Flutter Entertainment plc

Hello, everyone. Thank you for joining us and welcome to Flutter Entertainment Q1 2026 earnings call. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. I will now hand the conference over to Paul Timms, Group Director of Investor Relations. Paul, please go ahead.

Hi everyone and welcome to Flutter's Q1 update call. With me today are Flutter's CEO Peter Jackson and CFO Rob Coldrake. After this short intro Peter will open with a summary of our operational progress and then Rob will go through our Q1 financials and our updated guidance for 2026. We will then open the lines for Q&A. Some of the information we are providing today including our 2026 results to differ materially from those indicated in these statements these factors are detailed in our earnings press release and our sec filings in addition all forward-looking statements are based on current expectations and we undertake no obligation to update any forward-looking statement except as required by law also in our remarks or responses to questions we will discuss non-gap financial measures reconciliations are included in the results materials we have will now hand you over to Peter.

Thank you, Paul. I'm pleased to share our Q1 results and update you on the progress made against the key strategic objectives we outlined in February. But first, I wanted to address the management changes we've announced today. Amy Howe will be leaving the business. I'd like to thank Amy for her contribution to Flutter and Fangio and recognise the impact she's had on the business since joining in 2021. We wish her every success for the future. Looking forward, the US market and Fangio's number one position within it represents one of the most significant growth opportunities in our industry. And it is essential that we have the right structure and leadership in place to fully capitalize on it. Dan Taylor's track record of driving growth and executing on complex strategies make him ideally suited for his expanded role. Christian Janetsky has proved to be an exceptional leader and has been instrumental in scaling the Fangio business and market leadership. These changes will sharpen our focus on the U.S. sportsbook, strengthen the connection between our U.S. and international divisions, and fully leverage the group's expertise, capital, and strategic ambition. I'm confident this gives us the right structure for long-term success and strengthens our ability to deliver sustained long-term growth. Now turning to the results in the quarter. In the U.S., we saw encouraging signs in underlying growth in Q1. Overall amps were 1% behind last year and revenue grew 6%, with headline KPIs improving as the quarter progressed. As outlined in February, overall sportsbook performance was adversely impacted by NFL trends observed in Q4, where persistently high gross revenue margins negatively impacted customer activity, leaving us with a smaller player base as we enter 2026. We outlined our sportsbook and generosity improvement plans to maintain our leadership position in these areas, and we're now executing against them. From a generosity perspective, we're focused on delivering a truly customer-first proposition. Examples include the launch of early win promotions during March Madness, and opportunistic payouts to capture the social side of betting, which aided engagement. Mets fans will know what I mean. In April, we began rolling out our Sportsport Naughty programme, which has had a very positive response from the initial cohort of customers to gain access to the programme. We also launched BetProtect Plus, an industry-first generosity mechanic, allowing customers to ensure their bets for the full game for small fees. The initial response has been excellent, with adoption rates doubling our expectations and continuing to grow. From a Sportsport perspective, Product enhancements in the quarter include the expansion of our popular path-the-leg feature to Super Bowl, more personalized and simplified NBA same-game parlay building with Betis again, and full-screen streaming for key sports. And these changes are gaining traction with our customers. Underlying trends across our headline KPIs have been positive, with amps, handle, and structural revenue margin all improving through the quarter. Looking ahead, they have a strong pipeline of improvements planned, and we expect these positive trends to continue into Q2. This includes significant expansion of our new loyalty programme through Q2 and Q3, ahead of a full rollout for the NFL 2026-2027 season, and new soccer product features ahead of the World Cup. In iGaming, FanDuel delivered another strong growth of quarter, another strong growth of growth, another strong quarter of growth, sorry, with AMS at 10%. Expansion of our direct casino player base, coupled with improved frequency among higher value cables, drove revenue growth of 19% year over year. This was driven by enhanced rewards delivered through our loyalty program, including daily reward boxes and the continued rollout of new and exclusive content. At the start of April, we migrated PokerStars customers to the Fangio platform, unlocking improved products and cross-state liquidity for poker customers. Turning now to prediction markets. First, we continue to see limited cannibalization impact on prediction market operators and our Sportsbook growth. We believe this is attributable to the fundamental differences in product propositions between Sportsbook and prediction market platforms, customer age profiles, and concentration of prediction market activity amongst entertainment-first and low-value users. However, we continue to monitor the impacts of prediction market in the broader sports betting ecosystem. Second, in terms of the opportunity, we continue to view prediction markets as an attractive, incremental customer acquisition opportunity ahead of sports betting regulations in new states. The fast-moving and complex regulatory environment has at times made product delivery timescale challenging. However, we are prioritizing new product rollouts and focus on building the operational flexibility required to deliver our ambitions. In March and April, we widened our range of sports markets and early testing of our generosity capabilities, so encouraging returns with strong app downloads through March Madness. We launched the Fangio One app at the start of April, dynamically serving customers sports betting in sportsbook states or prediction markets in non-sportsbook states. Critically, this now allows us to leverage Fangio's strong nationwide brand awareness. where just one app delivers access to an increasingly compelling sports experience. While Q1 revenues were modest, reflecting the early stage of the journey, we are focused on delivering the improvements needed during 2026 to serve customers an exciting sports-led experience by Q4. The 26-27 NFL season launch will be a major milestone, with further improvements planned for the FISA World Cup. We believe our world-class proprietary pricing capabilities can also unlock significant market-making opportunities. We began market-making services on a major third-party prediction market platform in April. Early indicators have been encouraging and we expect to launch the initial phase of our market-making platform in the coming months, turning to our international segment. Our performance in Italy has been extremely strong. We are the clear number one operator online, outgrowing the market and our main competitors. This performance is even more remarkable given the drag from our SNI business, which while in growth during the quarter, had yet to benefit from the migration onto the SEA platform, which successfully completed at the end of April, transitioning around 2 million accounts. CSAO's market-first MyCombat product saw excellent engagement with multi-leg bets contributing half of pre-matched soccer handles, with over 30% of bets carrying five or more legs. And this drove a significant step up in parlay penetration and structural margin. In iGaming, CSAIL benefited from the continued rollout of exclusive content. I'm very excited about the outlook for the rest of the year in Italy, with CSAIL's ongoing exceptional performance and the unlocking of CSAIL's market-leading product, Asnai, following the platform migration. In the UK, strong double-digit iGaming revenue growth was delivered across Paddy Power, Tombola, and Betfair, driven by new slots content and robust retention. Although Skybet's performance has been behind our expectations, as customers adapted to the new user interface post-migration, momentum has improved with its highest customer acquisition volumes in five years in January and underlying sportsbook revenue returning to growth in March. Market competitiveness remains stable. ahead of the UK iGaming tax increase of 40% on the 1st of April. We now expect less profitable operators to begin adjusting marketing and generosity strategies. As a leading UK operator, Flutter is well-placed to deliver material first-order litigation, as previously outlined, and to benefit from second-order market share gains over time. In Brazil, performance remained encouraging. We bet Nathaniel Amps, over 40% higher year-over-year. We will soon integrate our proprietary pricing capabilities, unlocking a best-in-class parlay product and promotional improvements ahead of the FIFA World Cup in June. In APAC, we saw modest year-over-year growth in sportsbook amps and handle, and racing, including greyhounds, while still declining year-over-year, was ahead of our expectations. We also welcome advertising restrictions announced in APAC, in this market-leading position. Overall, I'm pleased with how we've executed on our priorities across the group, and particularly in the US, where we've made significant progress embedding the improvements discussed at Q4. Fangio Predicts is building momentum, and I'm excited about our market-making opportunity. Internationally, our SNAI and NSX integration is progressing well, and we are investing with conviction in Brazil. We now have the right organisational structure in place to deliver against our strategic priorities, giving me confidence in the outlook for the year and our ability to deliver sustainable shareholder long term value. Finally, I wanted to note our plans to review our London Stock Exchange listing as we consider streamlining the dual listing. We expect this review to conclude during Q2 and we'll update on our findings at that time. I'll now hand you over to Rob.