This highlights mounting uncertainty over the company’s expansion and profitability in the American market.