Rush Street Interactive announces 370% YOY revenue rise for Q3
Operator increases full-year revenue guidance as losses widen to $28m on increased marketing and expansion costs
Rush Street Interactive (RSI) recorded a 370% year on year (YOY) revenue increase for Q3 2020 during a “transformational year” for the group as described by CEO Greg Carlin.
The Chicago-based operator posted Q3 2020 revenue of $78.2m, up from just $16.7m in Q3 2019, while EBITDA leapt to $9.9m from $1.3m in 2019.
RSI also ramped up its marketing and advertising spend YOY as it expanded into new states, with the figure hitting $17.5m for 2020, up from $9.7m in 2019.
The increased marketing and promotion expenditure corresponded in a 135% YOY increase in real-money active users in the US, with that figure also rising 87% quarter on quarter.
However, RSI did note a 1,656% increase in comprehensive losses at $28.1m for Q3 2020 compared to $1.6m in Q3 2019.
Following the Q3 results, RSI re-evaluated expected total revenue for the full year, with the operator expecting to achieve between $265m and $275m, up from its midpoint prediction of $225m.
Carlin said the strong foundations RSI had laid so far would serve the group well as it looks to expand into new markets, and reinforced the importance of going public via its SPAC agreement with dMY Technology.
Carlin said: “Solid execution and financial discipline helped drive our third quarter success. As we move toward completing a transformational year for RSI, we have built a strong technological and operational foundation that we expect will continue to serve us well as we expand into new markets.
“We are excited to be on the path to becoming a publicly listed company and expect that our customer acquisition strategy and growing market share will create sustainable long-term value for our shareholders,” he added.