Rush Street Interactive bullish on state dominance
Online gaming and betting solutions provider Rush Street Interactive was in a bullish mood after announcing third-quarter revenues in the range of $75m-$77m.
The group added that advertising and promotion costs for the three months period ended September 30 will be less than $20m.
Richard Schwartz, President of RSI, said RSI was top dog in in U.S. online casino revenue according to Eilers & Krejcik Gaming.
He said RSI was the number 1 operator by revenue in Pennsylvania and Illinois, the two largest population states that have legalized online gaming.
The group operates the online gaming and betting solutions to the brands BetRivers in Illinois and PlaySugarHouse in Pennsylvania.
Schwartz added that RSI “accounted for 86% of statewide online sports betting handle in Illinois in August 2020.”
“Furthermore, we are achieving these results with a disciplined approach to our customer acquisition and marketing costs.
“We look forward to continuing to innovate our offerings and to bringing more gaming enthusiasts onto the BetRivers.com and PlaySugarHouse.com platforms in the months ahead.”
In July, Rush Street Interactive joined DraftKings and Golden Nugget in going public via a special purpose acquisition company (SPAC) dMY Technology Group.
The move shows the ongoing appetite for igaming stocks in the US as investors look to back operators and suppliers on the public markets.
The group will revert to Rush Street Interactive as its company name once the transaction is complete. It will trade on the New York Stock Exchange under the ticker symbol ‘RSI’.
RSI’s figures in Illinois are impressive, but are somewhat skewed by the fact that the brand was first to launch in the state and had the intrastate market to itself for most of August.
Draftkings and FanDuel went live in early and late August respectively.
With remote registration disabled for most of the month they were unable to register customers during that period.
As the two leading brands in US sports betting they are expected to compete strongly with RSI in Illinois in the coming months.
Illinois Governor J.B Pritzker is due to announce whether players will be able to register remotely very shortly, the feature is set to come to an end this weekend.