A disastrous trading period for Flutter Entertainment has ultimately led to the group’s CEO stepping down.
Peter Jackson has held the role for almost a decade, guiding Flutter through one of the most tumultuous periods for the gambling industry in the modern era.
But challenging conditions in the second quarter of 2026 have led to damaging financial results for the firm, who have been forced to revise earnings estimates as their share price continues to fall.
Jackson is the latest in a line of senior staff members at Flutter to have left their positions as the group looks to arrest their alarming decline.
Challenging Conditions
Flutter, the owner of Betfair, Paddy Power, Sky Bet and a host of other brands, announced their financial results for the second quarter of 2026 on Wednesday.
Although there was some positivity – group revenue was up 3%, year on year, to $4.3 billion (£3.2 billion), the general consensus was that this was an earnings update of real concern to investors.
Adjusted earnings were down a whopping 45% worldwide and 70% in the American market; a jurisdiction upon which Flutter has pinned a lot of their revival hopes following the acquisition of FanDuel in 2025.
Indeed, their revenue was down 6% in the second quarter in the US, with adjusted earnings falling by a calamitous 70%.
The reasons for the poor trading are various, but the Gambling Tax hike in the UK – as well as increased marketing spend on the World Cup – have been cited.
There’s also the long-term challenges posed by prediction markets, which are eating into the profit margin of traditional bookmakers. Brands like Polymarket and Kalshi are posting considerable numbers and taking market share from sportsbooks like those operated by Flutter; their customer numbers fell sharply at the tail-end of 2025.
As a consequence, estimates have been reduced by 2% for revenue and 7% for adjusted earnings.
In a moment of rare positivity, Flutter chiefs did report that quarter three had started reasonably well, with ‘good engagement’ during the football World Cup and results that were described as ‘favourable’ to their bottom line.
But that is unlikely to arrest the decline in the firm’s share price, which has tumbled by around 66% over the course of the past year – with a 10% drop on Wednesday following the earnings call.
Flutter officially delisted from the London Stock Exchange on Monday after switching their main listing to the New York Stock Exchange instead.
Change at the Top
Those numbers explain why the leadership group at Flutter have been under so much pressure in recent years.
Shareholders are not getting any return on their investment – quite the opposite, really, with those at the top of the operational chain held up as the scapegoats.
Back in May, Amy Howe – who had served as the chief executive of FanDuel for more than five years – left her role in abrupt fashion.
She has been joined this week by Jackson, who will leave his position as group CEO in October – albeit he will stay on until the end of the year in an advisory capacity.
Jackson has been part of the furniture at Flutter since 2013, when he was appointed as a non-executive director of Betfair.
He was appointed chief executive of Paddy Power Betfair in January 2018, helping to guide the company through their merger with the Stars Group; a move which, at the time, created the world’s largest online betting operator.
The relaxation of the laws surrounding gambling in America saw Jackson plot Flutter’s expansion into the United States, while the most recent challenge at the top of his to-do list has been the reaction – and necessary cost cutting – since the UK gambling tax grab was announced last November.
Reflecting on his time with the firm, Jackson said:
“It has been such a privilege to lead Flutter’s transformation and I am incredibly proud of what we have achieved over nearly nine years.”
John Bryant, the chairman of Flutter’s board, said of Jackson’s tenure:
“He has led its [Flutter] growth into a truly global business, built a portfolio of market-leading brands and strengthened the capabilities that underpin its success.”
Jackson will be replaced by Dan Taylor, the current chief executive of Flutter’s international division and a former director of Paddy Power Betfair’s retail operations.
Taylor commented:
“The opportunities ahead are significant – both those we see in the market today and those we will create ourselves in the future.
“I look forward to leading the business as we continue to innovate, grow and build on the strengths that make Flutter unique.”