Quarterly income surges by 21% year-over-year to hit $262 million for Rush Street.
Strap in, folks! Rush Street Interactive is slaying it in the online gambling world, raking in some sweet dough in Q1 2025. With a whopping 21% increase in revenue, they're sitting pretty at a cool $262 million, up from $217.4 million in 2024. They've also managed to flip their net income from a measly $2.2 million loss in Q1 2024 to a lip-smacking $11.2 million profit this year!
CEO Richard Schwartz, not one to brag, but he practically does, credit's the stellar performance to their top-notch products and player engagement strategies. He reckons this is all part of their MO of innovation and focus on enhancing the user experience, resulting in the efficient acquisition and retention of high-value players.
So, who's playing Rush Street Interactive's games? Well, their BetRivers and SugarHouse brands are the talk of the town in 15 U.S. states, even powering retail sportsbooks at five casinos. They've got a strong presence in prime market areas like Pennsylvania, New York, and Illinois.
Now, let's dig into the numbers. Monthly active users in the U.S. and Canada saw a 17% year-over-year growth, hitting a whopping 203,000 in Q1 2025. Latin America? They're going bonkers – up a staggering 61%! Revenue per user in North America inched up slightly to $368, while Latin America dipped to $36.
RSI didn't just stop at stock buybacks, either. They splurged a cool $5.2 million on Class A stock as part of their $50 million repurchase plan and upped sales and marketing expenses by 3% to a hefty $38.8 million.
Not all was smooth sailing, though. High tax rates in Colombia and player-friendly results in the Super Bowl and NCAA tournament put a bit of a dent in sportsbook revenue, but it still climbed 11% from Q1 2024. Schwartz puts it down to the Philadelphia Eagles' Super Bowl win, given RSI's strong user base in Pennsylvania, South Jersey, and Delaware.
The real MVP here is iGaming. It delivered a 25% growth, y'all! RSI said 15 of their 16 online markets in North America shown gains, with Delaware leading the pack with an 80% growth, followed by hot shows in Michigan (40%) and New Jersey (27%). Markets outside Illinois and Pennsylvania now account for 64% of revenue, the highest share since the company went public.
RSI remains optimistic about the future of U.S. iGaming expansion, with Schwartz believing that iGaming legalization is bound to gain momentum in the coming years. So, fasten your seatbelts, folks! It's going to be one hell of a ride!
- Rush Street Interactive's iGaming sector showed a significant growth of 25%, with 15 out of 16 online markets in North America experiencing gains.
- The company's focus on enhancing user experience, innovative products, and player engagement strategies has led to a 21% increase in revenue in Q1 2025, amounting to $262 million.
- Sportsbook revenue also saw an increase of 11%, despite high tax rates in Colombia and player-friendly results in the Super Bowl and NCAA tournament, demonstrating Rush Street Interactive's resilience and perpetual growth in the iGaming industry.
