Contradictions Uncovered: Rush Street Interactive's 2025Q2 Earnings Call on Colombia Strategy, Tax Impacts, and Market Performance

Colombia market strategy, tax impact on guidance, marketing spend and flow-through, tax increases and market strategy, Delaware market performance are the key contradictions discussed in Rush Street Interactive, Inc.'s latest 2025Q2 earnings call.



Revenue and Profitability Growth:
- Rush Street Interactive, Inc. (NYSE:RSI) reported revenue of $269 million for Q2 2025, up 22% year-over-year.
- The growth was driven by strong performance across North America and Latin America, with a notable increase in active player counts and higher-margin markets.

North America Market Performance:
- MAUs in North America grew to $197,000, up 21% year-over-year.
- This increase was attributed to a focus on markets that include online casino, resulting in over 30% MAU growth and strong performance in states like Michigan, West Virginia, and Delaware.

Latin America Market Expansion:
- MAUs in Latin America reached $403,000, up 42% year-over-year.
- Growth was driven by the addition of new markets and the effectiveness of the company's platform and brand in regions like Mexico and Colombia, despite challenges from temporary taxes.

Adjusted EBITDA and Gross Margin Improvement:
- Adjusted EBITDA reached a record $40.2 million, up 88% year-over-year.
- This improvement was due to strong revenue growth and a gross margin of approximately 35.3%, bolstered by revenue diversification and higher growth in higher-margin markets.

Multi-State Poker Launch:
- Rush Street Interactive launched multi-state poker, establishing BetRivers as a competitor in four states.
- The expansion was aimed at driving cross-selling and engagement, leveraging unique platform functionalities and partnerships with poker ambassadors to enhance user experiences.