CEO Schwartz hails strong momentum helping Rush Street Interactive push through Q2 headwinds
Summary
Article Date: Fri, 01 Aug 2025 11:24:24 +0000
Rush Street Interactive (RSI) posted record Q2 revenue and adjusted EBITDA despite tax-related headwinds in Colombia. Revenue for the quarter reached $269.2m (up 22% year‑on‑year) and adjusted EBITDA rose 88% to $40.2m. Net income improved to $28.8m, reversing a small loss in Q2 2024. This marks the ninth consecutive quarter of sequential revenue and EBITDA growth, prompting RSI to raise its 2025 guidance: revenue $1.05bn–$1.1bn and EBITDA $133m–$147m.
Source
Key Points
- • Q2 revenue: $269.2 million, +22% year‑on‑year.
- • Adjusted EBITDA: $40.2 million, +88% year‑on‑year.
- • Net income: $28.8 million vs a $0.3 million loss in Q2 2024.
- • Ninth straight quarter of quarter‑on‑quarter revenue and adjusted EBITDA growth.
- • Company raised full‑year 2025 guidance: revenue $1.05bn–$1.1bn; EBITDA $133m–$147m.
- • Strong North America performance: Delaware iCasino GGR $102m over 12 months; NA monthly active users ~197,000 (+21% YoY); ARPMAU $391.
- • Mexico: revenue +125% YoY; seen as a major future market for RSI.
- • Colombia VAT (temporary 19% on deposits) hit net revenue despite GGR +70%; bonusing used to blunt player impact; rebound expected in 2026 once VAT ends.
- • LatAm total addressable market (TAM) forecast c. $28.9bn by end of 2028; live in Colombia, Mexico and Peru with Chile, Ecuador, Argentina (and potentially Brazil) on the radar.
- • Shares jumped 25.53% on the day, +101.4% over the past 12 months.
Content summary
RSI delivered a strong operational beat in Q2: double‑digit revenue growth, a large uplift in adjusted EBITDA and a swing to positive net income. Management credits market momentum across North America and LatAm for performance, while acknowledging temporary tax pressures in Colombia that have depressed net revenue via bonusing strategies designed to protect players.
North American iCasino strength (notably Delaware and Michigan) helped offset the Colombia VAT headwind. Mexico is highlighted as a rapidly growing market that could become one of RSI’s largest, with revenue and engagement metrics improving quickly. The firm continues to target LatAm expansion and projects a sizeable TAM for the region.
Context and relevance
This quarter underlines RSI’s ability to scale in regulated markets and manage regulatory or fiscal shocks without derailing growth. For investors, operators and partners, the results show resilience in product demand and effective market execution — especially in iCasino verticals across the US. The Colombia VAT episode is a useful case study in how temporary regulatory taxation can distort net revenue and why geographic diversification matters.
Author’s take (punchy)
RSI’s Q2 is a clear operational win: consistent topline growth, margin expansion and raised guidance. If you follow operator performance or regional market roll‑outs, this is a priority update — the company is executing where it can deploy its full product suite and is already seeing that pay off.
Why should I read this?
Want the quick version? RSI smashed expectations for growth and profitability this quarter even with a nasty VAT in Colombia. If you care about which operators are winning in regulated iGaming markets (and where growth will come from next), this saves you the time of wading through the full earnings call — Mexico and US iCasino strength are the bits to watch, and the Colombia VAT is temporary.