Rush Street Interactive (RSI) is still attracting new customers and generating revenue, but executives are seeing signs that the U.S. online casino market is starting to slow down. The BetRivers parent company reported a 39% increase in third-quarter revenue, even as customer spending declined and growth slowed across North America. Executives acknowledged during a recent earnings call that slower online casino activity could put revenue near the lower end of its projected range. However, CEO Richard Schwartz is looking toward potential legalization in several states as a way to maintain growth in 2027.
According to Rush Street’s quarterly earnings report, the company generated $385.9 million in revenue, up from $277.9 million during the same period last year. Net income nearly doubled to $28.7 million, compared with $14.8 million in the third quarter of 2025.
Adjusted EBITDA also increased 73% to $62.2 million, reflecting another profitable quarter for the online gambling operator. Rush Street has maintained strong momentum throughout 2026, having previously reported earnings that sent its stock higher earlier in the year.
Despite those results, President and CFO Kyle Sauers indicated that recent trends haven’t been as encouraging, per SBC Americas. Online casino activity slowed during August and September, with October showing minimal improvement. Sauers attributed the change primarily to broader market conditions rather than customers moving away from BetRivers.
The company maintained its full-year revenue guidance of $1.56 billion to $1.6 billion, along with adjusted EBITDA expectations of $245 million to $265 million. However, management suggested revenue could finish closer to the lower end of that range if current trends continue.
Rush Street continues to expand its customer base, reaching a record 300,572 monthly active users in North America during Q3. That’s a 34% increase from last year, suggesting the operator is still having success attracting players across its existing markets.
However, average monthly revenue per active user fell 15% to $309. Schwartz explained that newer customers generally spend less than players who joined a year or two earlier, making it harder to maintain the same level of revenue growth as the business matures.
With growth slowing in existing markets, Rush Street is watching several states that could consider legalizing online casinos next year. Schwartz identified Virginia, Ohio, Indiana, Illinois, New York, and Washington, D.C., as potential opportunities, although none has confirmed a launch for 2027.
Virginia could be particularly interesting after lawmakers came close to passing legislation earlier this year. The state has already seen renewed interest in online casino legalization, with another legislative effort possible during the upcoming session. If Virginia opens its doors to regulated iGaming, it can help platforms like BetRivers gain steam again.
