Key Highlights

  • Revenue of USD 385.9 million rose 39% year over year but trailed the USD 388.05 million consensus estimate.
  • Adjusted EPS of USD 0.15 topped the USD 0.13 consensus estimate, while GAAP diluted EPS was USD 0.10.
  • Adjusted EBITDA reached USD 62.2 million, up 73%, and Latin America revenue grew 218% in the period.
  • Monthly active users totaled 907,881, up 42% year over year, including a record 300,572 in North America.

Rush Street Interactive, Inc. (NYSE:RSI) reported third-quarter 2026 revenue of USD 385.9 million, up 39% from USD 277.9 million and slightly below a consensus estimate of USD 388.05 million. Adjusted earnings per share were USD 0.15, above a consensus estimate of USD 0.13 and up from USD 0.09 a year earlier. GAAP diluted earnings per share were USD 0.10 versus USD 0.06.

Net income rose 93% to USD 28.7 million, of which USD 11.8 million was attributable to the company after non-controlling interests. Income from operations climbed to USD 42.7 million from USD 19.5 million. Cash and equivalents ended September at USD 381.9 million with no debt outstanding.

Casino, Latin America and Margin Drivers

Online casino made up 75% of revenue and grew 32%, while online sports betting, near 25% of revenue, grew 70% on Latin America and World Cup activity. North America revenue rose 14% and Latin America revenue rose 218%. Gross margin was 36.4%, up 240 basis points. Adjusted sales and marketing expense of USD 54.7 million, or 14.2% of revenue, increased 44% as management leaned into low player acquisition costs.

Monthly active users reached 300,572 in North America, up 34%, and 607,308 in Latin America, up 46%. Average revenue per monthly active user in North America was USD 309, down 15%, while the Latin America figure was USD 58, up 113%. General and administrative expense included a gain of about USD 4.3 million on converting Colombian pesos to US dollars. Without it, adjusted EBITDA would have been USD 57.9 million.

Guidance and Regulatory Backdrop

The company reiterated full-year 2026 revenue guidance of USD 1.56 billion to USD 1.60 billion, or 38% to 41% growth, and adjusted EBITDA of USD 245 million to USD 265 million, or 59% to 72% growth. Management said October trends point toward the low end of the revenue range and near the midpoint of the EBITDA range. The ranges include only live jurisdictions and assume the temporary 16% Colombian excise tax stays in place through year-end.

CEO Richard Schwartz said Colombia's 2027 budget, approved October 20, carried no new gaming taxes, so the rate reverts toward the original 15% once the emergency decree lapses at year-end. He also described Alberta, launched July 13, as a gradual build, with first-time depositors and daily active users tracking above 2 times Ontario's pace on a population-adjusted basis. The company is watching state legislation, since only about 12% of the US population has access to regulated online casino.

Signposts Ahead

Four items frame the next update. The first is where revenue lands inside the USD 1.56 billion to USD 1.60 billion range, given the comment about the low end. The second is Colombia, where the 16% emergency excise tax is scheduled to expire at year-end. The third is Alberta, now more than three months into its launch. The fourth is buybacks: about USD 14 million was repurchased in the quarter and another USD 11 million since quarter end, leaving USD 75 million of authorization under the USD 100 million program.