BetRivers parent stock jumped 18% after their second straight quarter with strong results

For the second straight quarter, Rush Street Interactive had strong results in the market. Additionally, their stock jumped nearly 18%. Rush Street Interactive is the parent company of BetRivers. Their CEO Richard Schwartz said it is clear that their approach is working. They continue to exceed their expectations and this past quarter was the game. After seeing the growth, Rush Street expects an adjusted EBITDA of $68 million at the midpoint of the new range. Their previous midpoint of $55 million is a step up from the $8.2 million in all of 2023. That is a 23.6% jump.

Rush Street is seeing customer growth in the market

According to Rush Street Interactive, there was a 24% increase in monthly activities in the United States and Canada. Latin America and Mexico saw a 79% increase to 288,000. Rush Street benefits from a less intense promotional market across sports-only and iGaming. Even with growth in the market, their advertising and promotional expenses fell 10% to $36.3 million for the second quarter of 2024. Revenue per monthly user in Latin America dropped from $38 to $37. Not an incredibly significant change. However, US and Canadian markets saw an average revenue up 6% to $380.

Rush Street offers their Basketball Squares promo for the NBA Bets and they saw “material growth” in Q2 of 2024. Bettors would receive a random square entry at no additional cost on qualifying bets for basketball games. That helped the company see parlay bets up 55% this past quarter. Along with their basketball promos, Rush Street had something for the MLB. The new prop central section of their sportsbook led to a 70% increase in MLB player prop bets. On top of that, they saw new customers enter the market with a 50% increase in unique bettors placing an MLB wager.

BetRivers is still trying to open in Delaware

According to CEO Richard Schwartz, Rush Street still has some hurdles in the way preventing it from opening its market in Delaware. Schwartz will likely face more battles for expansion as his efforts failed earlier this year. Rush Street Interactive bet on and won an exclusive license that other operators had passed on. Despite the difficulty in Delaware, Schwarts is still optimistic about what the NFL can do for the company this fall. Sports bettors in the US are drawn to betting on the NFL. Rush Street wants to profit off the bettors they know will be wagering on the NFL in Delaware and other states in the US.