New Name For Paddy Power Betfair US Operations

Published Wednesday, March 06, 2019 - Online-Casinos.com
New Name For Paddy Power Betfair US Operations
Paddy Power Betfair has made an interesting decision to change its stripes and use a different name to sell its services in the USA gambling market. The new identity proposed subject to the share holders approval is to be Flutter Entertainment. According to the reaction in the stock market the investors pulled back with the share price going down 2.6% at the close of Wednesday’s trading. The 2018 double-digit decline in profit was pinned on the betting company’s US expansion efforts resulting in the purchase of FanDuel’s US oriented operations. The rebranding as Flutter Entertainment plc has the firm insisting that here are “no plans to use this historical name for consumers,” and it believes the name change will reflect the “increased diversity of our brands and operations.” The Flutter brand originally belonged to a betting exchange rival to Betfair. Paddy Power Betfair revealed its 2018 earnings decline was mostly due to its £24m investment in the USA’s new legalized sports betting market. Paddy Power Betfair’s CEO Peter Jackson called “the most significant development to occur within the sector since the advent of online betting.” The company’s Online gambling revenue was up 5% to £948m, with sports revenue up 3% to £678m this was despite a 3% fall in betting handle. Representing 38% of online betting, exchange betting reported revenue falling 2% last year, which it is said was caused by weather related racing cancellations. The rise of online gambling revenue which rose 13% to £270 m was a significant uptick from gaming’s 2% decline in 2017 and was attributed to better cross-selling of products, the release of new gaming apps and a “significant enhancement” of the gaming product embedded in its sports applications. The company revealed a four-pillar strategy for future growth including maximizing profitable growth in its core markets of UK, Ireland and Australia, expanding Betfair internationally, attaining “podium positions” in additional regulated markets and “rigorously” pursuing opportunities in the USA.

Related news

Return to Latest News