RSI raises guidance for 2021 after exciting first quarter
Rush Street Interactive raised its full-year guidance as the online gaming and sports entertainment company underscores the excitement of its results in the first quarter of the year.
Revenue in the quarter ending March 31, 2021, rose 218 percent to $ 111. 8m (2020: $ 35. 2m), and the number of active users in the US increased 166 percent year-on-year and 20 percent sequentially from the fourth quarter of 2020, with average monthly revenue per active user at $ 302 compared to $ 341 for the previous quarter.
Adjusted EBITDA changed from $1.1 million in 2020 recorded a loss of $ 15. 1m for the current year, wit h advertising and promotion cost in dollars 40. 5 million or 36 percent of revenue in the first quarter of 2021 compared to $8.5 million a year earlier.
"We are excited about our strong first quarter results, which saw the launch of online casino and sports betting in Michigan and online sports betting in Virginia, and delivered revenue growth of 218 compared to the first quarter last year. We are also pleased with our quarterly growth, supported by our strong and stable casino results, "said Greg Carlin, RSI CEO .
"We continue to have solid momentum as we launched an online casino in West Virginia in April and we are now residing in the four largest online casino markets in the U.S. where we expect significant profitability over the long term.
"Additionally, due to our strong cash position, we were able to increase our 2021 marketing spend. Short average payback periods of just six months give us confidence in our ability to successfully increase marketing spend while maintaining continued strong revenue and MAU growth. As a result, we are increasing our 2021 revenue guidance. "
In addition, RSI now expects revenue for the full year ending December 31, 2021 from $ 440m to $ 480m, up from the previous guidance of $ 420m and $ 460m.
A mid-range revenue of $ 460m would represent a 65 per cent year-on-year increase when compared to $ 278. 5m revenue for 2020.
According to the group, the increase reflects strong Q1 2021 results and anticipated growth in recently opened and existing markets as a result of increased marketing spend funded by cash on hand.