Flutter Entertainment shares rose 2% in early trading on Wednesday after the company issued confident guidance for 2025, projecting strong revenue and profit growth.

The gambling giant, which owns FanDuel in the US, expects adjusted core profit to increase by 34% to $3.2bn this year, with revenue forecast to rise 13% to $15.9bn.

The company reported a significant turnaround in 2024, posting a net profit of $162m compared to a $1.2bn loss in 2023, which was impacted by impairment charges.

Revenue for the year rose 19% to $14bn, while adjusted EBITDA climbed 26% to $2.36bn. Flutter said it had entered 2025 with “strong momentum,” bolstered by its growing customer base and improved sportsbook margins.

In the US, where Flutter is the market leader in online sports betting, the company expects core profit from states it entered before 2022 to nearly triple to $1.4bn in 2025, up from $507m last year.

FanDuel continues to dominate, holding a 36% market share in online gaming revenue and a 49% share of net gaming revenue for sports betting.

Chief executive Peter Jackson said the company was seeing “strong growth” in both revenues and margins in US states where it operates.

He added that the company was benefiting not just from new customer acquisitions but also from existing customers increasing their spending.

The company acknowledged some challenges in 2024, including a streak of customer-friendly results in the NFL season, which impacted betting margins.

However, Jackson said bookmakers had to accept that sports results were “inherently volatile” and pointed to Flutter’s global presence as a key advantage in managing these fluctuations. Strong performance in markets such as the UK, Italy, and India helped offset the impact of US sports betting trends.