Rush Street Interactive Sees Huge Growth

Rush Street Interactive’s revenue rocketed to $278.5 million in 2020, a 337% increase, on the strength of its online casino and growing sports betting business.

The online wing of Chicago-based Rush Street Gaming saw Q4 revenue reach $100 million, but costs also jumped, leading to a net loss of $48.8 million on the quarter. Still, the company has to be pleased with its trajectory.

• In Q4 2020, RSI more than doubled its monthly average users from Q4 2019, and grew its revenue per user 73% year-over-year to $328.
• The quarter was RSI’s first after going public via a SPAC merger with dMY Technology Group at a $1.8 billion valuation.
• RSI expects revenue to climb another 58% to around $440 million in 2021.

RSI estimates that the nine states where it was active in Q4 have a combined betting market size of $9.5 billion. It believes the U.S. would have a $35 billion market if gambling was legalized throughout the country.

The gambling hub is moving into new territory quickly: RSI recently secured deals to move into Ohio, Maryland, and Missouri. It opened sportsbooks in Virginia and Michigan in January.

However, the company is still generating five times more revenue from its online casino customers than its sports betting ones, who are younger and lean heavily male.