Rush Street Interactive has announced preliminary financial results for the third quarter of the year, with revenue expected to be in the range of $75m to $77m on a GAAP basis.
The results, for the period ending September 30, 2020, are subject to completion of the company’s financial reporting process and the preparation of the unaudited financial statements for the quarter.
Furthermore, the online casino and sports betting firm expects advertising and promotion costs for the three months to be less than $20m on a GAAP basis.
These primarily consist of marketing the product via different channels, promotional activities, and the related costs incurred to acquire new customers that include salaries and benefits for dedicated personnel, and are expensed as incurred.
Richard Schwartz, president of RSI, explained: “Notably, RSI has experienced industry-leading results as evident by our being #1 in US online casino revenue according to Eilers & Krejcik Gaming and the #1 operator by revenue in Pennsylvania and Illinois, the two largest population states that have legalised online gaming.
“In fact, RSI accounted for 86 per cent 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.”
On July 27, 2020, RSI announced the intention to be publicly listed on the New York Stock Exchange after entering a definitive agreement with dMY Technology Group which will see the two combine.
Upon closing dMY intends to change its name to Rush Street Interactive, Inc and its NYSE trading symbol to ‘RSI,’ with the combined company expected to have an initial enterprise value of approximately $1.78bn, plus an estimated over $235m in net cash to fund growth strategy.