Rush Street Interactive, Inc., a prominent player in the online casino and sports betting sector within the United States and other regions in the Americas, has disclosed its financial achievements for both the fourth quarter and the entirety of 2023.
For the final quarter of 2023, Rush Street Interactive reported a revenue of US$193.9 million (£152.2 million/€178 million), marking a 17% increase from the $165.5 million recorded in the same period of 2022. Despite this growth, the company noted a net loss of $5.5 million for the quarter, which shows an improvement from a net loss of $31.1 million in the fourth quarter of the previous year. Adjusted EBITDA for this quarter stood at $11.5 million, a significant positive swing from a loss of $17.3 million in the last quarter of 2022. Furthermore, advertising and promotions expenses saw a 45% reduction to $34.6 million.
In terms of user engagement, the Monthly Active Users (MAU) in the US and Canada rose by 7% year over year to approximately 160,000, while in Latin America, including Mexico, MAUs increased by 33% to about 204,000. The Average Revenue per Monthly Active User (ARPMAU) also saw increases in both regions.
As of the end of 2023, the company had $168 million in unrestricted cash and cash equivalents. Notably, Rush Street Interactive launched its Online Casino and Sportsbook operations in Delaware on December 27, 2023.
For the entire year, Rush Street Interactive’s revenue reached $691.2 million, up 17% from the previous year. The company reduced its net loss significantly to $60.1 million from a net loss of $134.3 million in 2022. Adjusted EBITDA for the year was $8.2 million, marking a substantial recovery from a loss of $91.8 million in 2022. The year also saw a noteworthy decrease in adjusted advertising and promotions expenses, and the company experienced a revenue increase of over 50% in Latin America.
Looking ahead to 2024, Rush Street Interactive sets its revenue guidance between $770 and $830 million, anticipating a continuation of the strong performance seen in the fourth quarter of 2023. The company expects Adjusted EBITDA to range between $35 and $45 million for the year, indicating significant year-over-year growth. This forward-looking guidance is based on current operations and market presence.
This financial overview highlights Rush Street Interactive’s strategic improvements and operational efficiency, setting a positive outlook for continued growth and profitability.
Richard Schwartz, Chief Executive Officer of RSI, said, “We concluded 2023 with a fourth quarter that produced records in both revenues and adjusted EBITDA. For the year, we grew revenue to $691 million on strong customer engagement and retention. At the same time, we improved our Adjusted EBITDA by $100 million compared to the prior year. These results and the ensuing momentum have carried into strong guidance for the new year, reflecting our longstanding customer-centric principles and obsession with developing innovative and differentiated user experiences.
“With a substantial cash balance and no debt, our financial wherewithal provides us the luxury of being able to continue executing on our long-term strategy and investing appropriately in new markets. Our strong launch in Delaware exemplifies our ability to identify and grow new and exciting markets, including the opportunities we are pursuing across the Americas.”