Rush Street Interactive (RSI) 28th Annual Needham Growth Conference Virtual summary

Business performance and growth trends

• Focused on delivering a premier casino experience, leveraging proprietary technology to drive market share gains, especially in casino markets.

• International business, including Latin America and North America, is experiencing strong growth across sports, casino, and poker segments.

• Q3 saw monthly active users in North America up 34%, and 46% growth in online casino markets, marking the fastest year-over-year growth in four years.

• Achieved record first-time depositors in Q3, up 10% over the prior quarter, without new market launches.

• Marketing execution has enabled record customer acquisition while reducing cost per customer.

Competitive and regulatory environment

• Competitive environment is becoming more rational, with some competitors increasing focus on online casino due to its high player value.

• Exit of ESPN BET has not had a meaningful impact on the market.

• Prediction markets are highly competitive but currently have little impact on core markets or future growth.

• Monitoring prediction markets closely, with no immediate plans to launch a similar product.

Regulatory and legislative outlook

• Expectation of increased iCasino legalization, with New York and Virginia introducing bills and other states like Indiana and Maryland showing interest.

• Financial pressures on state budgets, especially post-midterm elections, are likely to accelerate iCasino legalization.

• iCasino is seen as a reliable source of tax revenue, with Michigan generating over $2 billion in five years.

• No significant chatter about further tax hikes in key casino markets; recent tax changes in Colombia are more favorable than previous regimes.