Rush Street Interactive officials reported in its first earnings call as a public company that its operations as the second-largest online gaming operator in the U.S. has yielded a 337 percent year-on-year increase in revenue for 2020.
The company spun off from operator Rush Street Gaming last year through a merger with dMY Technology, beginning trading on the New York Stock Exchange in December. The earnings call on March 10 announced financial results for the fourth quarter and full year ended December 31, 2020.
Revenue was $100 million during the fourth quarter of 2020, an increase of 260 percent compared to $27.8 million during the fourth quarter of 2019. Net loss was $48.8 million during the fourth quarter of 2020, compared to a net loss of $15.1 million during the fourth quarter of 2019.
Revenue was $278.5 million during full year 2020, an increase of 337 percent compared to $63.7 million during 2019. Net loss was $138.8 million during full year 2020, compared to a net loss of $22.5 million during full year 2019.
Adjusted EBITDA was $4.4 million during full year 2020, compared to $(7.8) million during full year 2019.
According to Eilers & Krejcik Gaming, RSI’s U.S. online casino was the second largest online casino operator as measured by gross gaming revenue during the quarter.
“We are proud to be reporting our first financial results as a public company,” said Greg Carlin, chief executive officer of RSI. “Throughout 2020, RSI continued its rapid expansion in both new and existing markets, achieving revenue growth of 337 percent. We were the second largest online casino operator in the U.S. for the fourth quarter and full year 2020, according to Eilers & Krejcik.
“We achieved these strong results with a modest 2020 marketing expense of $56.5 million. Our significant cash balance at year end plus the incremental cash from our ongoing warrant redemption will allow us to significantly increase 2021 marketing spend and leverage what we believe to be industry-leading acquisition costs, payback rates, and average revenue per user.
“We are significantly increasing 2021 guidance and intend to aggressively pursue opportunities for further growth now that we are better capitalized than at any time in our operating history. We are confident these additional investments will support our goal of being the leader in online casino and driving significant profitability over the long term.”
RSI expects revenues for the full year ending December 31, 2021 to be between $420 and $460 million, up from our previous guidance of $320 million.
