Rush Street Interactive bows out of sports betting partnership with Connecticut Lottery
Rush Street Interactive (RSI) has come to a joint agreement with the Connecticut Lottery Corporation (CLC) to wind down their online and in-person sports betting partnership in the US state.
While the CLC begins to look for a new sportsbook partner, RSI will continue to operate the state lottery’s sports wagering services until a replacement is found, with a transition expected to take place in the second half of 2023.
RSI CEO Richard Schwartz commented: “We thank the CLC for their partnership over the last two years. We are proud of what we have accomplished together in Connecticut and have enjoyed the relationships that we have built with the players.
RSI CEO Richard Schwartz: “Through the transition we plan to continue to support all player wagers and ensure a positive player experience and expect the changeover will have an immaterial impact on our guidance for 2023.”
“Consistent with our long-term strategic goals, after much deliberation and discussions with the CLC, we believe it is in the best interest of RSI and our stockholders to wind down this partnership.“Through the transition we plan to continue to support all player wagers and ensure a positive player experience and expect the changeover will have an immaterial impact on our guidance for 2023,” Schwarz added.
Earlier in March, RSI revealed that it expects to achieve positive adjusted EBITDA for the second half of 2023.
In Q4 2022, RSI generated a 27% year-on-year revenue increase to $165m.
The company’s Q4 2022 net loss was $31.1m, an improvement from the $38.1m in net losses it saw in Q4 2021.
For 2023, RSI anticipates revenue in the range of $630m to $700m. Achieving the midpoint of $665m would result in a 12% increase compared to the previous year.