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Earning Preview: Flutter Entertainment PLC this quarter’s revenue is expected to increase by 31.54%, and institutional views are mostly bullishAbstract
Flutter Entertainment PLC is scheduled to release fourth-quarter 2025 results on February 26, 2026 Post Market, with consensus pointing to solid topline growth and a stable earnings trajectory into the new quarter, while investors watch margin signals and segment momentum.Market Forecast
Estimates for the current quarter indicate revenue of $4.98 billion, up 31.54% year over year, EBIT of $490.32 million with 24.45% year-over-year growth, and adjusted EPS of $1.99, implying a 5.67% year-over-year increase. Formal guidance for gross profit margin and net profit margin is not specified; investors will track whether profitability trends stabilize after last quarter’s charges. The main business is expected to benefit from robust customer engagement and seasonal activity, supporting a constructive near-term trajectory. The most promising segment is Games, underpinned by strong cross-sell and product breadth, and it generated $1.90 billion in last quarter’s revenue.Last Quarter Review
In the previous quarter, Flutter Entertainment PLC reported revenue of $3.79 billion, a gross profit margin of 42.86%, GAAP net profit attributable to the parent company of -$690.00 million, a net profit margin of -18.19%, and adjusted EPS of $1.64 with year-over-year growth of 281.40%. A key financial highlight was the sharp quarter-on-quarter swing in GAAP net profit (ran-on-month change of -757.14%), reflecting one-off charges and mix effects, contrasting with the solid adjusted EPS and revenue trends. Main business highlights included Games revenue of $1.90 billion and Sports revenue of $1.77 billion; total revenue grew 16.81% year over year, signaling broad-based demand resilience across the portfolio.Current Quarter Outlook
Main Business: Sports
Sports is a core revenue driver this quarter, with trading volumes typically supported by marquee events in February and sustained engagement through the early spring schedule. The business is poised to benefit from sustained customer activity, higher-frequency wagering patterns, and platform improvements designed to deliver tighter bet execution and better user experience. Promotions and pricing discipline will be central to guarding contribution margins; investors will focus on how promotional intensity evolves around peak sporting days and whether unit economics remain consistent with targets. Operational cadence should support stable net gaming revenue per active user, while any adjustments to risk management parameters around high-demand events may influence both volume and margin distribution. Overall, management’s ability to balance engagement growth with measured promotional spending will likely influence EBIT performance and the near-term earnings path.Most Promising Business: Games (iGaming)
Games continued to be the largest single revenue contributor last quarter at $1.90 billion, and it remains the segment with notable near-term growth potential due to deep content libraries and cross-sell from Sports. The current-quarter setup favors steady user acquisition and improved monetization through personalized content, loyalty mechanics, and continuous feature releases that encourage sustained session length and frequency. Cross-sell initiatives from Sports should continue to funnel engaged users into daily Games modes, with data-driven personalization enhancing conversion and retention. Content refreshes and expanded jackpots tend to draw casual users into more regular play, while enhancements to UX and platform reliability support overall engagement quality. The monetization profile in Games typically exhibits less event-driven volatility than Sports, and this stability is supportive of margin consistency when the promotional environment is managed prudently.Key Stock Price Drivers This Quarter
The headline determinant for the stock near term will be the revenue print versus estimates at $4.98 billion, alongside adjusted EPS delivery relative to the $1.99 forecast and any commentary on the path of margins. Investors will scrutinize EBIT of $490.32 million and the corresponding 24.45% year-over-year growth signal as a proxy for operating leverage progress and efficiency across customer acquisition and retention. Given last quarter’s GAAP net loss and net profit margin of -18.19%, management’s narrative on non-recurring items and how they roll off in the current period will be an important sentiment catalyst. Any disclosure on promotional spending intensity and unit economics within Sports and Games could reframe margin expectations and alter the earnings quality narrative. Lastly, updates on product cadence, platform performance, and customer engagement patterns—especially post-peak seasonal events—will be critical in shaping investor views on sustainability of topline growth into subsequent quarters.Analyst Opinions
The majority view among institutions tracked from January 1, 2026 to February 19, 2026 is bullish, with multiple firms reiterating Buy ratings and raising or affirming constructive price targets. UBS maintained its Buy rating and adjusted its US price target to $300 on February 10, 2026, signaling confidence in near-term execution and earnings delivery despite a recalibration of valuation assumptions. Citi reiterated a Buy rating on February 12, 2026, underscoring the robustness of the operational focus and highlighting a supportive trajectory into the current quarter. Jefferies reaffirmed a Buy rating on February 9, 2026, with a $380.00 price target, reflecting an upbeat outlook on revenue scalability and the earnings cadence implied by improving EBIT trends. MoffettNathanson kept a Buy rating on January 27, 2026 with a $265 target, pointing to sustainable engagement and a favorable balance between growth and cost control as key elements underpinning the quarter’s setup. Truist reaffirmed a Buy rating on January 13, 2026 with a $260 target, communicating expectations for solid adjusted EPS performance and further platform-driven efficiency gains. Berenberg increased its London price target on January 20, 2026 to GBP213 while maintaining Buy, reflecting constructive multi-segment momentum and a durable pathway for revenue expansion.These perspectives coalesce around a consistent theme: the quarter’s forecasts—revenue at $4.98 billion (up 31.54% year over year), EBIT at $490.32 million (up 24.45%), and adjusted EPS at $1.99 (up 5.67%)—frame a supportive backdrop for earnings execution. Analysts see the segment mix as balanced, with Sports supplying event-driven upside and Games providing steadier monetization, together offering multiple levers for earnings resilience. The focal questions from the buy-side emphasize margins and promotional discipline, yet the prevailing assumption among the bullish cohort is that the company’s approach to engagement, personalization, and platform operations will be sufficient to sustain the forecasted growth rates. The concentration of Buy ratings and the breadth of institutional support suggest that, provided the company meets or modestly exceeds headline estimates and outlines a clearer trajectory for margin normalization, the stock could see constructive follow-through post-print. As a result, the majority stance in the research community anticipates a positive earnings outcome and a stable forward guidance narrative, with attention concentrated on how management calibrates promotional intensity and articulates operating leverage within Sports and Games for the remainder of the year.
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