Rush Street Interactive Rallies After Lifting 2025 Guidance

• Shares of online gaming company surge after operator boosts outlook
• At midpoints of forecast ranges, EBITDA and revenue expected to jump 16% and 51%, respectively

Rush Street Interactive (NYSE: RSI) is Wednesday’s after-hours gaming winner as the stock is trading higher by more than 11% after the digital gaming operator upped its 2025 financial outlook.

In conjunction with its second-quarter earnings report, which was impressive in its own right, Rush Street unveiled updated 2025 revenue and earnings before interest, taxes, depreciation, and amortization (EBITDA) guidance. That ignited a rally in a stock that’s already on a scintillating run as highlighted by a year-to-date gain of 17%.

Chicago-based Rush Street Interactive told investors it now expects 2025 sales of $1.05 billion to $1.1 billion on adjusted EBITDA of $133 and $147 million. At the midpoints of those ranges, those metrics are expected to increase 51% and 16%, respectively.

Those forecasts pertain only to the jurisdictions in which RSI is currently operational and don’t take into account the possibility of tax alterations in those regions.

Rush Street Guidance Latest Sign of Digital Gaming Strength

Rush Street Interactive lifting its 2025 financial outlook is the latest bullish sign from the iGaming/online sports betting space. Importantly, those positive signals have been mounting of late.

That ball got rolling earlier this month when Flutter Entertainment (NYSE: FLUT) purchased the 5% of FanDuel it didn’t previously own from Boyd Gaming (NYSE: BYD) at a fair price, but one that also implies significant value in that internet wagering behemoth.

On Tuesday, Caesars Entertainment (NASDAQ: CZR) told investors the second quarter was one of the best on record for its digital unit.

“The consistency and strength of our business model is evident in our results, particularly in North American markets that include online casino, where we saw Monthly Active User growth exceeding 30%,” said RSI CEO Richard Schwartz in a statement.

RSI Impressed in Q2 as Well

Rush Street Interactive’s forward-looking guidance is what matters to market participants, but the company’s second-quarter numbers impressed, too. During the April through June period, the operator posted net income of $28.8 million after losing $300,000 in the year earlier timeframe.

Adjusted EBITDA surged 88% to $40.2 million while revenue jumped 22% to $269.2 million. Rush Street Interactive added that it bought back $2.5 million worth of its own shares during the second quarter and that it has $42 million remaining on a $50 million repurchase plan announced last October.

“Our impressive record Adjusted EBITDA growth of 88% year-over-year was driven by strong, broad-based performance across our business, with online casino revenue growing 25% and online sports betting up 15%,” added Schwartz.