RUSH STREET INTERACTIVE, INC., 10-K filed on 2/18/2026
Annual Report
v3.25.4
Cover Page - USD ($)
 12 Months Ended
Dec. 31, 2025
Feb. 17, 2026
Jun. 30, 2025
Document Information [Line Items]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2025    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-39232    
Entity Registrant Name RUSH STREET INTERACTIVE, INC.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 84-3626708    
Entity Address, Address Line One 900 N. Michigan Avenue    
Entity Address, Address Line Two Suite 950    
Entity Address, City or Town Chicago    
Entity Address, State or Province IL    
Entity Address, Postal Zip Code 60611    
City Area Code 773    
Local Phone Number 893-5855    
Title of 12(b) Security Class A common stock, $0.0001 par value per share    
Trading Symbol RSI    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction false    
Entity Shell Company false    
Entity Public Float     $ 1,376,213,662
Documents Incorporated by Reference
Portions of our Definitive Proxy Statement for our 2025 Annual Meeting of Stockholders, to be filed within 120 days after the end of the fiscal year covered by this Annual Report on Form 10-K, are incorporated by reference into Part III of this Form 10-K. Except with respect to information specifically incorporated by reference in this Annual Report, the Proxy Statement shall not be deemed to be filed as part hereof.
    
Entity Central Index Key 0001793659    
Document Fiscal Period Focus FY    
Document Fiscal Year Focus 2025    
Amendment Flag false    
Class A Common Stock      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding (in shares)   103,175,028  
Class V Common Stock      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding (in shares)   129,176,197  
v3.25.4
Audit Information
 12 Months Ended
Dec. 31, 2025
Auditor Information [Abstract]  
Auditor Name WithumSmith+Brown, PC
Auditor Location New York, New York
Auditor Firm ID 100
v3.25.4
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Current assets    
Cash and cash equivalents $ 336,256 $ 229,171
Restricted cash 4,248 3,585
Players' receivables 15,859 14,910
Prepaid expenses and other current assets 30,481 19,169
Total current assets 406,791 285,046
Intangible assets, net 76,436 77,347
Property and equipment, net 7,740 7,239
Operating lease assets 3,056 2,419
Deferred tax assets, net 157,862 522
Other assets 6,627 6,893
Total assets 658,512 379,466
Current liabilities    
Accounts payable 41,585 25,798
Accrued expenses 81,514 72,702
Players' liabilities 47,669 43,703
Other current liabilities 39,506 20,927
Total current liabilities 210,274 163,130
Tax receivable agreement liability, non-current 128,819 739
Other non-current liabilities 15,928 17,281
Total liabilities 355,021 181,150
Commitments and contingencies (Note 14)
Stockholders’ equity    
Treasury stock, at cost; 733,019 and nil shares as of December 31, 2025 and 2024, respectively (3,177) 0
Additional paid-in capital 251,579 217,675
Accumulated other comprehensive income (loss) 1,431 (3,090)
Accumulated deficit (102,621) (135,929)
Total stockholders’ equity attributable to Rush Street Interactive, Inc. 147,235 78,678
Non-controlling interests 156,256 119,638
Total stockholders’ equity 303,491 198,316
Total liabilities and stockholders’ equity 658,512 379,466
Related Party    
Current assets    
Due from affiliates 19,947 18,211
Class A Common Stock    
Stockholders’ equity    
Common stock, value 10 9
Class V Common Stock    
Stockholders’ equity    
Common stock, value $ 13 $ 13
v3.25.4
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Dec. 31, 2025
Dec. 31, 2024
Treasury stock, shares (in shares) 733,019 0
Class A Common Stock    
Common stock, par value (in USD per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 750,000,000 750,000,000
Common stock, shares issued (in shares) 100,691,255 90,511,441
Common stock, shares outstanding (in shares) 99,958,236 90,511,441
Class V Common Stock    
Common stock, par value (in USD per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 200,000,000 200,000,000
Common stock, shares issued (in shares) 129,609,532 135,748,023
Common stock, shares outstanding (in shares) 129,609,532 135,748,023
v3.25.4
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Statement [Abstract]      
Revenue $ 1,134,428 $ 924,083 $ 691,161
Operating costs and expenses      
Costs of revenue 741,664 602,036 465,014
Sales and marketing 164,650 158,590 160,650
General and administrative 100,720 106,206 87,349
Depreciation and amortization 39,970 32,203 29,759
Total operating costs and expenses 1,047,004 899,035 742,772
Income (loss) from operations 87,424 25,048 (51,611)
Other (expense) income      
Change in tax receivable agreement liability (107,776) (739) 0
Interest income, net 9,273 7,493 2,765
Total other (expense) income (98,503) 6,754 2,765
(Loss) income before income taxes (11,079) 31,802 (48,846)
Income tax (benefit) expense (85,108) 24,566 11,209
Net income (loss) 74,029 7,236 (60,055)
Net income (loss) attributable to non-controlling interests 40,721 4,848 (41,750)
Net income (loss) attributable to Rush Street Interactive, Inc. $ 33,308 $ 2,388 $ (18,305)
Net income (loss) per common share attributable to Rush Street Interactive, Inc. - basic (in USD per share) $ 0.35 $ 0.03 $ (0.27)
Weighted average common shares outstanding - basic (in shares) 95,825,421 81,784,916 68,508,093
Net loss per common share attributable to Rush Street Interactive, Inc. - diluted (in USD per share) $ 0.31 $ 0.03 $ (0.27)
Weighted average common shares outstanding - diluted (in shares) 236,118,275 88,415,067 68,508,093
v3.25.4
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Comprehensive Income [Abstract]      
Net income (loss) $ 74,029 $ 7,236 $ (60,055)
Other comprehensive income (loss)      
Foreign currency translation adjustment, net of tax 13,006 (7,417) 5,290
Comprehensive income (loss) 87,035 (181) (54,765)
Comprehensive income (loss) attributable to non-controlling interests 49,171 198 (38,111)
Comprehensive income (loss) attributable to Rush Street Interactive, Inc. $ 37,864 $ (379) $ (16,654)
v3.25.4
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)
$ in Thousands
Total
Class A Common Stock
Total Stockholders’ Equity Attributable to RSI
Common Stock
Class A Common Stock
Common Stock
Class V Common Stock
Treasury Stock
Additional Paid-in Capital
Accumulated Other Comprehensive Loss
Accumulated Deficit
Non- Controlling Interests
Balance at beginning of year (in shares) at Dec. 31, 2022       65,111,616 155,955,584          
Balance at beginning of year at Dec. 31, 2022 $ 190,874   $ 56,045 $ 6 $ 16   $ 177,683 $ (1,648) $ (120,012) $ 134,829
Increase (Decrease) in Stockholders' Equity [Roll Forward]                    
Share-based compensation 30,020   9,389       9,389     20,631
Issuance of class A common stock upon RSILP unit exchanges (in shares)       5,521,274 (5,521,274)          
Foreign currency translation adjustment 5,290   1,651         1,651   3,639
Net income (loss) (60,055)   (18,305)           (18,305) (41,750)
Allocation of equity and non-controlling interests upon changes in RSILP ownership 0   4,988       5,091 (103)   (4,988)
Issuance of Class A Common Stock upon RSILP Unit Exchanges     0 $ 1 $ (1)          
Issuance of class A common stock under the equity compensation plan (in shares)       1,754,519            
Balance at end of the year (in shares) at Dec. 31, 2023       72,387,409 150,434,310          
Balance at end of the year at Dec. 31, 2023 166,129   53,768 $ 7 $ 15   192,163 (100) (138,317) 112,361
Increase (Decrease) in Stockholders' Equity [Roll Forward]                    
Share-based compensation $ 35,288   13,058       13,058     22,230
Issuance of class A common stock upon exercise of stock options (in shares) 20,437     20,437            
Issuance of Class A Common Stock upon exercise of stock options $ 67   24       24     43
Issuance of class A common stock under the equity compensation plan, net of shares withheld for employee taxes (in shares)       3,417,308            
Issuance of Class A Common Stock under the equity compensation plan, net of shares withheld for employee taxes (2,987)   (1,167)       (1,167)     (1,820)
Issuance of class A common stock upon RSILP unit exchanges (in shares)       14,686,287 (14,686,287)          
Foreign currency translation adjustment (7,417)   (2,767)         (2,767)   (4,650)
Repurchase of class A common stock (in shares)   0                
Net income (loss) 7,236   2,388           2,388 4,848
Allocation of equity and non-controlling interests upon changes in RSILP ownership 0   13,374       13,597 (223)   (13,374)
Issuance of Class A Common Stock upon RSILP Unit Exchanges 0     $ 2 $ (2)          
Balance at end of the year (in shares) at Dec. 31, 2024       90,511,441 135,748,023          
Balance at end of the year at Dec. 31, 2024 $ 198,316   78,678 $ 9 $ 13   217,675 (3,090) (135,929) 119,638
Ending of period (in shares) at Dec. 31, 2024 0         0        
Ending of period at Dec. 31, 2024 $ 78,678         $ 0        
Increase (Decrease) in Stockholders' Equity [Roll Forward]                    
Share-based compensation $ 26,261   11,080       11,080     15,181
Issuance of class A common stock upon exercise of stock options (in shares) 44,253     44,253            
Issuance of Class A Common Stock upon exercise of stock options $ 176   77       77     99
Issuance of class A common stock under the equity compensation plan, net of shares withheld for employee taxes (in shares)       3,997,070            
Issuance of Class A Common Stock under the equity compensation plan, net of shares withheld for employee taxes (25,000)   (10,424) $ 1     (10,425)     (14,576)
Issuance of class A common stock upon RSILP unit exchanges (in shares)       6,138,491 (6,138,491)          
Foreign currency translation adjustment 13,006   4,556         4,556   8,450
Tax impact of equity transactions 25,061   25,061       25,061      
Repurchase of class A common stock (in shares)   733,019       733,019        
Repurchase of Class A Common Stock (7,634)   (3,177)     $ (3,177)       (4,457)
Tax distributions to non-controlling interests (724)                 (724)
Net income (loss) 74,029   33,308           33,308 40,721
Allocation of equity and non-controlling interests upon changes in RSILP ownership 0   8,076       8,111 (35)   (8,076)
Balance at end of the year (in shares) at Dec. 31, 2025       100,691,255 129,609,532          
Balance at end of the year at Dec. 31, 2025 $ 303,491   $ 147,235 $ 10 $ 13   $ 251,579 $ 1,431 $ (102,621) $ 156,256
Ending of period (in shares) at Dec. 31, 2025 733,019         733,019        
Ending of period at Dec. 31, 2025 $ 147,235         $ (3,177)        
v3.25.4
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Cash flows from operating activities      
Net income (loss) $ 74,029,000 $ 7,236,000 $ (60,055,000)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities      
Deferred income tax (112,220,000) (143,000) (255,000)
Change in tax receivable agreement liability 107,776,000 739,000 0
Depreciation and amortization expense 39,970,000 32,203,000 29,759,000
Share-based compensation expense 26,261,000 35,288,000 30,020,000
Noncash lease expense 999,000 891,000 697,000
Long-lived assets write-off 0 0 683,000
Changes in assets and liabilities:      
Players’ receivables (515,000) (4,814,000) 658,000
Due from affiliates (1,737,000) 15,261,000 2,433,000
Prepaid expenses and other assets (7,978,000) (7,765,000) (228,000)
Accounts payable, accrued expenses and other liabilities 35,519,000 25,183,000 (9,267,000)
Players’ liabilities 2,900,000 2,370,000 (377,000)
Net cash provided by (used in) operating activities 165,004,000 106,449,000 (5,932,000)
Cash flows from investing activities      
Internally developed software costs (28,591,000) (24,420,000) (22,619,000)
Acquisition of gaming licenses (3,777,000) (4,081,000) (7,279,000)
Acquisition of other intangibles (2,627,000) (2,075,000) (765,000)
Short-term investments (1,029,000) (1,862,000) (3,061,000)
Purchases of property and equipment (767,000) (925,000) (1,291,000)
Acquisition of developed technology (225,000) 0 0
Investments in equity securities 0 0 (470,000)
Proceeds from long-term time deposits 0 0 1,705,000
Net cash used in investing activities (37,016,000) (33,363,000) (33,780,000)
Cash flows from financing activities      
Payments for employee taxes related to shares withheld (26,464,000) (1,160,000) 0
Repurchase of Class A Common Stock (7,634,000) 0 0
Principal payments of finance lease liabilities (2,718,000) (1,559,000) (518,000)
Tax distributions to non-controlling interests (724,000) 0 0
Proceeds from exercise of stock options 176,000 67,000 0
Net cash used in financing activities (37,364,000) (2,652,000) (518,000)
Effect of exchange rate changes on cash, cash equivalents and restricted cash 17,124,000 (8,655,000) 5,126,000
Net change in cash, cash equivalents and restricted cash 107,748,000 61,779,000 (35,104,000)
Cash, cash equivalents and restricted cash, at the beginning of the year 232,756,000 170,977,000 206,081,000
Cash, cash equivalents and restricted cash, at the end of the year 340,504,000 232,756,000 170,977,000
Supplemental disclosure of noncash investing and financing activities:      
Right-of-use assets obtained in exchange for new or modified operating lease liabilities 1,349,000 1,582,000 210,000
Right-of-use assets obtained in exchange for new or modified finance lease liabilities 3,482,000 1,986,000 2,423,000
Allocation of equity and non-controlling interests upon changes in RSILP ownership 8,076,000 13,374,000 4,988,000
Shares withheld for employee taxes in Other Current Liabilities 363,000 1,827,000 0
Investing activities in Accounts Payable and Accrued Expenses 363,000 662,000 821,000
Supplemental disclosure of cash flow information:      
Cash paid for income taxes 32,670,000 16,549,000 7,385,000
Cash paid for interest $ 918,000 $ 908,000 $ 938,000
v3.25.4
Description of Business
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of Business Description of Business
Rush Street Interactive, Inc. is a holding company organized under the laws of the State of Delaware and, through its main operating subsidiary, Rush Street Interactive, LP and its subsidiaries (collectively, “RSILP”), is a leading online gaming company that provides online casino and sports betting in the U.S., Canadian and Latin American markets. Rush Street Interactive, Inc. and its subsidiaries (including RSILP) are collectively referred to as “RSI” or the “Company”. The Company is headquartered in Chicago, Illinois.
RSI launched its first social gaming website in 2015 and began accepting real-money bets in the United States in 2016. The Company establishes and utilizes subsidiaries to facilitate its operations in jurisdictions where the Company is licensed to operate. In 2018, RSI also became the first U.S.-based online gaming operator to launch in Colombia, which was an early adopting Latin American country to legalize and regulate online casino and sports betting nationally. In addition, RSI launched its real-money offering in Canada and Mexico during the second quarter of 2022, and in Peru during the third quarter of 2024.
As of December 31, 2025, RSI offered real-money online casino, online sports betting and/or retail sports betting in the 16 U.S. states and four international jurisdictions as outlined in the table below.
JurisdictionsOnline CasinoOnline Sports
Betting		Retail Sports
Betting
Domestic:
Arizonaü
Coloradoü
Delaware
üü
Illinoisüü
Indianaüü
Iowaü
Louisianaü
Marylandüü
Michiganüüü
New Jerseyüü
New Yorküü
Ohio
ü
Pennsylvaniaüüü
Virginiaüü
Washington
ü
West Virginiaüü
International:
Colombiaüü
Ontario (Canada)üü
Mexicoüü
Peru
üü
v3.25.4
Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Basis of Presentation and Principles of Consolidation
The accompanying consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). The consolidated financial statements include the accounts of the Company, its direct and indirect wholly owned subsidiaries, and all entities in which the Company has a controlling interest. For consolidated entities that are less than wholly owned, third-party holdings of equity interests are presented as non-controlling interests in the Company’s consolidated balance sheets and consolidated statements of changes in stockholders’ equity. The portion of net income (loss) attributable to the non-controlling interests is presented as net income (loss) attributable to non-controlling interests in the Company’s consolidated statements of operations, while the portion of comprehensive income (loss) attributable to the non-controlling interests is reported as comprehensive income (loss) attributable to non-controlling interests in the Company’s consolidated statements of comprehensive income (loss). All intercompany accounts and transactions have been eliminated upon consolidation.
The assets and liabilities of RSILP represent substantially all of the Company’s consolidated assets and liabilities, except for certain deferred taxes and liabilities under the Tax Receivable Agreement (“TRA”). The Company’s equity interests in RSILP, comprised of Class A Units of RSILP (the “RSILP Units”) and General Partnership Interests of RSILP, are held indirectly through wholly owned subsidiaries of the Company – RSI ASLP, Inc. (the “Special Limited Partner”) and RSI GP, LLC (“RSI GP”), respectively. RSI is deemed to have a controlling interest of RSILP through RSI GP, which is the sole general partner of RSILP. As a result, the Company consolidates the financial results of RSILP and reports a non-controlling interest representing the economic interest in RSILP held by the other members of RSILP. As of December 31, 2025, the Company owned 43.54% of the RSILP Units and the holders of the non-controlling interest 56.46% of the RSILP Units.
Neil G. Bluhm and Richard Schwartz and their respective trusts and entities controlled or beneficially owned by them (collectively, the “Controlling Holders”) together as a group control a majority of the voting power of the Company’s outstanding common stock. As a result, RSI is a “controlled company” under the New York Stock Exchange’s corporate governance standards.
Reclassifications
Certain prior year amounts have been reclassified to conform to the current year presentation. Such reclassifications had no impact on the Company’s reported total revenues, expenses, net loss, current assets, total assets, current liabilities, total liabilities, stockholders’ equity, non-controlling interests or cash flows. No reclassifications of prior period balances were material to the consolidated financial statements.
Liquidity and Capital Resources
The Company currently expects that its cash and positive operating cash flows will be sufficient to fund its operating expenses and capital expenditure requirements for at least 12 months from the date of issuance of this report based on future spend assumptions. The Company generated cash inflows from operations of $165.0 million and $106.4 million for the years ended December 31, 2025 and 2024, respectively, and experienced cash outflows from operations of $5.9 million for the year ended December 31, 2023.
The Company had working capital totaling $196.5 million as of December 31, 2025.
Use of Estimates
The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Significant estimates and assumptions reflected in the consolidated financial statements relate to and include, but are not limited to, the valuation of share-based awards and acquired intangibles; internally developed software; long-lived assets and investments in equity; the estimated useful lives of property and equipment and intangible assets; redemption rate assumptions associated with the loyalty program and
other discretionary player bonuses; accrued expenses; determination of the incremental borrowing rate to calculate certain operating lease liabilities and finance lease liabilities; and deferred taxes and amounts associated with the TRA entered into in connection with the closing on December 29, 2020 of the Business Combination (the “Closing”).
Segment Reporting
Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the Chief Operating Decision Maker (“CODM”) in making decisions regarding resource allocation and assessing performance. The Company views its operations and manages its business in one operating segment.
Cash and Cash Equivalents and Restricted Cash
Cash and cash equivalents consist of highly liquid, unrestricted savings, checking, instant access internet banking accounts, money market funds and certificates of deposits with original maturities of 90 days or less at acquisition.
Restricted cash includes any cash and cash equivalents held by the Company that are legally restricted as to withdrawals or usage. This consists of certain deposits that are restricted under regulatory requirements. Regardless of whether customer deposits are legally restricted, the Company maintains separate bank accounts to segregate cash that resides in customers’ accounts from operational funds.
The following table reconciles cash and cash equivalents and restricted cash in the consolidated balance sheets to the totals shown on the consolidated statements of cash flows:
December 31,
($ in thousands)20252024
Cash and cash equivalents(1)
$336,256 $229,171 
Restricted cash4,248 3,585 
Total cash, cash equivalents and restricted cash$340,504 $232,756 
(1) The Company had cash equivalents of $157.5 million and $117.7 million as of December 31, 2025 and 2024, respectively. Cash equivalents are composed of money market funds and certificates of deposits with original maturities of 90 days or less. Money market funds of $113.2 million and $107.5 million as of December 31, 2025 and 2024, respectively, are valued using quoted market prices at period-end.
Players’ Receivables
Players’ receivables consist of cash deposits from customers that the Company has not yet received. Players’ receivables are reported at the amount that the Company expects to collect from customers, generally via third-party payment processors. These receivables arise due to the timing difference between a customer’s deposit and the Company’s receipt of that deposit from the payment processor. The amounts are generally outstanding for a short period of time. On a periodic basis, the Company evaluates its players’ receivables and establishes an allowance for credit losses based on a specific review of the accounts as well as historical collection experience and current economic conditions. No allowance for credit losses was recorded for the periods presented in these consolidated financial statements.
Due from Affiliates
Due from affiliates consists of amounts that are expected to be collected from certain affiliated land-based casino partners. In certain cases, the affiliate casino maintains the bank account that processes cash deposits and withdrawals for RSI customers. Accordingly, at any point in time, the Company will record a receivable from the affiliate, representing the Company’s total revenue (with RSI customers) that was collected by the affiliate, less consideration payable to the affiliate for use of its license, which is offset by any consideration received from the affiliate based on the terms of the applicable agreement. On a periodic basis, the Company evaluates the collectability of amounts due from affiliates and establishes an allowance for amounts not expected to be collected. No allowance was recorded for the periods presented in these consolidated financial statements. See Note 12 for disclosure on related parties.
Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets consist primarily of prepaid expenses and short-term investments. Prepaid expenses consist of various advance payments for goods or services to be received in the future. These costs include insurance, subscriptions, marketing, other contracted services and deposits paid in advance. As of December 31, 2025 and 2024, the Company had prepaid expenses of $9.5 million and $5.5 million, respectively.
Short-term investments consist of certificates of deposits with original maturities greater than three months but not greater than one year. As of December 31, 2025 and 2024, the Company had short-term investments of $6.2 million and $4.3 million, respectively.
Property and Equipment, Net
Property and equipment are carried at cost, net of accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful life of the asset. Leasehold improvements depreciation is computed over the shorter of the remaining lease term or estimated useful life of the asset. Additions and improvements are capitalized, while repairs and maintenance are expensed as incurred. Useful lives of each asset class are as follows:
AssetUseful Life
Computers, software and related equipment
3 years
Furniture and fixtures
4 years
Operating equipment and servers
5 years
Leasehold improvements
Lesser of the lease terms or the estimated useful lives of the improvements, generally 1–10 years
Intangible Assets, Net
License Fees, Net
The Company incurs costs in connection with operating in certain jurisdictions, including license applications fees, upfront or fixed market access payments to strategic partners and related renewals or extensions. These costs are capitalized as an intangible asset and amortized over the estimated useful life of the asset using the straight-line method. In certain markets, the Company agrees to pay minimum market access royalties to its partner, which is considered an integral cost in connection with operating in certain jurisdictions. The Company records fixed minimum royalty payments as intangible assets with an offset to deferred royalty liabilities, both of which are included on the consolidated balance sheets. The Company’s access to operate in a particular market is often dependent upon the continued viability of its strategic partner in that market. The useful life is the period over which the asset is expected to contribute directly or indirectly to the Company’s cash flows. The remaining useful life of license fee intangible assets is evaluated at least annually.
Internally Developed Software
Software that is developed for internal use is accounted for pursuant to Accounting Standards Codification (“ASC”) 350-40, Intangibles, Goodwill and Other - Internal-Use Software. Qualifying costs incurred to develop internal-use software are capitalized when (i) the preliminary project stage is completed, (ii) management has authorized further funding for the completion of the project and (iii) it is probable that the project will be completed and perform as intended. These capitalized costs include compensation for employees who develop internal-use software and external costs related to development and implementation of internal-use software. Capitalization of these costs ceases once the project is substantially complete and the software is ready for its intended purpose. Internally developed software is amortized using the straight-line method over an estimated useful life of three years. All other expenditures, including those incurred to maintain an intangible asset’s current level of performance, are expensed as incurred.
Developed Technology
The Company capitalizes acquired intellectual property as developed technology intangible assets in accordance with ASC 350-30, General Intangibles Other Than Goodwill. The assets are recognized in Intangible assets, net, on the Company’s consolidated balance sheets and are amortized over the estimated useful life of four to eight years using the straight-line method.
Other Intangibles
The Company capitalizes costs associated with the purchases of trademarks, software licenses and customer lists, and the development and production of media content in accordance with ASC 350, Intangibles - Goodwill and Other. The assets are included in Intangible assets, net, on the Company’s consolidated balance sheets as of December 31, 2025 and 2024 and are amortized over the estimated useful life of one to five years using the straight-line method.
Investments in Equity
The Company accounts for investments in equity that are within the scope of ASC 321-10, Investments - Equity Securities (“ASC 321-10”), as either (1) investments with a readily determinable fair value, which are recorded at fair value or (2) investments without a readily determinable fair value, which are recorded at cost less any impairment. Equity investments that are initially concluded to not have a readily determinable fair value are reassessed at each reporting period. If the Company identifies observable price changes in orderly transactions for the identical or a similar investment of the same issuer, it measures the equity security at fair value as of the date that the observable transaction occurred using valuation techniques that are permitted under ASC 820, Fair Value Measurement.
As of December 31, 2025 and 2024, the Company had investments in equity of $2.0 million. The equity investments are accounted for in accordance with ASC 321-10, and the Company accounts for the equity investments at cost less impairment because there are no readily determinable fair values for these investments as of December 31, 2025 and 2024. No impairment was recorded during the years ended December 31, 2025 and 2024. The investments are recognized in Other assets on the Company’s consolidated balance sheets.
Impairment of Long-Lived Assets
The Company’s long-lived assets primarily consist of property and equipment, operating lease right-of-use assets, finance lease right-of-use assets and finite-lived intangible assets (i.e., license fees, internally developed software, developed technology and other intangibles).
The Company evaluates long-lived assets for indicators of impairment quarterly or when events or changes in circumstances indicate that their carrying amounts may not be recoverable. The factors that would be considered by management in performing this assessment include current operating results, trends and prospects, the manner in which the long-lived asset is used and the effects of obsolescence, demand, competition and other economic factors. If indicators of impairment are identified, the Company performs an undiscounted cash flow analysis of the long-lived assets. Asset groups are written down only to the extent that their carrying value is lower than their respective fair value. Fair values of the asset group are determined by discounting the cash flows at a rate that approximates the cost of capital of a market participant.
Players’ Liabilities
The Company’s players’ liabilities include liabilities for customer account balances, incremental progressive jackpot reserves, and expected future payouts relating to customers’ unredeemed bonus store points and unused discretionary bonus incentives. Customer cash account balances consist of customer deposits, cash winnings and pending cash wagers, less customer cash losses, withdrawals and tax withholdings. The Company’s restricted cash balance, players’ receivables balance and the value of surety bonds held for the benefit of customers will equal or exceed the customer cash account balances.
Deferred Royalty
The Company records liabilities for minimum royalty payments related to licensing and market access agreements. These liabilities are recorded on the consolidated balance sheets at the present value of future payments discounted using a rate that reflects the duration of the applicable agreement. The deferred royalty liability is accreted through interest expense in the Company’s consolidated statements of operations. The Company classifies deferred royalty liabilities as either current or non-current liabilities based on the timing of future payments, and amounts are included in the Company’s consolidated balance sheets under Other current liabilities or Other non-current liabilities, depending on their classification.
Surety Bonds
The Company had been issued $31.3 million and $31.1 million in surety bonds as of December 31, 2025 and 2024, respectively, that are used to satisfy regulatory requirements related to securing cash held for the benefit of customers. Additionally, the Company had also been issued $6.4 million and $6.1 million in surety bonds as of December 31, 2025 and 2024, respectively, to satisfy regulatory requirements necessary to operate in certain jurisdictions.
There have been no claims against any of the Company’s surety bonds and the likelihood of future claims is remote.
Concentrations of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of operating cash, restricted cash, cash equivalents, and short-term investments. The Company maintains cash, restricted cash, cash equivalents, and short-term investments within separate bank accounts across multiple financial institutions. Any loss incurred, or a lack of access, to such funds could have a significant adverse impact on the Company’s financial condition, results of operations and cash flows. Although the Company maintains balances with certain institutions in excess of the federally insured limits, the Company is not subject to unusual credit risk beyond the normal credit risk associated with commercial banking relationships. As of December 31, 2025 and 2024, the Company has not experienced losses on these accounts.
Leases
The Company determines whether an arrangement is or contains a lease at contract inception. The Company accounts for leases in accordance with ASC 842, Leases, under which arrangements meeting the definition of a lease are classified as operating or finance leases and are recorded on the consolidated balance sheets as both a right-of-use asset and a lease liability.
The Company elects to apply the practical expedient that allows for the combination of lease and non-lease components for all asset classes. The lease classification evaluation begins at the lease commencement date. The lease term used in the evaluation includes the non-cancellable period for which the Company has the right to use the underlying asset, together with renewal option periods when the exercise of the renewal option is reasonably certain.
For leases with an initial term greater than 12 months, a related lease liability is recorded on the consolidated balance sheets at the present value of future payments discounted using the interest rate implicit in the lease and if not determinable, the estimated fully collateralized incremental borrowing rate (discount rate) corresponding with the lease term. In addition, a right-of-use asset is recorded as the initial amount of the lease liability, plus any lease payments made to the lessor before or at the lease commencement date and any initial direct costs incurred, less any tenant improvement allowance incentives received. Tenant incentives are amortized through the right-of-use asset as a reduction of lease expense over the lease term. The difference between the minimum rents paid and the straight-line rent is reflected within the associated right-of-use asset. Certain leases contain provisions that require variable payments consisting of common area maintenance costs (i.e., variable lease cost). Variable lease costs are expensed as incurred. The Company made an accounting policy election to exclude any short-term lease (i.e., leases with a term of twelve months or less) from the balance sheets. Short-term lease expense is recognized on a straight-line basis over the lease term.
When the interest rate implicit in the lease is not readily determinable, the Company uses its incremental borrowing rate corresponding with the lease term. As the Company does not have any outstanding debt, this rate is determined based on prevailing market conditions and comparable company and credit analysis. The discount rate is reassessed upon a modification that is not accounted for as a separate contract.
Revenue Recognition
Revenue is recognized in accordance with ASC Topic 606, Revenue from Contracts with Customers, when control of the promised goods or services is transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company determines revenue recognition through the following steps:
•Identify the contract with the customer
•Identify the performance obligations in the contract
•Determine the transaction price
•Allocate the transaction price to the performance obligations in the contract
•Recognize revenue when, or as, the Company satisfies a performance obligation
The Company’s revenue from contracts with customers consists of online casino, online sports betting, retail sports betting and social gaming.
Online casino and online sports betting
Online casino offerings typically include the full suite of games available in land-based casinos, such as table games (i.e., blackjack and roulette), slot machines and poker games. The Company generates revenue from these offerings (other than online poker) through hold, or gross winnings, as customers play against the house. Online casino revenue other than from online poker is generated based on total customer bets less amounts paid to customers for winning bets, less other incentives awarded to customers, plus or minus the change in the progressive jackpot liability. Online casino revenue from online poker is recognized as rake (i.e., percentage of a game’s wagers earned by the Company for satisfying the performance obligation) less any value given back to players, which could be in the form of cash, tournament tickets or other form of bonuses.
Online sports betting involves a user placing a bet on the outcome of a sporting event, sports-related activity, or a series of the same, with the chance to win a pre-determined amount, often referred to as fixed odds. Online sports betting revenue is generated by setting odds such that there is a built-in theoretical margin in each bet offered to customers. Online sports betting revenue is generated based on total customer bets less amounts paid to customers for winning bets, less other incentives awarded to customers, plus or minus the change in unsettled bets.
The Company provides various incentives to promote customer engagement, many of which allow customers to place bets without using their own funds. For some incentive programs, benefits are provided to customers based only on past play and represent an option that grants the customer a material right. Other benefits that are provided to customers are more discretionary in nature and may not be related to the customer’s level of play.
Performance obligations related to online gaming (other than from online poker) and sports betting transactions include (1) servicing the customer’s bet, which is fulfilled when the outcome of the bet is known and (2) transferring additional goods or services to a player for which the Company has received consideration, such as bonus store points or other discretionary bonus incentives. The Company’s performance obligations related to online poker include operating games and tournaments in compliance with established rules, calculating results, and distributing payouts based on those results.
Bonus store points as well as discretionary bonus incentives, such as bonus money and bonus bets (collectively referred to herein as “customer bonuses”) are recognized as a reduction to revenue upon issuance of the incentive and as revenue upon redemption by the customer. Reductions to revenue include estimates for the stand-alone selling price of customer bonuses and the percentage of customer bonuses that are expected to be redeemed. The expected redemption percentage is based on historical redemption patterns and considers current information or trends. The estimated redemption rate is evaluated each reporting period. The Company does not believe that there is a reasonable likelihood that there will be a material change in the future estimates or assumptions used to calculate the estimated redemption rate. Adjustments to earnings resulting from revisions to management’s estimates of the redemption rates have not been material during the years ended December 31, 2025 and 2024.
Progressive jackpots related to online casino jackpot games are accrued and charged to revenue at the time the obligation to pay the jackpot is established. The progressive jackpot liability is recorded in Players’ liabilities on the consolidated balance sheets.
Retail sports betting
The Company provides retail sports services to land-based partners in exchange for a monthly commission based on that partner’s retail sportsbook revenue. Services generally include ongoing management and oversight of the retail sportsbook, technical support for the partner’s customers, risk management, advertising and promotion, and support for third-party vendors’ sports betting equipment. The Company has a single performance obligation to provide retail sports services and records the revenue as services are performed and when the commission amounts are no longer constrained (i.e., the amount is known).
Certain relationships with business partners provide the Company the ability to operate the retail sportsbook. In this scenario, revenue is generated based on total customer bets less amounts paid to customers for winning bets, less other incentives awarded to customers, plus or minus the change in unsettled retail sports bets and unclaimed retail tickets for settled retail bets.
Social gaming
The Company provides a social gaming platform for users to enjoy free-to-play games that use virtual credits. While virtual credits are issued to users for free, some users may choose, where permitted, to purchase additional virtual credits through the Company’s virtual cashier. The Company has a single performance obligation associated with social gaming services, to provide social gaming services to users upon the redemption of virtual credits. Deferred revenue is recorded when users purchase virtual credits and revenue is recognized when the virtual credits are redeemed, and the Company’s performance obligation has been fulfilled.
Certain costs to obtain or fulfill contracts
Pursuant to the accounting guidance, certain costs to obtain or fulfill a contract with a customer must be capitalized to the extent recoverable from the associated contract margin, and subsequently amortized as the products or services are delivered to the customer. These costs are capitalized as contract acquisition costs and are amortized over the period of benefit to the customer. For the Company, the period of benefit has been determined to be less than or equal to one year. As such, the Company applied the practical expedient and contract acquisition costs are expensed immediately. Customer contract costs that do not qualify for capitalization as contract fulfillment costs are expensed as incurred.
Contract balances
Contract assets and liabilities represent the differences in timing between the fulfillment of the Company's performance obligations and the receipt of cash from the Company’s customers. The Company does not have material contract assets. The Company’s contract liabilities consist of deferred revenue.
Deferred revenue represents wagered amounts that relate to unsettled or pending outcomes, such as a future sports bet. The Company recognizes revenue once the outcome of the bet is settled and fixed. Deferred revenue also includes contract liabilities for the Company’s obligation to transfer additional goods or services to a customer for which the Company has received consideration, such as bonus store points. The Company recognizes breakage on these liabilities proportionately as redemption occurs. Revenue recognized relating to breakage during the years ended December 31, 2025 and 2024 was not material to the consolidated financial statements.
Deferred revenue relating to unsettled customer bets and unredeemed customer incentives is recorded in Players’ liabilities on the consolidated balance sheets.
Deferred revenue relating to the Company’s social gaming services includes virtual credits purchased by users but not yet redeemed and is recorded in Other current liabilities on the consolidated balance sheets.
Principal versus agent considerations
The Company evaluates the criteria outlined in ASC 606-10-55, Principal versus Agent Considerations, in determining whether it is appropriate to record the gross amount of revenues and related costs, or the net amount earned as commissions. When the Company is the principal in a transaction and controls the specific good or service before it is transferred to the customer, revenue is recorded gross; otherwise, revenue is recorded on a net basis. The Company controls
the promised goods or services for online casino and sports betting transactions, retail sports betting transactions and social gaming services, and as a result records related revenue on a gross basis. For retail sports service arrangements, the Company does not control the promised goods or services and, therefore, records the net amount of revenue earned as a commission.
Costs of Revenue
Costs of revenue consist primarily of (i) revenue share and market access fees, which is reduced by any consideration received from the vendor, (ii) third-party platform and content fees, (iii) gaming taxes, (iv) payment processing fees and chargebacks and (v) salaries, bonuses, benefits and share-based compensation for dedicated personnel. These costs are primarily variable in nature and should, in large part, correlate with the change in revenue. Revenue share and market access fees consist primarily of variable amounts paid to local land-based partners that hold the applicable gaming license, providing the Company the ability to offer real-money online offerings in the respective jurisdictions. The Company’s third-party platform and content fees are primarily driven by costs associated with third-party casino content, data and streaming, sports betting trading services, geolocation, know-your-customer and platform hosting. Gaming taxes include jurisdictional taxes that are determined based on a percentage of revenue (or similar metrics) or excise taxes that are determined based on a percentage of bets placed. The Company incurs payment processing costs on player deposits, withdrawals and occasionally chargebacks (i.e., when a payment processor contractually disallows customer deposits in the normal course of business).
Sales and Marketing
Sales and marketing costs consist primarily of marketing the Company’s products and services via different channels, promotional activities and the related costs incurred to acquire new customers. These costs also include salaries, bonuses, benefits and share-based compensation for dedicated personnel and are expensed as incurred.
General and Administrative
General and administrative costs consist primarily of administrative personnel costs (including salaries, bonuses, benefits and share-based compensation), professional service fees related to legal, compliance, accounting and consulting, indirect technology costs, rent expense, insurance costs, indirect taxes in foreign jurisdictions, and foreign exchange gains or losses.
Share-Based Compensation
The Company records share-based compensation in accordance with ASC 718, Compensation—Stock Compensation, and recognizes share-based compensation expense in the period in which a grantee is required to provide service, which is generally over the vesting period of the individual share-based payment award. Compensation expense for awards with performance conditions is not recognized until it is probable that the performance target will be achieved. Compensation expense for awards is recognized over the requisite service period on a straight-line basis. The Company accounts for forfeitures as they occur.
The Company classifies unit awards as either an equity award or a liability award depending on whether the award contains certain repurchase provisions. Equity-classified awards are valued as of the grant date based upon the price of the underlying unit or share and a number of assumptions, including volatility, performance period, risk-free interest rate and expected dividends. Liability-classified awards are valued at fair value at each reporting date.
Income Taxes
Rush Street Interactive, Inc. is a corporation and, as a result, is subject to U.S. federal, state and foreign income taxes.
RSILP is treated as a partnership for U.S. federal income tax purposes and therefore does not pay U.S. federal income tax on its taxable income. Instead, the RSILP unitholders, including the Company, are liable for U.S. federal income tax on their respective shares of RSILP’s taxable income reported on the unitholders’ U.S. federal income tax returns. RSILP is liable for income taxes in those states not recognizing its status as a partnership for U.S. federal income tax purposes.
The Company accounts for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are calculated by applying existing tax laws and the rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the year of the enacted rate change.
The Company recognizes deferred tax assets to the extent it believes these assets are more-likely-than-not to be realized. In making such a determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax planning strategies and recent results of operations.
The Company accounts for uncertainty in income taxes using a recognition and measurement threshold for tax positions taken or expected to be taken in a tax return, which are subject to examination by applicable taxing authorities. The tax benefit from an uncertain tax position is recognized when it is more-likely-than-not that the position will be sustained upon examination by taxing authorities based on technical merits of the position. The amount of the tax benefit recognized is the largest amount of the benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The effective tax rate and the tax basis of assets and liabilities reflect management’s estimates of the ultimate outcome of various tax uncertainties. The Company recognizes penalties and interest related to uncertain tax positions within Income tax (benefit) expense line in the accompanying consolidated statements of operations.
Tax Receivable Agreement
In connection with the Business Combination, the Special Limited Partner entered into the TRA, which generally provides for the payment by it of 85% of certain net tax benefits, if any, that the Company (including the Special Limited Partner) realize (or in certain cases is deemed to realize) as a result of these increases in tax basis and tax benefits related to the transactions contemplated under the Business Combination Agreement and the exchange of Retained RSILP Units for Class A Common Stock (or cash at the Company’s option) pursuant to the RSILP A&R LPA and tax benefits related to entering into the TRA, including tax benefits attributable to payments under the TRA. These payments are the obligation of the Special Limited Partner and not of RSILP. The actual increase in the Special Limited Partner’s allocable share of RSILP’s tax basis in its assets, as well as the amount and timing of any payments under the TRA, will vary depending upon a number of factors, including the timing of exchanges, the market price of the Class A Common Stock at the time of the exchange and the amount and timing of the recognition of the Company’s and its consolidated subsidiaries’ (including the Special Limited Partner’s) income. While many of the factors that will determine the amount of payments that the Special Limited Partner will make under the TRA are outside of the Company’s control, the Company expects that the payments the Special Limited Partner will make under the TRA will be substantial and could have a material adverse effect on the financial condition of the Company.
The Company evaluates the realizability of the deferred tax assets resulting from the exchange of RSILP Units for Class A Common Stock. If the deferred tax assets are determined to be realizable, the Company then assesses whether payment of amounts under the TRA have become probable. If so, the Company records a TRA liability, generally equal to 85% of such deferred tax assets. In subsequent periods, the Company assesses the realizability of all of its deferred tax assets subject to the TRA. Should it be determined that a deferred tax asset with a valuation allowance is realizable in a subsequent period, the related valuation allowance will be released and consideration of a corresponding TRA liability will be assessed. The realizability of deferred tax assets, including those subject to the TRA, is dependent upon the generation of future taxable income during the periods in which those deferred tax assets become deductible and consideration of prudent and feasible tax-planning strategies.
The measurement of the TRA liability is accounted for as a contingent liability. Therefore, once the Company determines that a payment becomes probable and can be estimated, the estimate of the payment are accrued. The Company classifies recognized TRA liability as either current or non-current liabilities based on the timing of future payments, and amounts are included in the Company’s consolidated balance sheets under Other current liabilities or Tax receivable agreement liability, non-current, depending on their classification.
The costs or adjustment to costs associated with the recognition of the TRA liability is recorded in Change in tax receivable agreement liability on the consolidated statements of operations. This cost or adjustment reflects changes in the estimated future payments under the TRA attributable to RSILP Unit exchanges completed prior to June 30, 2025. These
prior exchanges increased the Company’s tax basis in its share of RSILP’s underlying assets, giving rise to expected tax savings and corresponding TRA liability. RSILP Unit exchanges occurring after June 30, 2025 will not result in change in tax receivable agreement liability, as the associated increase in tax basis and the resulting TRA liability will be accounted for as equity transactions.
Earnings (Loss) Per Share
Basic earnings (loss) per share of Class A Common Stock is computed by dividing net income (loss) attributable to RSI by the weighted-average number of shares of Class A Common Stock outstanding during the same period.
Diluted earnings (loss) per share of Class A Common Stock is computed by dividing net income (loss) attributable to RSI, adjusted for the assumed exchange of all potentially dilutive securities, by the weighted-average number of shares of Class A Common Stock outstanding adjusted to give effect to potentially dilutive shares. The dilutive effect of outstanding awards or financial instruments, if any, is reflected in diluted earnings (loss) per share by application of the treasury stock method or if-converted method, as applicable.
Foreign Currency
The Company’s reporting currency is the U.S. dollar while the functional currency of subsidiaries not deemed to be the U.S. dollar includes the Colombian Peso, Mexican Peso, Canadian Dollar and Peruvian Soles. The financial statements of non-U.S. subsidiaries are translated into U.S. dollars in accordance with ASC 830, Foreign Currency Matters, using period-end exchange rates for assets and liabilities, and average exchange rates for the period for revenues, costs, and expenses and historical exchange rates for equity. Translation adjustments resulting from the process of translating the local currency financial statements into U.S. dollars are included in determining other comprehensive income (loss).
If transactions are recorded in a currency other than the subsidiary’s functional currency, remeasurement into the functional currency is required and may result in transaction gains or losses. Transaction (losses) gains were $(0.9) million, $(3.8) million and $0.9 million for the years ended December 31, 2025, 2024 and 2023, respectively. Amounts are recorded in General and administrative on the Company’s consolidated statements of operations.
Fair Value Measurements
Fair value measurements are based on the premise that fair value is an exit price representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the following three-tier fair value hierarchy has been used in determining the inputs used in measuring fair value:
•Level 1 – Quoted prices in active markets for identical assets or liabilities on the reporting date.
•Level 2 – Pricing inputs are based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
•Level 3 – Pricing inputs are generally unobservable and include situations where there is little, if any, market activity for the investment. The inputs into the determination of fair value require management’s judgment or estimation of assumptions that market participants would use in pricing the assets or liabilities. The fair values are therefore determined using factors that involve considerable judgment and interpretations, including but not limited to private and public comparables, third-party appraisals, discounted cash flow model and fund manager estimates.
Financial instruments measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Management’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. The use of different assumptions and/or estimation methodologies may have a material effect on estimated fair values. Accordingly,
the fair value estimates disclosed or initial amounts recorded may not be indicative of the amount that the Company or holders of the instruments could realize in a current market exchange.
As of December 31, 2025 and 2024, the recorded values of current assets and current liabilities approximate fair value due to the short-term nature of these instruments.
Recently Adopted Accounting Pronouncements
In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which is intended to enhance the transparency, decision usefulness and effectiveness of income tax disclosures. The amendments in this ASU require a public entity to disclose a tabular tax rate reconciliation, using both percentages and currency, with specific categories. A public entity is also required to provide a qualitative description of the states and local jurisdictions that make up the majority of the effect of the state and local income tax category and the net amount of income taxes paid, disaggregated by federal, state and foreign taxes and also disaggregated by individual jurisdictions. The amendments also remove certain disclosures that are no longer considered cost beneficial. This ASU is effective for the Company in calendar year 2025. See Note 9, “Income Taxes” for additional information on the Company’s adoption of ASU 2023-09.
In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software, to modernize the accounting guidance for the costs to develop software for internal use. ASU 2025-06 amends the existing standard that refers to various stages of a software development project to align better with current software development methods, such as agile programming. Under the new standard, entities will commence capitalizing eligible costs when (i) management has authorized and committed to funding the software project, and (ii) it is probable that the project will be completed and the software will be used to perform the intended function. The new standard also supersedes the guidance related to costs incurred to develop a website. The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2027, and interim reporting periods within those annual reporting periods, with early adoption permitted. The amendments in this update permit an entity to apply the new guidance using a prospective, retrospective or modified transition approach. The Company early adopted ASU 2025-06 on a prospective basis effective for fiscal year beginning January 1, 2026 and the adoption did not have a material impact on its consolidated financial statements.
Recent Accounting Pronouncements Not Yet Adopted
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income-Expense Disaggregation (Subtopic 220-40): Disaggregation of Income Statement Expenses. The ASU requires the disclosure of additional information related to certain costs and expenses, including amounts of inventory purchases, employee compensation, and depreciation and amortization included in each income statement line item. The ASU also requires disclosure of the total amount of selling expenses and definition of selling expenses. The ASU is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027, with early adoption permitted. The Company is currently evaluating the impact of this ASU on its consolidated financial statements and related disclosures.
In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements, which provides clarifications intended to improve the consistency and usability of interim disclosure requirements, including a comprehensive listing of required interim disclosures and a new disclosure principle for reporting material events occurring after the most recent annual period. The amendments do not change the underlying objectives of interim reporting but are designed to enhance clarity in application. The guidance is effective for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years. The Company is currently evaluating the impact of this ASU on its interim consolidated financial statements and does not expect the adoption of this ASU to have a material effect on its interim consolidated financial statements.
v3.25.4
Revenue Recognition
 12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Disaggregation of revenue for the years ended December 31, 2025, 2024 and 2023 is as follows:
Years Ended
December 31,
($ in thousands)202520242023
Online casino and online sports betting$1,127,520 $917,108 $674,059 
Retail sports betting1,978 2,384 12,848 
Social gaming4,930 4,591 4,254 
Total revenue$1,134,428 $924,083 $691,161 
The following table presents the Company’s revenue by geographic region for the years ended December 31, 2025, 2024 and 2023:
Years Ended
December 31,
($ in thousands)202520242023
United States and Canada$979,565 $785,285 $611,868 
Latin America, including Mexico154,863 138,798 79,293 
Total revenue$1,134,428 $924,083 $691,161 
Deferred revenue associated with online casino and online sports betting revenue and retail sports betting revenue includes unsettled customer bets and unredeemed customer incentives and is included within Player’s liabilities in the consolidated balance sheets. The deferred revenue activity for the years ended December 31, 2025, 2024 and 2023 was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Deferred revenue, beginning of period$10,814 $7,013 $7,840 
Deferred revenue, end of period11,690 10,814 7,013 
Revenue recognized in the year from amounts included in deferred revenue at the beginning of the year10,814 7,013 7,840 
v3.25.4
Intangible Assets, Net
 12 Months Ended
Dec. 31, 2025
Intangible Assets, Net (Excluding Goodwill) [Abstract]  
Intangible Assets, Net Intangible Assets, Net
As set forth in the table below, intangible assets, net as of December 31, 2025 and 2024 are $76.4 million and $77.3 million, respectively. The Company has the following intangible assets, net as of December 31, 2025 and 2024:
($ in thousands)Weighted Average
Remaining
Amortization
Period (years)		Gross
Carrying
Amount		Accumulated
Amortization		Net
License Fees
December 31, 20255.96$52,262 $(26,305)$25,957 
December 31, 20246.85$52,933 $(22,491)$30,442 
Internally Developed Software
December 31, 20252.08$96,898 $(53,272)$43,626 
December 31, 20242.19$68,291 $(29,346)$38,945 
Developed Technology
December 31, 20253.90$6,381 $(3,078)$3,303 
December 31, 20244.89$6,381 $(2,224)$4,157 
Other Intangible Assets(1)
December 31, 20251.45$9,993 $(6,443)$3,550 
December 31, 20242.08$7,373 $(3,570)$3,803 
_____________________________
(1)Other intangible assets include trademarks, media content, customer lists and software licenses.
The Company recorded amortization expense on intangible assets of $36.0 million, $28.3 million and $24.7 million for the years ended December 31, 2025, 2024 and 2023, respectively.
At December 31, 2025, estimated future amortization of intangible assets is as follows:
($ in thousands)
Year ending December 31, 2026$31,993 
Year ending December 31, 202721,596 
Year ending December 31, 202810,340 
Year ending December 31, 20294,594 
Year ending December 31, 20303,828 
Thereafter4,085 
Total$76,436 
v3.25.4
Property and Equipment, Net
 12 Months Ended
Dec. 31, 2025
Property, Plant and Equipment [Abstract]  
Property and Equipment, Net Property and Equipment, Net
As set forth in the table below, property and equipment, net as of December 31, 2025 and 2024 are $7.7 million and $7.2 million, respectively. The balances as of December 31, 2025 and 2024 also include finance lease right-of-use assets, net. The balances consist of the following:
December 31,
($ in thousands)20252024
Computers, software and related equipment$5,280 $4,427 
Operating equipment and servers3,450 3,231 
Furniture1,344 1,143 
Leasehold improvements1,881 1,797 
Property and equipment not yet placed into service— 199 
Total property and equipment11,955 10,797 
Less: accumulated depreciation(9,510)(7,732)
2,445 3,065 
Finance lease right-of-use assets10,527 7,041 
Less: accumulated amortization(5,232)(2,867)
5,295 4,174 
Property and equipment, net$7,740 $7,239 
The Company recorded depreciation expense on property and equipment of $1.6 million, $2.1 million and $3.8 million for the years ended December 31, 2025, 2024 and 2023, respectively. The Company recorded amortization expense on finance lease right-of-use assets of $2.4 million, $1.8 million and $1.3 million for the years ended December 31, 2025, 2024 and 2023, respectively
v3.25.4
Accrued Expenses and Other Liabilities
 12 Months Ended
Dec. 31, 2025
Payables and Accruals [Abstract]  
Accrued Expenses and Other Liabilities Accrued Expenses and Other Liabilities
As set forth in the table below, accrued expenses as of December 31, 2025 and 2024 are $81.5 million and $72.7 million, respectively. The following table provides a summary of the accrued expenses at December 31, 2025 and 2024:
December 31,
($ in thousands)20252024
Accrued compensation and related expenses$18,120 $17,218 
Accrued operating expenses39,311 32,427 
Accrued marketing expenses20,689 17,959 
Accrued administrative expenses2,690 4,319 
Accrued other expenses704 779 
Total accrued expenses$81,514 $72,702 
The Company has the following other current and non-current liabilities as of December 31, 2025 and 2024:
December 31,
2025		December 31,
2024
($ in thousands)
Other Current Liabilities
Other Non-current Liabilities
Other Current LiabilitiesOther Non-current Liabilities
Income tax payable$11,404 $— $15,009 $— 
Other taxes payable(1)
20,816 — 2,131 — 
Deferred royalty liabilities1,838 8,742 1,814 10,581 
Finance lease liabilities
1,434 1,954 1,296 1,297 
Operating lease liabilities
991 1,753 673 1,370 
Other
3,023 3,479 4 4,033 
Total other current and non-current liabilities
$39,506 $15,928 $20,927 $17,281 
_________________________
(1)Includes value-added taxes and certain withholding taxes payable to local authorities.
v3.25.4
Stockholders' Equity
 12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Stockholders' Equity Stockholders’ Equity
Authorized Capital Stock
The total amount of the Company’s authorized capital stock consists of 951,000,000 shares, consisting of (i) 1,000,000 shares of preferred stock, par value $0.0001 per share (“Preferred Stock”), (ii) 750,000,000 shares of Class A Common Stock, and (iii) 200,000,000 shares of Class V Common Stock (together with the Class A Common Stock, the “Common Stock”).
Preferred Stock
The Board of Directors of the Company (the “Board”) has the authority to issue shares of preferred stock at any time and from time to time, to provide, out of the unissued shares of Preferred Stock, for one or more series of Preferred Stock and, with respect to each such series, to fix the number of shares constituting such series and the designation of such series, the voting powers (if any) of the shares of such series, and the powers, preferences and relative, participating, optional or other special rights, if any, and any qualifications, limitations or restrictions thereof, of the shares of such series and to cause to be filed with the Secretary of State of the State of Delaware a certificate of designations with respect thereto. The powers, preferences and relative, participating, optional and other special rights of each series of Preferred Stock, and the qualifications, limitations or restrictions thereof, if any, may differ from those of any and all other series at any time outstanding. As of December 31, 2025 and 2024, there were no shares of preferred stock outstanding.
Common Stock
As of December 31, 2025, there were 99,958,236 shares of Class A Common Stock outstanding and 129,609,532 shares of Class V Common Stock outstanding. As of December 31, 2024, there were 90,511,441 shares of Class A Common Stock outstanding and 135,748,023 shares of Class V Common Stock outstanding.
Voting Rights
Each holder of record of Common Stock shall be entitled to one vote for each share of Common Stock held of record by such holder on all matters on which stockholders generally are entitled to vote or holders of Common Stock as a separate class are entitled to vote, including the election or removal of directors (whether voting separately as a class or together with one or more classes of the Company’s capital stock); provided, however, that to the fullest extent permitted by law, holders of Common Stock shall have no voting power with respect to, and shall not be entitled to vote on, any amendment to the Company’s Second A&R Certificate of Incorporation (including any certificate of designations relating to any series of Preferred Stock) that relates solely to the terms of one or more outstanding series of Preferred Stock if the holders of such affected series are entitled, either separately or together with the holders of one or more other such series, to vote thereon pursuant to the Company’s Second A&R Certificate of Incorporation (including any certificate of designations relating to any series of Preferred Stock) or pursuant to the Delaware General Corporation Law. The holders
of Class A Common Stock and Class V Common Stock having the right to vote in respect of such Common Stock shall vote together as a single class (or if the holders of one or more series of Preferred Stock are entitled to vote together with the holders of Common Stock having the right to vote in respect of such Common Stock, as a single class with the holders of such other series of Preferred Stock) on all matters submitted to a vote of the stockholders having voting rights generally.
Dividend Rights
Subject to applicable law and the rights, if any, of the holders of any outstanding series of Preferred Stock or any class or series of stock having a preference over or the right to participate with the Class A Common Stock with respect to the payment of dividends and other distributions in cash, stock of any corporation or property of the Company, the holders of Class A Common Stock shall be entitled to receive ratably such dividends and other distributions as may from time to time be declared by the Board in its discretion out of the assets of the Company that are by law available therefor at such times and in such amounts as the Board in its discretion shall determine.
Dividends and other distributions shall not be declared or paid on the Class V Common Stock.
Rights Upon Liquidation
In the event of any voluntary or involuntary liquidation, dissolution or winding up of the affairs of the Company, after payment or provision for payment of the debts and other liabilities of the Company and of the preferential and other amounts, if any, to which the holders of Preferred Stock or any class or series of stock having a preference over the Class A Common Stock as to distributions upon dissolution or liquidation or winding up shall be entitled, the holders of all outstanding shares of Class A Common Stock shall be entitled to receive the remaining assets of the Company available for distribution ratably in proportion to the number of shares held by each such stockholder. The holders of shares of Class V Common Stock shall not be entitled to receive any assets of the Company in the event of any voluntary or involuntary liquidation, dissolution or winding up of the affairs of the Company.
Cancellation of Class V Common Stock
In the event that any outstanding share of Class V Common Stock shall cease to be held directly or indirectly by the holder of the corresponding RSILP Unit, as set forth in the books and records of RSILP, including by virtue of any divestiture by such holder of such corresponding RSILP Unit, such share of Class V Common Stock shall automatically and without further action on the part of the Company or any holder of Class V Common Stock be transferred to the Company and canceled for no consideration. The Company shall not issue additional shares of Class V Common Stock after the Closing of the transactions contemplated by the Business Combination, other than in connection with the valid issuance of RSILP Units in accordance with the RSILP A&R LPA.
Other Rights
If the Company at any time combines or subdivides (by any stock split, stock dividend, recapitalization, reorganization, merger, amendment of the Company’s Second A&R Certificate of Incorporation, scheme, arrangement or otherwise) the number of shares of Class A Common Stock into a greater or lesser number of shares, the shares of Class V Common Stock outstanding immediately prior to such subdivision shall be proportionately similarly combined or subdivided such that the ratio of shares of outstanding Class V Common Stock to shares of outstanding Class A Common Stock immediately prior to such subdivision shall be maintained immediately after such combination or subdivision. Any such adjustment shall become effective at the close of business on the date the combination or subdivision becomes effective.
Non-Controlling Interest
The non-controlling interest represents the RSILP Units held by holders other than the Company. The non-controlling interests’ ownership percentage can fluctuate over time as the holders of the RSILP Units elect to exchange for Class A Common Stock. The Company consolidates the financial position and results of operations of RSILP and reflects the proportionate interest held by the holders of RSILP Units other than the Company as non-controlling interest.
The non-controlling interests owned 56.46% and 60.00% of the RSILP Units outstanding as of December 31, 2025 and 2024, respectively. The following table summarizes the changes in non-controlling interests owned:
Non-Controlling Interest %
Non-controlling interest % as of December 31, 2024
60.00 %
Issuance of Class A Common Stock upon RSILP Unit Exchanges(2.69)%
Issuance of Class A Common Stock in connection with the vesting of restricted stock units(1.02)%
Repurchases of Class A Common Stock0.18 %
Issuance of Class A Common Stock in connection with the exercise of stock options(0.01)%
Non-controlling interest % as of December 31, 2025
56.46 %
The non-controlling interests owned 60.00% and 67.51% of the RSILP Units outstanding as of December 31, 2024 and 2023, respectively. The following table summarizes the changes in non-controlling interests owned:
Non-Controlling Interest %
Non-controlling interest % as of December 31, 2023
67.51 %
Issuance of Class A Common Stock upon RSILP Unit Exchanges(6.53)%
Issuance of Class A Common Stock in connection with the vesting of restricted stock units(0.97)%
Issuance of Class A Common Stock in connection with the exercise of stock options(0.01)%
Non-controlling interest % as of December 31, 2024
60.00 %
Treasury Stock
On October 24, 2024, the Board authorized the repurchase of an aggregate of up to $50 million of Class A Common Stock (the “Stock Repurchase Program”) through open market purchases, privately negotiated transactions or other transactions in accordance with applicable securities laws.
During the years ended December 31, 2025 and 2024, the Company repurchased 733,019 and nil shares, respectively, of Class A Common Stock pursuant to the Stock Repurchase Program. The aggregate purchase price was approximately $7.6 million during the year ended December 31, 2025 at an average price of $10.41. The repurchased shares are considered issued but not outstanding.
v3.25.4
Share-Based Compensation
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Share-Based Compensation Share-Based Compensation
Incentive Plan
The Company adopted the Rush Street Interactive, Inc. 2020 Omnibus Equity Incentive Plan, as amended from time to time (the “2020 Plan”), to attract, retain and incentivize employees, certain consultants and directors who will contribute to the success of the Company. Awards that may be granted under the 2020 Plan include incentive stock options, non-qualified stock options, stock appreciation rights, restricted awards, performance share awards, cash awards and other equity-based awards. There is an aggregate of approximately 35.8 million shares of Class A Common Stock reserved under the 2020 Plan. The 2020 Plan will terminate on December 29, 2030.
Restricted Stock Units (“RSUs”)
The Company granted 0.9 million, 2.8 million and 2.5 million RSUs with service conditions, during the years ended December 31, 2025, 2024 and 2023, respectively. RSUs with service conditions generally vest over a three-to-four-year period, with each tranche vesting annually. The grant date fair value of RSUs with service conditions is determined based on the quoted market price.
The Company granted 0.4 million, 1.2 million and 1.5 million RSUs with market-based conditions (e.g., total shareholder return) during the years ended December 31, 2025, 2024 and 2023, respectively. RSUs with market-based conditions generally vest over a three-year period and the fair value was determined using a Monte Carlo simulation using the following assumptions during the years ended December 31:
202520242023
Volatility rate62.75 %
68.48%
69.78%
Risk-free interest rate4.00 %
 4.55%
3.85%
Average expected life (in years)
2.8
2.8
2.8
Dividend yieldNoneNone
None
Stock price at grant date$10.70$5.79$3.28
RSU activity for the years ended December 31, 2025 and 2024 was as follows:
Number of
Units		Weighted average grant price
Unvested balance at December 31, 2023
9,218,142 $5.70 
Granted3,973,471 8.32 
Vested(1)
(3,084,207)7.83 
Forfeited(141,974)7.52 
Unvested balance at December 31, 2024
9,965,432 $6.06 
Granted1,348,921 12.51 
Additional shares based on performance(2)
2,550,631 4.95 
Vested(1)
(8,511,976)3.53 
Forfeited(293,308)6.86 
Unvested balance at December 31, 2025
5,059,700 $8.94 
_____________________________
(1)Include 3,498,000 and 561,774 of RSUs that vested during the years ended December 31, 2025 and 2024, respectively, for which the resulting shares of Class A Common Stock have not yet been issued. There were 3,210,679 and 532,010 RSUs that vested for which the resulting shares of Class A Common Stock were not issued as of December 31, 2025 and 2024, respectively.
(2)RSUs with market conditions include a performance achievement multiplier that is assessed upon vesting of the shares. RSUs with market conditions vested during the year ended December 31, 2025, resulting in the issuance of shares incremental to the initial target when the conditions are met. As of December 31, 2025, RSUs that had vested for which the resulting shares of Class A Common Stock had not yet been issued include certain RSUs with market conditions subject to a performance achievement multiplier.
The weighted-average grant-date fair values of RSUs granted during the years ended December 31, 2025, 2024 and 2023 were $12.51, $8.32 and $4.12 per share, respectively. The aggregate fair value of the RSUs granted during the years ended December 31, 2025, 2024 and 2023, was approximately $16.9 million, $33.0 million and $16.6 million, respectively. The aggregate grant date fair value of the RSUs vested during the years ended December 31, 2025, 2024 and 2023, was approximately $30.0 million, $24.1 million and $19.3 million, respectively.
As of December 31, 2025, the Company had unrecognized stock-based compensation expense related to RSUs of $27.7 million, which is expected to be recognized over the remaining weighted-average vesting period of 1.1 years.
During the years ended December 31, 2025 and 2024, the Company withheld 1,836,237 and 239,518 shares, respectively, of its Class A Common Stock associated with the tax withholding obligations due from employees upon the vesting of equity-based awards. The shares were withheld at an average price of $13.62 and $12.47 per share, respectively. The total cost of the net shares withheld for employee taxes was approximately $25.0 million and $3.0 million during the years ended December 31, 2025 and 2024, respectively, and was accounted for as a reduction in additional paid-in capital. During the year ended December 31, 2023, no employee taxes were withheld via net share settlement of equity-based awards.
Stock Options
The Company granted 0.3 million, 0.6 million and 1.1 million stock options during the years ended December 31, 2025, 2024 and 2023, respectively. The estimated grant date fair value of stock options was determined using a Black-Scholes valuation model using the following weighted-average assumptions during the years ended December 31:
202520242023
Volatility rate65.00 %68.00 %70.00 %
Risk-free interest rate4.10 %4.30 %3.80 %
Expected term(1) (in years)
6.06.06.0
Dividend yieldNoneNoneNone
Stock price at grant date$10.70$5.79$3.28
Exercise price$10.70$5.79$3.28
____________________________
(1)Calculated using the simplified method (the midpoint between the requisite service period and the contractual term of the option) due to the Company’s insufficient historical exercise information to provide a basis for an estimate.
Stock option activity for the years ended December 31, 2025 and 2024 was as follows:
Number of UnitsWeighted average exercise price
Outstanding balance at December 31, 2023
1,971,611 $4.16 
Granted630,897 5.79 
Exercised
(20,437)3.28 
Forfeited— — 
Outstanding balance at December 31, 2024
2,582,071 4.57 
Granted344,391 10.70 
Exercised
(44,253)3.99 
Forfeited(77,368)— 
Outstanding balance at December 31, 2025
2,804,841 $5.33 
Exercisable balance at December 31, 2025
1,755,744 $4.55 
The weighted-average grant-date fair values of options granted during the years ended December 31, 2025, 2024 and 2023 were $6.70, $3.74 and $2.14 per share, respectively. The aggregate fair value of the stock options granted during the years ended December 31, 2025, 2024 and 2023, was $2.3 million, $2.4 million and $2.3 million, respectively. The outstanding stock options and exercisable stock options as of December 31, 2025 had an intrinsic value of $39.6 million and $26.1 million, respectively.

As of December 31, 2025, the Company had unrecognized stock-based compensation expense related to stock options of $2.7 million, which is expected to be recognized over the remaining weighted-average vesting period of 0.9 years.
Recognition of Compensation Costs
Share-based compensation expense for the years ended December 31, 2025, 2024 and 2023 was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Costs of revenue$304 $1,116 $1,064 
Sales and marketing
6,216 2,748 2,225 
General and administrative
19,741 31,424 26,731 
Total share-based compensation expense$26,261 $35,288 $30,020 
v3.25.4
Income Taxes
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
RSILP is treated as a partnership for U.S. federal and most applicable state and local income tax purposes. As a partnership, RSILP is not subject to U.S. federal and certain state and local income taxes. Any taxable income or loss generated by RSILP is passed through to and included in the taxable income or loss of its partners, including the Company (through its ownership of the Special Limited Partner), on a pro rata basis. The Company is subject to U.S. federal income taxes and state and local income taxes with respect to its allocable share of any taxable income or loss of RSILP, as well as any stand-alone income or loss generated by the Company.
Income Tax (Benefit) Expense
(Loss) income before income taxes, by jurisdiction, was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Domestic(1)
$(82,824)$(36,311)$(86,125)
Foreign
71,745 68,113 37,279 
(Loss) income before income taxes
$(11,079)$31,802 $(48,846)
_________________________
(1)A portion of the loss before income taxes in 2025 relates to change in tax receivable agreement liability of $107.8 million recorded for the recognition of the TRA liability.
The components of the income tax (benefit) expense are:
Years Ended
December 31,
($ in thousands)202520242023
Current income taxes:
Federal$(210)$97 $(188)
State and local630 46 9 
Foreign26,352 24,243 11,602 
26,772 24,386 11,423 
Deferred income taxes:
Federal(92,265)— — 
State and local(19,613)— — 
Foreign(2)180 (214)
(111,880)180 (214)
Income tax (benefit) expense
$(85,108)$24,566 $11,209 
The tables below provide the updated requirements of ASU 2023-09 for 2025. See Note 2, “Summary of Significant Accounting Policies - Recently Adopted Accounting Pronouncements”, for additional details on the adoption of ASU 2023-09.
The effective income tax rate for the year ended December 31, 2025 differs from the statutory federal income tax rate as follows (in thousands, except percentages):
Year Ended
December 31, 2025
$
%
Loss before income taxes
$(11,079)
Income tax benefit at the federal statutory rate
(2,327)21.00 %
State income taxes, net of federal benefit(1)
(19,458)175.61 %
Foreign tax effects
Colombia
Foreign income tax rate differential
7,774 (70.16)%
Limit on foreign deductions
4,069 (36.72)%
Other
(219)1.97 %
Canada (Domestic)
Foreign income tax rate differential
(944)8.52 %
Provincial taxes
1,810 (16.33)%
Valuation allowance
(1,540)13.90 %
Other
(180)1.62 %
Other
150 (1.35)%
Effect of change in tax laws
— — %
Effect of cross-border tax laws
U.S. branch income
15,431 (139.27)%
Tax credits
Foreign tax credit
(15,637)141.13 %
Nontaxable or nondeductible items
Income not taxable to Rush Street Interactive, Inc.
(11,618)104.86 %
Nondeductible compensation expense
5,943 (53.64)%
Change in tax receivable agreement liability
24,386 (220.09)%
Foreign taxes
710 (6.41)%
Change in valuation allowance
(94,115)849.43 %
Change in unrecognized tax benefits
— — %
Other adjustments
657 (5.92)%
Income tax benefit and effective tax rate
$(85,108)768.15 %
___________________________________
(1) States that contribute to the majority (greater than 50%) of the tax effect in this category are Pennsylvania, Delaware and Michigan.
Income taxes paid, net of refunds, by the Company are as follows:
Year Ended
December 31, 2025
($ in thousands)
Federal
$727 
State
1,196 
Foreign(1)
30,747 
Total income taxes paid$32,670 
___________________________________
(1) Includes income taxes paid in Colombia of $30.6 million.
As previously disclosed for the years ended December 31, 2024 and 2023, prior to the adoption of ASU 2023-09, the reconciliations of income tax expense computed at the U.S. federal statutory income tax rate to the recognized income tax expense and the U.S. statutory income tax rate to effective tax rates are as follows:
Years Ended
December 31,
($ in thousands)20242023
Net income (loss) before income taxes$31,802 $(48,846)
Less: net income (loss) before income taxes attributable to non-controlling interests
19,621 (33,820)
Net income (loss) attributable to Rush Street Interactive, Inc. before income taxes12,181 (15,026)
Income tax expense (benefit) at the federal statutory rate2,558 (3,155)
State income taxes, net of federal benefit349 (46)
Nondeductible stock compensation2,691 1,351 
Foreign operations24,423 11,387 
Change in valuation allowance(3,893)2,589 
Other(1,562)(917)
Income tax expense$24,566 $11,209 
Deferred Tax Assets and Liabilities
The Company’s deferred tax position reflects the net tax effects of the temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax reporting. Significant components of the deferred tax assets and liabilities are as follows:
December 31,
($ in thousands)20252024
Deferred tax assets:
Investment in subsidiaries$198,117 $172,883 
Net operating losses17,238 26,196 
Imputed interest7,447 5,501 
Share-based compensation1,578 1,197 
Foreign tax credit
14,568 — 
Other assets902 539 
Total gross deferred tax assets239,850 206,316 
Valuation allowance(81,988)(205,794)
Total deferred tax assets, net of valuation allowance157,862 522 
Deferred tax liabilities:
Investment in subsidiaries(704)(369)
Total gross deferred tax liabilities(704)(369)
Net deferred tax assets$157,158 $153 
Deferred tax assets and liabilities have been offset to the extent they relate to the same tax jurisdiction. Deferred tax liabilities of $0.7 million and $0.4 million as of December 31, 2025 and 2024, respectively, are included in Other non-current liabilities on the Company’s consolidated balance sheets.
As of December 31, 2025, the Company had approximately $64.7 million and $76.1 million of federal and state net operating loss carryovers, respectively. As of December 31, 2024, the Company had approximately $92.1 million and $81.1 million of federal and state net operating loss carryovers, respectively. If not utilized, the entire federal net operating loss carryforward can be carried forward indefinitely. State net operating loss carryovers will expire in varying amounts beginning in 2032. As of December 31, 2025 and 2024, the Company has foreign net operating losses of nil and approximately $5.6 million, respectively. Additionally, the Company has foreign tax credits of $14.6 million which will begin expiring in 2034.
On a quarterly basis, management considers new evidence, both positive and negative, that could affect its view of the future realization of its deferred tax asset and adjusts the valuation allowance when it is more likely than not that all or a portion of the deferred tax asset may not be realized. As of December 31, 2025, management determined that there is sufficient positive evidence to conclude that it is more likely than not that deferred tax assets of $157.9 million, primarily in the U.S., are realizable. For purposes of forecasting taxable income, the Company relied on historical pre-tax earnings trends and incorporated assumptions about future performance that are expected to impact pre-tax results. These historical results support the expectation that the Company will generate taxable income in future periods. The Company did not recognize all U.S. deferred tax assets because the Company determined that a portion of excess income tax basis in RSILP will only reverse upon the occurrence of certain events, such as a sale of the Company’s interest in RSILP, none of which are expected to occur in the foreseeable future. As of December 31, 2025, the valuation allowance on U.S. deferred tax assets is $82.0 million.
On July 4, 2025, the U.S. Congress passed budget reconciliation bill H.R. 1, referred to as the One Big Beautiful Bill (“OBBB”). The OBBB contains several changes to corporate taxation including modifications to capitalization of research and development expenses, limitations on deductions for interest expense and accelerated fixed asset depreciation. The Company has evaluated OBBB and determined that it does not have a material impact on the consolidated financial statements.
In 2021, the Organization for Economic Co-operation and Development (the “OECD”) established an Inclusive Framework on Base Erosion and Profit Shifting and agreed on a two-pillar solution (“Pillar Two”) to global taxation,
focusing on global profit allocation and a 15% global minimum effective tax rate. On December 15, 2022, the European Union member states agreed to implement the OECD’s global minimum tax rate of 15%. The OECD issued Pillar Two model rules and continues to release guidance on these rules. The Inclusive Framework called for tax law changes by participating countries to take effect in 2024 and 2025. In response, a number of countries enacted tax laws to implement the global minimum tax. On January 5, 2026 the OECD issued a Side-by-Side package on Pillar Two which provides additional safe harbors and simplifications which may be adopted by participating countries. The Company evaluated Pillar Two in the relevant countries, and there is no impact to the tax provision for the year ended December 31, 2025. The Company will continue to evaluate the impact of these tax law changes on future reporting periods.
Uncertain Tax Positions
The Company evaluates its tax positions and recognizes tax benefits that, more-likely-than-not, will be sustained upon examination based on the technical merits of the position. The Company did not have any unrecognized tax benefits as of December 31, 2025 or 2024. The Company filed an initial year federal and state tax returns for tax year 2020, which was the first tax year subject to examination by taxing authorities. Additionally, although RSILP is treated as a partnership for U.S. federal and state income taxes purposes, it is still required to file an annual U.S. Return of Partnership Income, which is subject to examination by the Internal Revenue Service. The statute of limitations has expired for tax years through 2021 for RSILP.
Tax Receivable Agreement
Pursuant to RSILP’s election under Section 754 of the Internal Revenue Code, as amended from time to time (the “Code”), the Company expects to obtain an increase in share of the tax basis in the net assets of RSILP when RSILP Units are redeemed or exchanged by the unit holders and other qualifying transactions. The Company plans to make an election under Code Section 754 for each taxable year in which a redemption or exchange of RSILP Units occur. The Company intends to treat any redemptions and exchanges of RSILP Units by the unit holders as direct purchases of RSILP Units for U.S. federal income tax purposes. These increases in tax basis may reduce the amounts that the Company would otherwise pay in the future to various tax authorities. These increases in tax basis may also decrease gains (or increase losses) on future dispositions of certain capital assets to the extent tax basis is allocated to those capital assets.
In connection with the Business Combination, the Special Limited Partner entered into the TRA, which generally provides for the payment by it of 85% of certain net tax benefits, if any, that the Company (including the Special Limited Partner) realizes (or in certain cases is deemed to realize) as a result of an increase in tax basis and tax benefits related to the transactions contemplated under the Business Combination Agreement and the exchange of Retained RSILP Units (as defined in the Business Combination Agreement) for Class A Common Stock (or cash at the Company’s option) pursuant to RSILP’s amended and restated limited partnership agreement and tax benefits related to entering into the TRA, including tax benefits attributable to payments under the TRA. These payments are the obligation of the Special Limited Partner and not of RSILP. The actual increase in the Special Limited Partner’s allocable share of RSILP’s tax basis in its assets, as well as the amount and timing of any payments under the TRA, will vary depending upon a number of factors, including the timing of exchanges, the market price of the Class A Common Stock at the time of the exchange and the amount and timing of the recognition of RSI and its consolidated subsidiaries’ (including the Special Limited Partner’s) income. While many of the factors that will determine the amount of payments that the Special Limited Partner will make under the Tax Receivable Agreement are outside of the Company's control, the Company expects that the payments the Special Limited Partner will make under the TRA will be substantial and could have a material adverse effect on the financial condition of the Company.
Based primarily on the three-year cumulative income analysis and anticipated future earnings, management has determined that it is more likely than not that the Company will be able to utilize its deferred tax assets subject to the TRA. As of December 31, 2025 and 2024, the Company recognized a TRA liability of $130.1 million (including $1.2 million classified as current liability) and $0.7 million, respectively, based on tax benefits realized in the current and prior tax year. Unrecognized TRA liability was nil and $104.3 million as of December 31, 2025 and 2024, respectively. Change in tax receivable agreement liability of $107.8 million and $0.7 million during the years ended December 31, 2025 and 2024, respectively, was recorded upon recognition of the TRA liability. The increase in the liability is primarily due to the issuance of Class A Common Stock upon RSILP Unit exchanges.
v3.25.4
Earnings (Loss) Per Share
 12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Earnings (Loss) Per Share Earnings (Loss) Per Share 
Basic earnings (loss) per share of Class A Common Stock is computed by dividing net income (loss) attributable to RSI by the weighted-average number of shares of Class A Common Stock outstanding during the period. Diluted earnings (loss) per share of Class A Common Stock is computed by dividing net income (loss) attributable to RSI, adjusted for the assumed exchange of all potentially dilutive securities, by the weighted-average number of shares of Class A Common Stock outstanding adjusted to give effect to potentially dilutive shares.
The computation of earnings (loss) per share attributable to RSI and weighted-average shares of the Company’s Class A Common Stock outstanding for the years ended December 31, 2025, 2024 and 2023 are as follows (amounts in thousands, except for share and per share amounts):
Years Ended
December 31,
202520242023
Numerator:
Net income (loss)
$74,029 $7,236 $(60,055)
Less: Net income (loss) attributable to non-controlling interests
40,721 4,848 (41,750)
Net income (loss) attributable to Rush Street Interactive, Inc. – basic
33,308 2,388 (18,305)
Effect of dilutive securities:
Increase to net income attributable to non-controlling interests
40,721 — — 
Net income (loss) attributable to Rush Street Interactive, Inc. – diluted
$74,029 $2,388 $(18,305)
Denominator
Weighted average common shares outstanding – basic95,825,421 81,784,916 68,508,093 
Adjustments:
Conversion of weighted average RSILP Units to Class A Common Shares
132,705,076 — — 
Incremental shares from assumed conversion of stock options and restricted stock units(1)
7,587,778 6,630,151 — 
Weighted average common shares outstanding – diluted236,118,275 88,415,067 68,508,093 
Earnings (loss) per Class A Common Share - basic
$0.35 $0.03 $(0.27)
Earnings (loss) per Class A Common Share - diluted
$0.31 $0.03 $(0.27)
(1)In period of Net loss, assumed conversion of stock-based awards and RSILP units are anti-dilutive and therefore excluded from the diluted loss per share calculation. For the year ended December 31, 2024, assumed conversion of RSILP units are anti-dilutive and therefore excluded from the diluted earnings per share calculation.
Shares of the Class V Common Stock do not participate in the earnings or losses of the Company and are therefore not participating securities. As such, separate presentation of basic and diluted earnings per share of Class V common stock under the two-class method has not been presented.
The Company excluded the following securities from its computation of diluted shares outstanding, as their effect would have been anti-dilutive:
December 31,
202520242023
RSILP Units(1)
— 143,091,720 150,434,310 
Unvested RSUs
139,235 998,448 9,218,142 
Vested RSUs(2)
— — 1,104,629 
Outstanding Stock Options
344,391 727,724 1,971,611 
(1)RSILP Units that are held by non-controlling interest holders and may be exchanged, subject to certain restrictions, for Class A Common Stock. Upon exchange of an RSILP Unit, a share of Class V Common Stock is canceled.
(2)RSUs that vested but the resulting shares of Class A Common Stock have not yet been issued.
v3.25.4
Segment Reporting
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
An operating segment is a component of an entity that: (i) engages in business activities from which it may earn revenues and incur expenses; (ii) has discrete financial information available; and (iii) is regularly reviewed by the entity’s CODM for purposes of performance assessment and resource allocation.

The Company’s CODM is its chief executive officer. The Company manages its operations as a single operating segment that engages in online gaming and retail sports betting business activities. The Company derives its revenues from its gaming offerings such as real-money online casino, online sports betting and retail sports betting (i.e., sports betting services provided at bricks-and-mortar locations), as well as social gaming, which involves free-to-play games using virtual credits that user can earn or purchase (where permitted). The accounting policies for this segment are consistent with those described in the summary of significant accounting policies.

The Company’s CODM regularly reviews financial information of the single operating segment for the purposes of assessing performance and making operating decisions. The CODM uses consolidated net income (loss) to allocate resources and assess the performance of the Company by comparing actual results to historical results and previously forecasted financial information. Consolidated net income (loss) is also reviewed to assess whether and when to reinvest profits, for example, expanding into new jurisdictions, acquiring businesses or distributing dividends. The measure of segment assets is reported on the consolidated balance sheets as total consolidated assets.
The Company’s revenue, significant expenses and net income (loss) for its consolidated segment are as follows:
Years Ended
December 31,
($ in thousands)202520242023
Revenue
$1,134,428 $924,083 $691,161 
Less:
Costs of revenue(1)
741,360 600,920 463,950 
Sales and marketing(1)
158,434 155,842 158,425 
General and administrative(1)
80,979 74,782 60,618 
Interest income
(10,191)(8,450)(3,703)
Interest expense
918 957 938 
Depreciation and amortization
39,970 32,203 29,759 
Income tax expense
(85,108)24,566 11,209 
Other segment items(2)
134,037 36,027 30,020 
Consolidated net income (loss)
$74,029 $7,236 $(60,055)
(1)Excludes share-based compensation expense.
(2)Other segment items include share-based compensation expense and change in tax receivable agreement liability.
v3.25.4
Related Parties
 12 Months Ended
Dec. 31, 2025
Related Party Transactions [Abstract]  
Related Parties Related Parties
Prior to the Business Combination, RSILP’s principal unit holders included Neil G. Bluhm, Executive Chairman, and NGB 2013 Grandchildren’s Dynasty Trust (collectively, “Bluhm and Trust”) and Gregory A. Carlin, the Company’s former Chief Executive Officer and former vice chairman, and Greg and Marcy Carlin Family Trust (collectively, “Carlin and Trust”). Bluhm and Trust and Carlin and Trust had interests in RSILP of approximately 73% and 20%, respectively. Both Bluhm and Trust and Carlin and Trust are the owners of the Sellers’ Representative, which had an interest of approximately 1% in RSILP.
Neil Bluhm and Richard Schwartz, the Company’s Chief Executive Officer, maintain ownership in RSILP and collectively have control over its governance and general operations. At the Closing, the Company and RSI GP entered into the Amended and Restated Limited Liability Company Agreement of RSI GP, pursuant to which, among other things, the parties established a board of managers of RSI GP, which is initially comprised of Neil Bluhm, Gregory Carlin and Richard Schwartz, to direct and exercise control over all activities of RSI GP, including RSI GP’s right to manage and control RSILP. As of December 31, 2025, Neil Bluhm and Richard Schwartz remain on the board of managers of RSI GP.
Amended and Restated Agreement of Limited Partnership of RSILP
At the Closing, the Company, the Special Limited Partner, RSI GP, RSILP and the Sellers entered into the RSILP A&R LPA.
Management
RSI GP, as the general partner of RSILP following the Closing, has the sole authority to manage the business, property and affairs of RSILP in accordance with the RSILP A&R LPA or applicable law, including laws relating to gaming. The RSILP A&R LPA provides that the general partner cannot be removed or replaced except with the consent of a majority in interests of the partners of RSILP and the Company. The rights of the general partner’s board of managers are governed by the general partner’s limited liability company agreement, which may be amended or modified from time to time by the Company.
Tax Distributions
The RSILP A&R LPA provides quarterly tax distributions payable in accordance with the RSILP A&R LPA to the holders of RSILP Units on a pro rata basis based upon an agreed-upon formula related to the taxable income of RSILP allocable to holders of RSILP Units. Generally, these tax distributions will be computed based on RSILP’s estimate of the taxable income of RSILP allocable to each holder of RSILP Units (based on certain assumptions) multiplied by an assumed tax rate equal to the highest effective marginal combined U.S. federal, state and local income tax rate prescribed for an individual or corporation resident in Illinois, subject to various adjustments. Distributions, including tax distributions, will be made to holders of RSILP Units on a pro rata basis.
During the year ended December 31, 2025, RSILP paid a tax distribution of $0.7 million to holders of RSILP Units other than Rush Street Interactive, Inc., and the state tax authorities. No tax distributions were paid during the years ended December 31, 2024 and 2023.
Transfer Restrictions
The RSILP A&R LPA contains restrictions on transfers of units and requires the prior consent of the general partner for such transfers, except, in each case, for certain transfers to permitted transferees under certain conditions and exchanges of RSILP Units for shares of Class A Common Stock after the six-month anniversary of the Closing.
Exchange of RSILP Units for Class A Common Stock
The Sellers are, up to four times per calendar year, able to exchange all or any portion of their RSILP Units, together with the cancellation of an equal number of shares of Class V Common Stock, for a number of shares of Class A Common Stock equal to the number of exchanged RSILP Units by delivering a written notice to RSILP, with a copy to the Special Limited Partner; provided that no holder of RSILP Units may exchange less than 1,000 RSILP Units in any single exchange unless exchanging all of the RSILP Units held by such holder at such time, subject in each case to the limitations
and requirements set forth in the RSILP A&R LPA regarding such exchanges. Notwithstanding the foregoing, the Special Limited Partner may, at its sole discretion, in lieu of delivering shares of Class A Common Stock for any RSILP Units surrendered for exchange, pay an amount in cash per RSILP Unit equal to the 5-day VWAP of the Class A Common Stock on the date of the receipt of the written notice of the exchange.
Exchange Ratio
For each RSILP Unit exchanged, one share of Class V Common Stock will be canceled, and one share of Class A Common Stock will be issued to the exchanging member. If the Class A Common Stock is converted or changed into another security, securities or other property, on any subsequent exchange an exchanging RSI Unit holder will be entitled to receive such security, securities or other property.
Restrictions on Exchange
In certain circumstances, RSI GP may limit the rights of holders of RSILP Units to exchange their RSILP Units under the RSILP A&R LPA if RSI GP determines in good faith that such restrictions are necessary so that RSILP will not be classified as a “publicly traded partnership” under applicable tax laws and regulations.
Affiliated Land-Based Casinos
Neil Bluhm and his adult children (including Ms. Leslie Bluhm, a member of the Board), through their individual capacities, entities or trusts that they have created for the benefit of themselves or their family members, and Greg Carlin, through his individual capacity, entities or trusts that he has created for the benefit of himself or his family members, are direct or indirect owners, directors and/or officers of certain land-based casinos. The Company has entered into certain agreements with these affiliated land-based casinos that create strategic partnerships and/or joint ventures aimed to capture the online gaming, online sports betting and retail sports services markets in the various states and municipalities where the land-based casinos operate.
Generally, the Company pays a royalty fee to the land-based casino (calculated as a percentage of the Company’s revenue less reimbursable costs as defined in the agreement) in exchange for the right to operate real-money online casino and/or online sports betting under the gaming license of the land-based casinos. Royalties related to arrangements with affiliated casinos were $72.9 million, $66.1 million and $49.6 million for the years ended December 31, 2025, 2024 and 2023, respectively, which were net of any consideration received from the affiliated casino for reimbursable costs, as well as costs that are paid directly by the affiliate casino on the Company’s behalf. Net royalties paid are recorded as costs of revenue in the accompanying consolidated statements of operations. In certain cases, the affiliate casino maintains the bank account that processes cash deposits and withdrawals for RSI customers. Accordingly, at any point in time, the Company will record a receivable from the affiliate, representing RSI total gaming revenue (with RSI customers) that was collected by the affiliate, less consideration payable to the affiliate for use of its license, which is offset by any consideration received from the affiliate based on the terms of the agreement. Receivables due from affiliated land-based casinos were $19.9 million and $18.2 million at December 31, 2025 and 2024, respectively.
In addition, the Company provides retail sports services to certain affiliated land-based casinos in exchange for a monthly commission based on the land-based casino’s retail sportsbook revenue. Services include ongoing management and oversight of the retail sportsbook, technical support for the land-based casino’s customers, customer support, risk management, advertising and promotion, and support for the third-party vendor’s sports betting equipment. Revenue recognized relating to retail sports services provided to affiliated land-based casinos during the years ended December 31, 2025, 2024 and 2023 were not material to the consolidated financial statements. Any payables due to the affiliated land-based casinos are netted against affiliate receivables to the extent a right of offset exists, yet such amounts were not material to the consolidated financial statements as of December 31, 2025 and 2024.
v3.25.4
Leases
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Leases Leases
The Company leases office space and other retail space under operating lease agreements with terms that do not exceed five years. In addition, the Company leases online gaming servers and related equipment under finance lease arrangements.
The components of lease expense for the years ended December 31, 2025, 2024 and 2023 were as follows:
Years Ended
December 31,
($ in thousands)202520242023
Operating lease cost$1,208 $1,080 $770 
Variable lease cost389 172 267 
Short-term lease cost405 559 867 
Finance lease cost:
Amortization of finance lease right-of-use asset
2,392 1,829 1,272 
Interest on finance lease liabilities
199 169 85 
Total lease expenses$4,593 $3,809 $3,261 
Additional information relating to leases for the years ended December 31, 2025, 2024 and 2023 was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Operating cash flows from operating leases$893$832$732
Right-of-use assets obtained in exchange for new or modified operating lease liabilities$1,349$1,582$210
Right-of-use assets obtained in exchange for new or modified finance lease liabilities
$3,482$1,986$2,423
Weighted-average remaining lease term (in years) – operating leases2.83.02.5
Weighted-average remaining lease term (in years) – finance leases2.42.73.4
Weighted-average discount rate – operating leases8.6 %9.2 %6.7 %
Weighted-average discount rate – finance leases5.5 %5.3 %7.7 %
The Company calculated the weighted-average discount rate using the interest rates implicit in the lease contract and if not determinable, incremental borrowing rates, which equal the rates of interest that it would pay to borrow funds on a fully collateralized basis over a similar term.
The Company records lease activity within the following financial statement line items:
AccountFinancial Statement Line Item
Operating lease right-of-use asset
Operating lease assets
Finance lease right-of-use asset, netProperty and equipment, net
Operating lease liabilities
Other current liabilities and Other non-current liabilities
Finance lease liabilities
Other current liabilities and Other non-current liabilities
Operating lease expense
General and administrative
Finance lease amortization expenseDepreciation and amortization
Finance lease interest expense
Interest income, net
Maturity of operating lease liabilities as of December 31, 2025 is as follows:
($ in thousands)
Year ending December 31, 2026$1,190 
Year ending December 31, 2027986 
Year ending December 31, 2028708 
Year ending December 31, 2029238 
Year ending December 31, 2030— 
Total undiscounted future cash flows3,122 
Less: present value discount(378)
Operating lease liabilities$2,744 
Maturity of finance lease liabilities as of December 31, 2025 is as follows:
($ in thousands)
Year ending December 31, 2026$1,622 
Year ending December 31, 20271,528 
Year ending December 31, 2028522 
Year ending December 31, 2029— 
Year ending December 31, 2030— 
Total undiscounted future cash flows3,672 
Less: present value discount(284)
Finance lease liabilities$3,388 
Leases Leases
The Company leases office space and other retail space under operating lease agreements with terms that do not exceed five years. In addition, the Company leases online gaming servers and related equipment under finance lease arrangements.
The components of lease expense for the years ended December 31, 2025, 2024 and 2023 were as follows:
Years Ended
December 31,
($ in thousands)202520242023
Operating lease cost$1,208 $1,080 $770 
Variable lease cost389 172 267 
Short-term lease cost405 559 867 
Finance lease cost:
Amortization of finance lease right-of-use asset
2,392 1,829 1,272 
Interest on finance lease liabilities
199 169 85 
Total lease expenses$4,593 $3,809 $3,261 
Additional information relating to leases for the years ended December 31, 2025, 2024 and 2023 was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Operating cash flows from operating leases$893$832$732
Right-of-use assets obtained in exchange for new or modified operating lease liabilities$1,349$1,582$210
Right-of-use assets obtained in exchange for new or modified finance lease liabilities
$3,482$1,986$2,423
Weighted-average remaining lease term (in years) – operating leases2.83.02.5
Weighted-average remaining lease term (in years) – finance leases2.42.73.4
Weighted-average discount rate – operating leases8.6 %9.2 %6.7 %
Weighted-average discount rate – finance leases5.5 %5.3 %7.7 %
The Company calculated the weighted-average discount rate using the interest rates implicit in the lease contract and if not determinable, incremental borrowing rates, which equal the rates of interest that it would pay to borrow funds on a fully collateralized basis over a similar term.
The Company records lease activity within the following financial statement line items:
AccountFinancial Statement Line Item
Operating lease right-of-use asset
Operating lease assets
Finance lease right-of-use asset, netProperty and equipment, net
Operating lease liabilities
Other current liabilities and Other non-current liabilities
Finance lease liabilities
Other current liabilities and Other non-current liabilities
Operating lease expense
General and administrative
Finance lease amortization expenseDepreciation and amortization
Finance lease interest expense
Interest income, net
Maturity of operating lease liabilities as of December 31, 2025 is as follows:
($ in thousands)
Year ending December 31, 2026$1,190 
Year ending December 31, 2027986 
Year ending December 31, 2028708 
Year ending December 31, 2029238 
Year ending December 31, 2030— 
Total undiscounted future cash flows3,122 
Less: present value discount(378)
Operating lease liabilities$2,744 
Maturity of finance lease liabilities as of December 31, 2025 is as follows:
($ in thousands)
Year ending December 31, 2026$1,622 
Year ending December 31, 20271,528 
Year ending December 31, 2028522 
Year ending December 31, 2029— 
Year ending December 31, 2030— 
Total undiscounted future cash flows3,672 
Less: present value discount(284)
Finance lease liabilities$3,388 
v3.25.4
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Legal Matters
The Company is not a party to any material legal proceedings and is not aware of any material pending or threatened claims. From time to time however, the Company may be subject to various legal proceedings and claims that arise in the ordinary course of its business activities.
Other Contractual Obligations
The Company is a party to several non-cancelable contracts with vendors and licensors for marketing and other strategic partnership related agreements. Under the non-cancelable terms of these contracts, the Company is obligated to make future minimum payments as follows:
($ in thousands)
Year ending December 31, 2026$25,171 
Year ending December 31, 202716,465 
Year ending December 31, 202810,912 
Year ending December 31, 20299,764 
Year ending December 31, 20307,563 
Thereafter10,915 
Total(1)
$80,790 
(1) Includes operating lease and finance lease obligations under non-cancelable lease contracts totaling $6.8 million, obligations under non-cancelable contracts with marketing vendors totaling $41.9 million, and license and market access commitments totaling $32.1 million. Certain market access arrangements require the Company to make additional payments at a contractual milestone date if the market access fees paid up until that milestone date do not meet a minimum contractual threshold. In these instances, the Company calculates future minimum payment as the total milestone payment less any amounts already paid to the partner and includes such payments in the period in which the milestone date occurs.
v3.25.4
Insider Trading Arrangements
 3 Months Ended
Dec. 31, 2025
shares
Trading Arrangements, by Individual  
Material Terms of Trading Arrangement
During the three months ended December 31, 2025, none of our directors or executive officers adopted or terminated any contract, instruction or written plan for the purchase or sale of the Company’s securities that was intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) or any “non-Rule 10b5-1 trading arrangement”, except as described in the table below:
Name and Title
Action
Date of Action
Duration of Trading Arrangements
Rule 10b5-1 Trading Arrangement?
(Y/N)1		Aggregate Number of Securities Subject to Trading Arrangement
Paul Wierbicki, Chief Legal Officer and Director
Adopt December 19, 2025
March 23, 2026 - April 1, 2027
Y
90,000
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Paul Wierbicki [Member]  
Trading Arrangements, by Individual  
Name Paul Wierbicki
Title Chief Legal Officer and Director
Rule 10b5-1 Arrangement Adopted true
Adoption Date December 19, 2025
Expiration Date 4/1/2027
Arrangement Duration 374 days
Aggregate Available 90,000
v3.25.4
Insider Trading Policies and Procedures
 12 Months Ended
Dec. 31, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.4
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Dec. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
Our process for identifying, assessing and managing material risks from cybersecurity threats is part of our broader risk management system and processes. We use a risk management framework based on applicable laws and regulations and informed by industry standards and industry-recognized practices, for managing cybersecurity risks within our offerings, infrastructure and corporate resources. As part of our risk management process, we conduct application security assessments, vulnerability management, penetration testing, security audits and risk assessments. We also maintain a variety of incident response plans, playbooks and processes that are utilized if and when incidents are detected.

In addition, we have processes in place to govern our third-party vendor security risks. We generally gather information, either through independent research or through questionnaires, regarding certain third parties who contract with the Company and receive sensitive data from us or have access to or integrate with our systems, in order to help us assess potential risks associated with their security processes. We also generally require third parties to, among other things, maintain security controls to protect confidential information and data and notify us of data breaches that may impact our data through obligations that are documented in data processing or other agreements. In addition, we carry insurance that provides certain, limited protection against losses arising from a cybersecurity incident.

Internally, we have a security awareness program, which includes training that reinforces our information technology and security policies, standards and practices, and we require that our employees comply with these policies. The security awareness program offers training on how to identify potential cybersecurity risks and protect our resources and information. These trainings are mandatory for all employees and take place throughout the year, and are supplemented by testing initiatives, including periodic phishing tests. We also provide access to specialized training for certain employee roles, such as application developers. Finally, our privacy and data protection program requires employees to take periodic awareness training on data privacy. This training includes information about confidentiality and security, as well as responding to unauthorized access to or use of information.
From time to time, we engage assessors, consultants, auditors, or other third-party service providers to enhance risk mitigation efforts. For instance, we have performed simulations and tabletop exercises for our technical teams and senior leaders to prepare for a possible cyber crisis and incorporate external resources and advisors as needed. We also engage third-party consultants and service providers to assist with penetration testing, security audits and vulnerability assessments in certain jurisdictions.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]
Our process for identifying, assessing and managing material risks from cybersecurity threats is part of our broader risk management system and processes. We use a risk management framework based on applicable laws and regulations and informed by industry standards and industry-recognized practices, for managing cybersecurity risks within our offerings, infrastructure and corporate resources. As part of our risk management process, we conduct application security assessments, vulnerability management, penetration testing, security audits and risk assessments. We also maintain a variety of incident response plans, playbooks and processes that are utilized if and when incidents are detected.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block] While our full Board has overall responsibility for risk oversight and is currently overseeing our business continuity, regulatory and compliance risks, it is supported in this function by our Audit Committee, Compensation Committee and NCG Committee. Our Audit Committee periodically reviews our cybersecurity, information technology, data protection, privacy and compliance risk management, as well as performs other risk oversight functions. Through its regular meetings with management, including the accounting and finance, legal, internal audit, regulatory compliance and information technology and security functions, the Audit Committee reviews and discusses our cybersecurity risk management practices and policies and periodically updates the Board or relevant members or committees thereof, about any material risks and the appropriate mitigating factors.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] While our full Board has overall responsibility for risk oversight and is currently overseeing our business continuity, regulatory and compliance risks, it is supported in this function by our Audit Committee, Compensation Committee and NCG Committee. Our Audit Committee periodically reviews our cybersecurity, information technology, data protection, privacy and compliance risk management, as well as performs other risk oversight functions.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block]
While our full Board has overall responsibility for risk oversight and is currently overseeing our business continuity, regulatory and compliance risks, it is supported in this function by our Audit Committee, Compensation Committee and NCG Committee. Our Audit Committee periodically reviews our cybersecurity, information technology, data protection, privacy and compliance risk management, as well as performs other risk oversight functions. Through its regular meetings with management, including the accounting and finance, legal, internal audit, regulatory compliance and information technology and security functions, the Audit Committee reviews and discusses our cybersecurity risk management practices and policies and periodically updates the Board or relevant members or committees thereof, about any material risks and the appropriate mitigating factors.

Our Chief Technology Officer, who has engineering, operations, product, information technology and security knowledge, experience and skills gained over two decades of experience leading complex, large-scale global technology organizations across media, entertainment, sports and retail, our Chief Information Security Officer, who also has over two decades of cybersecurity experience in both public and private organizations, and certain members of their teams as well as
outside advisors who have cybersecurity experience are responsible for implementing and maintaining cybersecurity and data protection practices at the Company and reporting on cybersecurity matters to the relevant members of management. This team is supported, from time to time, by third-party consultants and service providers with specific areas of cybersecurity expertise. Management is responsible for identifying, assessing and managing material cybersecurity risks on an ongoing basis, establishing processes to ensure that such potential cybersecurity risk exposures are monitored, putting in place appropriate mitigation measures, and maintaining cybersecurity policies and procedures. Management also regularly communicates cybersecurity risks and activities with other members of management and, as appropriate, to our Board or relevant members or committees thereof, including the Audit Committee.
Cybersecurity Risk Role of Management [Text Block]
While our full Board has overall responsibility for risk oversight and is currently overseeing our business continuity, regulatory and compliance risks, it is supported in this function by our Audit Committee, Compensation Committee and NCG Committee. Our Audit Committee periodically reviews our cybersecurity, information technology, data protection, privacy and compliance risk management, as well as performs other risk oversight functions. Through its regular meetings with management, including the accounting and finance, legal, internal audit, regulatory compliance and information technology and security functions, the Audit Committee reviews and discusses our cybersecurity risk management practices and policies and periodically updates the Board or relevant members or committees thereof, about any material risks and the appropriate mitigating factors.

Our Chief Technology Officer, who has engineering, operations, product, information technology and security knowledge, experience and skills gained over two decades of experience leading complex, large-scale global technology organizations across media, entertainment, sports and retail, our Chief Information Security Officer, who also has over two decades of cybersecurity experience in both public and private organizations, and certain members of their teams as well as
outside advisors who have cybersecurity experience are responsible for implementing and maintaining cybersecurity and data protection practices at the Company and reporting on cybersecurity matters to the relevant members of management. This team is supported, from time to time, by third-party consultants and service providers with specific areas of cybersecurity expertise. Management is responsible for identifying, assessing and managing material cybersecurity risks on an ongoing basis, establishing processes to ensure that such potential cybersecurity risk exposures are monitored, putting in place appropriate mitigation measures, and maintaining cybersecurity policies and procedures. Management also regularly communicates cybersecurity risks and activities with other members of management and, as appropriate, to our Board or relevant members or committees thereof, including the Audit Committee.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] While our full Board has overall responsibility for risk oversight and is currently overseeing our business continuity, regulatory and compliance risks, it is supported in this function by our Audit Committee, Compensation Committee and NCG Committee. Our Audit Committee periodically reviews our cybersecurity, information technology, data protection, privacy and compliance risk management, as well as performs other risk oversight functions.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block]
Our Chief Technology Officer, who has engineering, operations, product, information technology and security knowledge, experience and skills gained over two decades of experience leading complex, large-scale global technology organizations across media, entertainment, sports and retail, our Chief Information Security Officer, who also has over two decades of cybersecurity experience in both public and private organizations, and certain members of their teams as well as
outside advisors who have cybersecurity experience are responsible for implementing and maintaining cybersecurity and data protection practices at the Company and reporting on cybersecurity matters to the relevant members of management.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]
While our full Board has overall responsibility for risk oversight and is currently overseeing our business continuity, regulatory and compliance risks, it is supported in this function by our Audit Committee, Compensation Committee and NCG Committee. Our Audit Committee periodically reviews our cybersecurity, information technology, data protection, privacy and compliance risk management, as well as performs other risk oversight functions. Through its regular meetings with management, including the accounting and finance, legal, internal audit, regulatory compliance and information technology and security functions, the Audit Committee reviews and discusses our cybersecurity risk management practices and policies and periodically updates the Board or relevant members or committees thereof, about any material risks and the appropriate mitigating factors.

Our Chief Technology Officer, who has engineering, operations, product, information technology and security knowledge, experience and skills gained over two decades of experience leading complex, large-scale global technology organizations across media, entertainment, sports and retail, our Chief Information Security Officer, who also has over two decades of cybersecurity experience in both public and private organizations, and certain members of their teams as well as
outside advisors who have cybersecurity experience are responsible for implementing and maintaining cybersecurity and data protection practices at the Company and reporting on cybersecurity matters to the relevant members of management. This team is supported, from time to time, by third-party consultants and service providers with specific areas of cybersecurity expertise. Management is responsible for identifying, assessing and managing material cybersecurity risks on an ongoing basis, establishing processes to ensure that such potential cybersecurity risk exposures are monitored, putting in place appropriate mitigation measures, and maintaining cybersecurity policies and procedures. Management also regularly communicates cybersecurity risks and activities with other members of management and, as appropriate, to our Board or relevant members or committees thereof, including the Audit Committee.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.4
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Basis of Presentation and Principles of Consolidation
Basis of Presentation and Principles of Consolidation
The accompanying consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). The consolidated financial statements include the accounts of the Company, its direct and indirect wholly owned subsidiaries, and all entities in which the Company has a controlling interest. For consolidated entities that are less than wholly owned, third-party holdings of equity interests are presented as non-controlling interests in the Company’s consolidated balance sheets and consolidated statements of changes in stockholders’ equity. The portion of net income (loss) attributable to the non-controlling interests is presented as net income (loss) attributable to non-controlling interests in the Company’s consolidated statements of operations, while the portion of comprehensive income (loss) attributable to the non-controlling interests is reported as comprehensive income (loss) attributable to non-controlling interests in the Company’s consolidated statements of comprehensive income (loss). All intercompany accounts and transactions have been eliminated upon consolidation.
The assets and liabilities of RSILP represent substantially all of the Company’s consolidated assets and liabilities, except for certain deferred taxes and liabilities under the Tax Receivable Agreement (“TRA”). The Company’s equity interests in RSILP, comprised of Class A Units of RSILP (the “RSILP Units”) and General Partnership Interests of RSILP, are held indirectly through wholly owned subsidiaries of the Company – RSI ASLP, Inc. (the “Special Limited Partner”) and RSI GP, LLC (“RSI GP”), respectively. RSI is deemed to have a controlling interest of RSILP through RSI GP, which is the sole general partner of RSILP. As a result, the Company consolidates the financial results of RSILP and reports a non-controlling interest representing the economic interest in RSILP held by the other members of RSILP. As of December 31, 2025, the Company owned 43.54% of the RSILP Units and the holders of the non-controlling interest 56.46% of the RSILP Units.
Neil G. Bluhm and Richard Schwartz and their respective trusts and entities controlled or beneficially owned by them (collectively, the “Controlling Holders”) together as a group control a majority of the voting power of the Company’s outstanding common stock. As a result, RSI is a “controlled company” under the New York Stock Exchange’s corporate governance standards.
Reclassifications
Reclassifications
Certain prior year amounts have been reclassified to conform to the current year presentation. Such reclassifications had no impact on the Company’s reported total revenues, expenses, net loss, current assets, total assets, current liabilities, total liabilities, stockholders’ equity, non-controlling interests or cash flows. No reclassifications of prior period balances were material to the consolidated financial statements.
Liquidity and Capital Resources
Liquidity and Capital Resources
The Company currently expects that its cash and positive operating cash flows will be sufficient to fund its operating expenses and capital expenditure requirements for at least 12 months from the date of issuance of this report based on future spend assumptions. The Company generated cash inflows from operations of $165.0 million and $106.4 million for the years ended December 31, 2025 and 2024, respectively, and experienced cash outflows from operations of $5.9 million for the year ended December 31, 2023.
The Company had working capital totaling $196.5 million as of December 31, 2025.
Use of Estimates
Use of Estimates
The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Significant estimates and assumptions reflected in the consolidated financial statements relate to and include, but are not limited to, the valuation of share-based awards and acquired intangibles; internally developed software; long-lived assets and investments in equity; the estimated useful lives of property and equipment and intangible assets; redemption rate assumptions associated with the loyalty program and
other discretionary player bonuses; accrued expenses; determination of the incremental borrowing rate to calculate certain operating lease liabilities and finance lease liabilities; and deferred taxes and amounts associated with the TRA entered into in connection with the closing on December 29, 2020 of the Business Combination (the “Closing”).
Segment Reporting
Segment Reporting
Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the Chief Operating Decision Maker (“CODM”) in making decisions regarding resource allocation and assessing performance. The Company views its operations and manages its business in one operating segment.
Cash and Cash Equivalents and Restricted Cash
Cash and Cash Equivalents and Restricted Cash
Cash and cash equivalents consist of highly liquid, unrestricted savings, checking, instant access internet banking accounts, money market funds and certificates of deposits with original maturities of 90 days or less at acquisition.
Restricted cash includes any cash and cash equivalents held by the Company that are legally restricted as to withdrawals or usage. This consists of certain deposits that are restricted under regulatory requirements. Regardless of whether customer deposits are legally restricted, the Company maintains separate bank accounts to segregate cash that resides in customers’ accounts from operational funds.
The following table reconciles cash and cash equivalents and restricted cash in the consolidated balance sheets to the totals shown on the consolidated statements of cash flows:
December 31,
($ in thousands)20252024
Cash and cash equivalents(1)
$336,256 $229,171 
Restricted cash4,248 3,585 
Total cash, cash equivalents and restricted cash$340,504 $232,756 
(1) The Company had cash equivalents of $157.5 million and $117.7 million as of December 31, 2025 and 2024, respectively. Cash equivalents are composed of money market funds and certificates of deposits with original maturities of 90 days or less. Money market funds of $113.2 million and $107.5 million as of December 31, 2025 and 2024, respectively, are valued using quoted market prices at period-end.
Players Receivables
Players’ Receivables
Players’ receivables consist of cash deposits from customers that the Company has not yet received. Players’ receivables are reported at the amount that the Company expects to collect from customers, generally via third-party payment processors. These receivables arise due to the timing difference between a customer’s deposit and the Company’s receipt of that deposit from the payment processor. The amounts are generally outstanding for a short period of time. On a periodic basis, the Company evaluates its players’ receivables and establishes an allowance for credit losses based on a specific review of the accounts as well as historical collection experience and current economic conditions. No allowance for credit losses was recorded for the periods presented in these consolidated financial statements.
Due from Affiliates
Due from Affiliates
Due from affiliates consists of amounts that are expected to be collected from certain affiliated land-based casino partners. In certain cases, the affiliate casino maintains the bank account that processes cash deposits and withdrawals for RSI customers. Accordingly, at any point in time, the Company will record a receivable from the affiliate, representing the Company’s total revenue (with RSI customers) that was collected by the affiliate, less consideration payable to the affiliate for use of its license, which is offset by any consideration received from the affiliate based on the terms of the applicable agreement. On a periodic basis, the Company evaluates the collectability of amounts due from affiliates and establishes an allowance for amounts not expected to be collected. No allowance was recorded for the periods presented in these consolidated financial statements. See Note 12 for disclosure on related parties.
Prepaid Expenses and Other Current Assets
Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets consist primarily of prepaid expenses and short-term investments. Prepaid expenses consist of various advance payments for goods or services to be received in the future. These costs include insurance, subscriptions, marketing, other contracted services and deposits paid in advance. As of December 31, 2025 and 2024, the Company had prepaid expenses of $9.5 million and $5.5 million, respectively.
Property and Equipment, Net
Property and Equipment, Net
Property and equipment are carried at cost, net of accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful life of the asset. Leasehold improvements depreciation is computed over the shorter of the remaining lease term or estimated useful life of the asset. Additions and improvements are capitalized, while repairs and maintenance are expensed as incurred. Useful lives of each asset class are as follows:
AssetUseful Life
Computers, software and related equipment
3 years
Furniture and fixtures
4 years
Operating equipment and servers
5 years
Leasehold improvements
Lesser of the lease terms or the estimated useful lives of the improvements, generally 1–10 years
Intangible Assets, Net
Intangible Assets, Net
License Fees, Net
The Company incurs costs in connection with operating in certain jurisdictions, including license applications fees, upfront or fixed market access payments to strategic partners and related renewals or extensions. These costs are capitalized as an intangible asset and amortized over the estimated useful life of the asset using the straight-line method. In certain markets, the Company agrees to pay minimum market access royalties to its partner, which is considered an integral cost in connection with operating in certain jurisdictions. The Company records fixed minimum royalty payments as intangible assets with an offset to deferred royalty liabilities, both of which are included on the consolidated balance sheets. The Company’s access to operate in a particular market is often dependent upon the continued viability of its strategic partner in that market. The useful life is the period over which the asset is expected to contribute directly or indirectly to the Company’s cash flows. The remaining useful life of license fee intangible assets is evaluated at least annually.
Internally Developed Software
Software that is developed for internal use is accounted for pursuant to Accounting Standards Codification (“ASC”) 350-40, Intangibles, Goodwill and Other - Internal-Use Software. Qualifying costs incurred to develop internal-use software are capitalized when (i) the preliminary project stage is completed, (ii) management has authorized further funding for the completion of the project and (iii) it is probable that the project will be completed and perform as intended. These capitalized costs include compensation for employees who develop internal-use software and external costs related to development and implementation of internal-use software. Capitalization of these costs ceases once the project is substantially complete and the software is ready for its intended purpose. Internally developed software is amortized using the straight-line method over an estimated useful life of three years. All other expenditures, including those incurred to maintain an intangible asset’s current level of performance, are expensed as incurred.
Developed Technology
The Company capitalizes acquired intellectual property as developed technology intangible assets in accordance with ASC 350-30, General Intangibles Other Than Goodwill. The assets are recognized in Intangible assets, net, on the Company’s consolidated balance sheets and are amortized over the estimated useful life of four to eight years using the straight-line method.
Other Intangibles
The Company capitalizes costs associated with the purchases of trademarks, software licenses and customer lists, and the development and production of media content in accordance with ASC 350, Intangibles - Goodwill and Other. The assets are included in Intangible assets, net, on the Company’s consolidated balance sheets as of December 31, 2025 and 2024 and are amortized over the estimated useful life of one to five years using the straight-line method.
Investments in Equity
Investments in Equity
The Company accounts for investments in equity that are within the scope of ASC 321-10, Investments - Equity Securities (“ASC 321-10”), as either (1) investments with a readily determinable fair value, which are recorded at fair value or (2) investments without a readily determinable fair value, which are recorded at cost less any impairment. Equity investments that are initially concluded to not have a readily determinable fair value are reassessed at each reporting period. If the Company identifies observable price changes in orderly transactions for the identical or a similar investment of the same issuer, it measures the equity security at fair value as of the date that the observable transaction occurred using valuation techniques that are permitted under ASC 820, Fair Value Measurement.
As of December 31, 2025 and 2024, the Company had investments in equity of $2.0 million. The equity investments are accounted for in accordance with ASC 321-10, and the Company accounts for the equity investments at cost less impairment because there are no readily determinable fair values for these investments as of December 31, 2025 and 2024. No impairment was recorded during the years ended December 31, 2025 and 2024. The investments are recognized in Other assets on the Company’s consolidated balance sheets.
Impairment of Long-Lived Assets
Impairment of Long-Lived Assets
The Company’s long-lived assets primarily consist of property and equipment, operating lease right-of-use assets, finance lease right-of-use assets and finite-lived intangible assets (i.e., license fees, internally developed software, developed technology and other intangibles).
The Company evaluates long-lived assets for indicators of impairment quarterly or when events or changes in circumstances indicate that their carrying amounts may not be recoverable. The factors that would be considered by management in performing this assessment include current operating results, trends and prospects, the manner in which the long-lived asset is used and the effects of obsolescence, demand, competition and other economic factors. If indicators of impairment are identified, the Company performs an undiscounted cash flow analysis of the long-lived assets. Asset groups are written down only to the extent that their carrying value is lower than their respective fair value. Fair values of the asset group are determined by discounting the cash flows at a rate that approximates the cost of capital of a market participant.
Players' Liabilities
Players’ Liabilities
The Company’s players’ liabilities include liabilities for customer account balances, incremental progressive jackpot reserves, and expected future payouts relating to customers’ unredeemed bonus store points and unused discretionary bonus incentives. Customer cash account balances consist of customer deposits, cash winnings and pending cash wagers, less customer cash losses, withdrawals and tax withholdings. The Company’s restricted cash balance, players’ receivables balance and the value of surety bonds held for the benefit of customers will equal or exceed the customer cash account balances.
Deferred Royalty
Deferred Royalty
The Company records liabilities for minimum royalty payments related to licensing and market access agreements. These liabilities are recorded on the consolidated balance sheets at the present value of future payments discounted using a rate that reflects the duration of the applicable agreement. The deferred royalty liability is accreted through interest expense in the Company’s consolidated statements of operations. The Company classifies deferred royalty liabilities as either current or non-current liabilities based on the timing of future payments, and amounts are included in the Company’s consolidated balance sheets under Other current liabilities or Other non-current liabilities, depending on their classification.
Concentrations of Credit Risk
Concentrations of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of operating cash, restricted cash, cash equivalents, and short-term investments. The Company maintains cash, restricted cash, cash equivalents, and short-term investments within separate bank accounts across multiple financial institutions. Any loss incurred, or a lack of access, to such funds could have a significant adverse impact on the Company’s financial condition, results of operations and cash flows. Although the Company maintains balances with certain institutions in excess of the federally insured limits, the Company is not subject to unusual credit risk beyond the normal credit risk associated with commercial banking relationships. As of December 31, 2025 and 2024, the Company has not experienced losses on these accounts.
Leases
Leases
The Company determines whether an arrangement is or contains a lease at contract inception. The Company accounts for leases in accordance with ASC 842, Leases, under which arrangements meeting the definition of a lease are classified as operating or finance leases and are recorded on the consolidated balance sheets as both a right-of-use asset and a lease liability.
The Company elects to apply the practical expedient that allows for the combination of lease and non-lease components for all asset classes. The lease classification evaluation begins at the lease commencement date. The lease term used in the evaluation includes the non-cancellable period for which the Company has the right to use the underlying asset, together with renewal option periods when the exercise of the renewal option is reasonably certain.
For leases with an initial term greater than 12 months, a related lease liability is recorded on the consolidated balance sheets at the present value of future payments discounted using the interest rate implicit in the lease and if not determinable, the estimated fully collateralized incremental borrowing rate (discount rate) corresponding with the lease term. In addition, a right-of-use asset is recorded as the initial amount of the lease liability, plus any lease payments made to the lessor before or at the lease commencement date and any initial direct costs incurred, less any tenant improvement allowance incentives received. Tenant incentives are amortized through the right-of-use asset as a reduction of lease expense over the lease term. The difference between the minimum rents paid and the straight-line rent is reflected within the associated right-of-use asset. Certain leases contain provisions that require variable payments consisting of common area maintenance costs (i.e., variable lease cost). Variable lease costs are expensed as incurred. The Company made an accounting policy election to exclude any short-term lease (i.e., leases with a term of twelve months or less) from the balance sheets. Short-term lease expense is recognized on a straight-line basis over the lease term.
When the interest rate implicit in the lease is not readily determinable, the Company uses its incremental borrowing rate corresponding with the lease term. As the Company does not have any outstanding debt, this rate is determined based on prevailing market conditions and comparable company and credit analysis. The discount rate is reassessed upon a modification that is not accounted for as a separate contract.
Revenue Recognition
Revenue Recognition
Revenue is recognized in accordance with ASC Topic 606, Revenue from Contracts with Customers, when control of the promised goods or services is transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company determines revenue recognition through the following steps:
•Identify the contract with the customer
•Identify the performance obligations in the contract
•Determine the transaction price
•Allocate the transaction price to the performance obligations in the contract
•Recognize revenue when, or as, the Company satisfies a performance obligation
The Company’s revenue from contracts with customers consists of online casino, online sports betting, retail sports betting and social gaming.
Online casino and online sports betting
Online casino offerings typically include the full suite of games available in land-based casinos, such as table games (i.e., blackjack and roulette), slot machines and poker games. The Company generates revenue from these offerings (other than online poker) through hold, or gross winnings, as customers play against the house. Online casino revenue other than from online poker is generated based on total customer bets less amounts paid to customers for winning bets, less other incentives awarded to customers, plus or minus the change in the progressive jackpot liability. Online casino revenue from online poker is recognized as rake (i.e., percentage of a game’s wagers earned by the Company for satisfying the performance obligation) less any value given back to players, which could be in the form of cash, tournament tickets or other form of bonuses.
Online sports betting involves a user placing a bet on the outcome of a sporting event, sports-related activity, or a series of the same, with the chance to win a pre-determined amount, often referred to as fixed odds. Online sports betting revenue is generated by setting odds such that there is a built-in theoretical margin in each bet offered to customers. Online sports betting revenue is generated based on total customer bets less amounts paid to customers for winning bets, less other incentives awarded to customers, plus or minus the change in unsettled bets.
The Company provides various incentives to promote customer engagement, many of which allow customers to place bets without using their own funds. For some incentive programs, benefits are provided to customers based only on past play and represent an option that grants the customer a material right. Other benefits that are provided to customers are more discretionary in nature and may not be related to the customer’s level of play.
Performance obligations related to online gaming (other than from online poker) and sports betting transactions include (1) servicing the customer’s bet, which is fulfilled when the outcome of the bet is known and (2) transferring additional goods or services to a player for which the Company has received consideration, such as bonus store points or other discretionary bonus incentives. The Company’s performance obligations related to online poker include operating games and tournaments in compliance with established rules, calculating results, and distributing payouts based on those results.
Bonus store points as well as discretionary bonus incentives, such as bonus money and bonus bets (collectively referred to herein as “customer bonuses”) are recognized as a reduction to revenue upon issuance of the incentive and as revenue upon redemption by the customer. Reductions to revenue include estimates for the stand-alone selling price of customer bonuses and the percentage of customer bonuses that are expected to be redeemed. The expected redemption percentage is based on historical redemption patterns and considers current information or trends. The estimated redemption rate is evaluated each reporting period. The Company does not believe that there is a reasonable likelihood that there will be a material change in the future estimates or assumptions used to calculate the estimated redemption rate. Adjustments to earnings resulting from revisions to management’s estimates of the redemption rates have not been material during the years ended December 31, 2025 and 2024.
Progressive jackpots related to online casino jackpot games are accrued and charged to revenue at the time the obligation to pay the jackpot is established. The progressive jackpot liability is recorded in Players’ liabilities on the consolidated balance sheets.
Retail sports betting
The Company provides retail sports services to land-based partners in exchange for a monthly commission based on that partner’s retail sportsbook revenue. Services generally include ongoing management and oversight of the retail sportsbook, technical support for the partner’s customers, risk management, advertising and promotion, and support for third-party vendors’ sports betting equipment. The Company has a single performance obligation to provide retail sports services and records the revenue as services are performed and when the commission amounts are no longer constrained (i.e., the amount is known).
Certain relationships with business partners provide the Company the ability to operate the retail sportsbook. In this scenario, revenue is generated based on total customer bets less amounts paid to customers for winning bets, less other incentives awarded to customers, plus or minus the change in unsettled retail sports bets and unclaimed retail tickets for settled retail bets.
Social gaming
The Company provides a social gaming platform for users to enjoy free-to-play games that use virtual credits. While virtual credits are issued to users for free, some users may choose, where permitted, to purchase additional virtual credits through the Company’s virtual cashier. The Company has a single performance obligation associated with social gaming services, to provide social gaming services to users upon the redemption of virtual credits. Deferred revenue is recorded when users purchase virtual credits and revenue is recognized when the virtual credits are redeemed, and the Company’s performance obligation has been fulfilled.
Certain costs to obtain or fulfill contracts
Pursuant to the accounting guidance, certain costs to obtain or fulfill a contract with a customer must be capitalized to the extent recoverable from the associated contract margin, and subsequently amortized as the products or services are delivered to the customer. These costs are capitalized as contract acquisition costs and are amortized over the period of benefit to the customer. For the Company, the period of benefit has been determined to be less than or equal to one year. As such, the Company applied the practical expedient and contract acquisition costs are expensed immediately. Customer contract costs that do not qualify for capitalization as contract fulfillment costs are expensed as incurred.
Contract balances
Contract assets and liabilities represent the differences in timing between the fulfillment of the Company's performance obligations and the receipt of cash from the Company’s customers. The Company does not have material contract assets. The Company’s contract liabilities consist of deferred revenue.
Deferred revenue represents wagered amounts that relate to unsettled or pending outcomes, such as a future sports bet. The Company recognizes revenue once the outcome of the bet is settled and fixed. Deferred revenue also includes contract liabilities for the Company’s obligation to transfer additional goods or services to a customer for which the Company has received consideration, such as bonus store points. The Company recognizes breakage on these liabilities proportionately as redemption occurs. Revenue recognized relating to breakage during the years ended December 31, 2025 and 2024 was not material to the consolidated financial statements.
Deferred revenue relating to unsettled customer bets and unredeemed customer incentives is recorded in Players’ liabilities on the consolidated balance sheets.
Deferred revenue relating to the Company’s social gaming services includes virtual credits purchased by users but not yet redeemed and is recorded in Other current liabilities on the consolidated balance sheets.
Principal versus agent considerations
The Company evaluates the criteria outlined in ASC 606-10-55, Principal versus Agent Considerations, in determining whether it is appropriate to record the gross amount of revenues and related costs, or the net amount earned as commissions. When the Company is the principal in a transaction and controls the specific good or service before it is transferred to the customer, revenue is recorded gross; otherwise, revenue is recorded on a net basis. The Company controls
the promised goods or services for online casino and sports betting transactions, retail sports betting transactions and social gaming services, and as a result records related revenue on a gross basis. For retail sports service arrangements, the Company does not control the promised goods or services and, therefore, records the net amount of revenue earned as a commission.
Costs of Revenue
Costs of Revenue
Costs of revenue consist primarily of (i) revenue share and market access fees, which is reduced by any consideration received from the vendor, (ii) third-party platform and content fees, (iii) gaming taxes, (iv) payment processing fees and chargebacks and (v) salaries, bonuses, benefits and share-based compensation for dedicated personnel. These costs are primarily variable in nature and should, in large part, correlate with the change in revenue. Revenue share and market access fees consist primarily of variable amounts paid to local land-based partners that hold the applicable gaming license, providing the Company the ability to offer real-money online offerings in the respective jurisdictions. The Company’s third-party platform and content fees are primarily driven by costs associated with third-party casino content, data and streaming, sports betting trading services, geolocation, know-your-customer and platform hosting. Gaming taxes include jurisdictional taxes that are determined based on a percentage of revenue (or similar metrics) or excise taxes that are determined based on a percentage of bets placed. The Company incurs payment processing costs on player deposits, withdrawals and occasionally chargebacks (i.e., when a payment processor contractually disallows customer deposits in the normal course of business).
Sales and Marketing
Sales and Marketing
Sales and marketing costs consist primarily of marketing the Company’s products and services via different channels, promotional activities and the related costs incurred to acquire new customers. These costs also include salaries, bonuses, benefits and share-based compensation for dedicated personnel and are expensed as incurred.
General and Administrative
General and Administrative
General and administrative costs consist primarily of administrative personnel costs (including salaries, bonuses, benefits and share-based compensation), professional service fees related to legal, compliance, accounting and consulting, indirect technology costs, rent expense, insurance costs, indirect taxes in foreign jurisdictions, and foreign exchange gains or losses.
Share-Based Compensation
Share-Based Compensation
The Company records share-based compensation in accordance with ASC 718, Compensation—Stock Compensation, and recognizes share-based compensation expense in the period in which a grantee is required to provide service, which is generally over the vesting period of the individual share-based payment award. Compensation expense for awards with performance conditions is not recognized until it is probable that the performance target will be achieved. Compensation expense for awards is recognized over the requisite service period on a straight-line basis. The Company accounts for forfeitures as they occur.
The Company classifies unit awards as either an equity award or a liability award depending on whether the award contains certain repurchase provisions. Equity-classified awards are valued as of the grant date based upon the price of the underlying unit or share and a number of assumptions, including volatility, performance period, risk-free interest rate and expected dividends. Liability-classified awards are valued at fair value at each reporting date.
Income Taxes
Income Taxes
Rush Street Interactive, Inc. is a corporation and, as a result, is subject to U.S. federal, state and foreign income taxes.
RSILP is treated as a partnership for U.S. federal income tax purposes and therefore does not pay U.S. federal income tax on its taxable income. Instead, the RSILP unitholders, including the Company, are liable for U.S. federal income tax on their respective shares of RSILP’s taxable income reported on the unitholders’ U.S. federal income tax returns. RSILP is liable for income taxes in those states not recognizing its status as a partnership for U.S. federal income tax purposes.
The Company accounts for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are calculated by applying existing tax laws and the rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the year of the enacted rate change.
The Company recognizes deferred tax assets to the extent it believes these assets are more-likely-than-not to be realized. In making such a determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax planning strategies and recent results of operations.
The Company accounts for uncertainty in income taxes using a recognition and measurement threshold for tax positions taken or expected to be taken in a tax return, which are subject to examination by applicable taxing authorities. The tax benefit from an uncertain tax position is recognized when it is more-likely-than-not that the position will be sustained upon examination by taxing authorities based on technical merits of the position. The amount of the tax benefit recognized is the largest amount of the benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The effective tax rate and the tax basis of assets and liabilities reflect management’s estimates of the ultimate outcome of various tax uncertainties. The Company recognizes penalties and interest related to uncertain tax positions within Income tax (benefit) expense line in the accompanying consolidated statements of operations.
Tax Receivable Agreement
Tax Receivable Agreement
In connection with the Business Combination, the Special Limited Partner entered into the TRA, which generally provides for the payment by it of 85% of certain net tax benefits, if any, that the Company (including the Special Limited Partner) realize (or in certain cases is deemed to realize) as a result of these increases in tax basis and tax benefits related to the transactions contemplated under the Business Combination Agreement and the exchange of Retained RSILP Units for Class A Common Stock (or cash at the Company’s option) pursuant to the RSILP A&R LPA and tax benefits related to entering into the TRA, including tax benefits attributable to payments under the TRA. These payments are the obligation of the Special Limited Partner and not of RSILP. The actual increase in the Special Limited Partner’s allocable share of RSILP’s tax basis in its assets, as well as the amount and timing of any payments under the TRA, will vary depending upon a number of factors, including the timing of exchanges, the market price of the Class A Common Stock at the time of the exchange and the amount and timing of the recognition of the Company’s and its consolidated subsidiaries’ (including the Special Limited Partner’s) income. While many of the factors that will determine the amount of payments that the Special Limited Partner will make under the TRA are outside of the Company’s control, the Company expects that the payments the Special Limited Partner will make under the TRA will be substantial and could have a material adverse effect on the financial condition of the Company.
The Company evaluates the realizability of the deferred tax assets resulting from the exchange of RSILP Units for Class A Common Stock. If the deferred tax assets are determined to be realizable, the Company then assesses whether payment of amounts under the TRA have become probable. If so, the Company records a TRA liability, generally equal to 85% of such deferred tax assets. In subsequent periods, the Company assesses the realizability of all of its deferred tax assets subject to the TRA. Should it be determined that a deferred tax asset with a valuation allowance is realizable in a subsequent period, the related valuation allowance will be released and consideration of a corresponding TRA liability will be assessed. The realizability of deferred tax assets, including those subject to the TRA, is dependent upon the generation of future taxable income during the periods in which those deferred tax assets become deductible and consideration of prudent and feasible tax-planning strategies.
The measurement of the TRA liability is accounted for as a contingent liability. Therefore, once the Company determines that a payment becomes probable and can be estimated, the estimate of the payment are accrued. The Company classifies recognized TRA liability as either current or non-current liabilities based on the timing of future payments, and amounts are included in the Company’s consolidated balance sheets under Other current liabilities or Tax receivable agreement liability, non-current, depending on their classification.
The costs or adjustment to costs associated with the recognition of the TRA liability is recorded in Change in tax receivable agreement liability on the consolidated statements of operations. This cost or adjustment reflects changes in the estimated future payments under the TRA attributable to RSILP Unit exchanges completed prior to June 30, 2025. These
prior exchanges increased the Company’s tax basis in its share of RSILP’s underlying assets, giving rise to expected tax savings and corresponding TRA liability. RSILP Unit exchanges occurring after June 30, 2025 will not result in change in tax receivable agreement liability, as the associated increase in tax basis and the resulting TRA liability will be accounted for as equity transactions.
Earnings (Loss) Per Share
Earnings (Loss) Per Share
Basic earnings (loss) per share of Class A Common Stock is computed by dividing net income (loss) attributable to RSI by the weighted-average number of shares of Class A Common Stock outstanding during the same period.
Diluted earnings (loss) per share of Class A Common Stock is computed by dividing net income (loss) attributable to RSI, adjusted for the assumed exchange of all potentially dilutive securities, by the weighted-average number of shares of Class A Common Stock outstanding adjusted to give effect to potentially dilutive shares. The dilutive effect of outstanding awards or financial instruments, if any, is reflected in diluted earnings (loss) per share by application of the treasury stock method or if-converted method, as applicable.
Foreign Currency
Foreign Currency
The Company’s reporting currency is the U.S. dollar while the functional currency of subsidiaries not deemed to be the U.S. dollar includes the Colombian Peso, Mexican Peso, Canadian Dollar and Peruvian Soles. The financial statements of non-U.S. subsidiaries are translated into U.S. dollars in accordance with ASC 830, Foreign Currency Matters, using period-end exchange rates for assets and liabilities, and average exchange rates for the period for revenues, costs, and expenses and historical exchange rates for equity. Translation adjustments resulting from the process of translating the local currency financial statements into U.S. dollars are included in determining other comprehensive income (loss).
If transactions are recorded in a currency other than the subsidiary’s functional currency, remeasurement into the functional currency is required and may result in transaction gains or losses. Transaction (losses) gains were $(0.9) million, $(3.8) million and $0.9 million for the years ended December 31, 2025, 2024 and 2023, respectively. Amounts are recorded in General and administrative on the Company’s consolidated statements of operations.
Fair Value Measurements
Fair Value Measurements
Fair value measurements are based on the premise that fair value is an exit price representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the following three-tier fair value hierarchy has been used in determining the inputs used in measuring fair value:
•Level 1 – Quoted prices in active markets for identical assets or liabilities on the reporting date.
•Level 2 – Pricing inputs are based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
•Level 3 – Pricing inputs are generally unobservable and include situations where there is little, if any, market activity for the investment. The inputs into the determination of fair value require management’s judgment or estimation of assumptions that market participants would use in pricing the assets or liabilities. The fair values are therefore determined using factors that involve considerable judgment and interpretations, including but not limited to private and public comparables, third-party appraisals, discounted cash flow model and fund manager estimates.
Financial instruments measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Management’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. The use of different assumptions and/or estimation methodologies may have a material effect on estimated fair values. Accordingly,
the fair value estimates disclosed or initial amounts recorded may not be indicative of the amount that the Company or holders of the instruments could realize in a current market exchange.
As of December 31, 2025 and 2024, the recorded values of current assets and current liabilities approximate fair value due to the short-term nature of these instruments.
Recently Adopted Accounting Pronouncements And Recent Accounting Pronouncements Not Yet Adopted
Recently Adopted Accounting Pronouncements
In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which is intended to enhance the transparency, decision usefulness and effectiveness of income tax disclosures. The amendments in this ASU require a public entity to disclose a tabular tax rate reconciliation, using both percentages and currency, with specific categories. A public entity is also required to provide a qualitative description of the states and local jurisdictions that make up the majority of the effect of the state and local income tax category and the net amount of income taxes paid, disaggregated by federal, state and foreign taxes and also disaggregated by individual jurisdictions. The amendments also remove certain disclosures that are no longer considered cost beneficial. This ASU is effective for the Company in calendar year 2025. See Note 9, “Income Taxes” for additional information on the Company’s adoption of ASU 2023-09.
In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software, to modernize the accounting guidance for the costs to develop software for internal use. ASU 2025-06 amends the existing standard that refers to various stages of a software development project to align better with current software development methods, such as agile programming. Under the new standard, entities will commence capitalizing eligible costs when (i) management has authorized and committed to funding the software project, and (ii) it is probable that the project will be completed and the software will be used to perform the intended function. The new standard also supersedes the guidance related to costs incurred to develop a website. The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2027, and interim reporting periods within those annual reporting periods, with early adoption permitted. The amendments in this update permit an entity to apply the new guidance using a prospective, retrospective or modified transition approach. The Company early adopted ASU 2025-06 on a prospective basis effective for fiscal year beginning January 1, 2026 and the adoption did not have a material impact on its consolidated financial statements.
Recent Accounting Pronouncements Not Yet Adopted
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income-Expense Disaggregation (Subtopic 220-40): Disaggregation of Income Statement Expenses. The ASU requires the disclosure of additional information related to certain costs and expenses, including amounts of inventory purchases, employee compensation, and depreciation and amortization included in each income statement line item. The ASU also requires disclosure of the total amount of selling expenses and definition of selling expenses. The ASU is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027, with early adoption permitted. The Company is currently evaluating the impact of this ASU on its consolidated financial statements and related disclosures.
In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements, which provides clarifications intended to improve the consistency and usability of interim disclosure requirements, including a comprehensive listing of required interim disclosures and a new disclosure principle for reporting material events occurring after the most recent annual period. The amendments do not change the underlying objectives of interim reporting but are designed to enhance clarity in application. The guidance is effective for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years. The Company is currently evaluating the impact of this ASU on its interim consolidated financial statements and does not expect the adoption of this ASU to have a material effect on its interim consolidated financial statements.
v3.25.4
Description of Business (Tables)
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Products and Services by Location
As of December 31, 2025, RSI offered real-money online casino, online sports betting and/or retail sports betting in the 16 U.S. states and four international jurisdictions as outlined in the table below.
JurisdictionsOnline CasinoOnline Sports
Betting		Retail Sports
Betting
Domestic:
Arizonaü
Coloradoü
Delaware
üü
Illinoisüü
Indianaüü
Iowaü
Louisianaü
Marylandüü
Michiganüüü
New Jerseyüü
New Yorküü
Ohio
ü
Pennsylvaniaüüü
Virginiaüü
Washington
ü
West Virginiaüü
International:
Colombiaüü
Ontario (Canada)üü
Mexicoüü
Peru
üü
v3.25.4
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Schedule of Cash and Cash Equivalents
The following table reconciles cash and cash equivalents and restricted cash in the consolidated balance sheets to the totals shown on the consolidated statements of cash flows:
December 31,
($ in thousands)20252024
Cash and cash equivalents(1)
$336,256 $229,171 
Restricted cash4,248 3,585 
Total cash, cash equivalents and restricted cash$340,504 $232,756 
(1) The Company had cash equivalents of $157.5 million and $117.7 million as of December 31, 2025 and 2024, respectively. Cash equivalents are composed of money market funds and certificates of deposits with original maturities of 90 days or less. Money market funds of $113.2 million and $107.5 million as of December 31, 2025 and 2024, respectively, are valued using quoted market prices at period-end.
Property, Plant and Equipment Additions and improvements are capitalized, while repairs and maintenance are expensed as incurred. Useful lives of each asset class are as follows:
AssetUseful Life
Computers, software and related equipment
3 years
Furniture and fixtures
4 years
Operating equipment and servers
5 years
Leasehold improvements
Lesser of the lease terms or the estimated useful lives of the improvements, generally 1–10 years
As set forth in the table below, property and equipment, net as of December 31, 2025 and 2024 are $7.7 million and $7.2 million, respectively. The balances as of December 31, 2025 and 2024 also include finance lease right-of-use assets, net. The balances consist of the following:
December 31,
($ in thousands)20252024
Computers, software and related equipment$5,280 $4,427 
Operating equipment and servers3,450 3,231 
Furniture1,344 1,143 
Leasehold improvements1,881 1,797 
Property and equipment not yet placed into service— 199 
Total property and equipment11,955 10,797 
Less: accumulated depreciation(9,510)(7,732)
2,445 3,065 
Finance lease right-of-use assets10,527 7,041 
Less: accumulated amortization(5,232)(2,867)
5,295 4,174 
Property and equipment, net$7,740 $7,239 
v3.25.4
Revenue Recognition (Table)
 12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Summary of Disaggregation of Revenue
Disaggregation of revenue for the years ended December 31, 2025, 2024 and 2023 is as follows:
Years Ended
December 31,
($ in thousands)202520242023
Online casino and online sports betting$1,127,520 $917,108 $674,059 
Retail sports betting1,978 2,384 12,848 
Social gaming4,930 4,591 4,254 
Total revenue$1,134,428 $924,083 $691,161 
Summary of Revenue by Geographic Region
The following table presents the Company’s revenue by geographic region for the years ended December 31, 2025, 2024 and 2023:
Years Ended
December 31,
($ in thousands)202520242023
United States and Canada$979,565 $785,285 $611,868 
Latin America, including Mexico154,863 138,798 79,293 
Total revenue$1,134,428 $924,083 $691,161 
Summary of Deferred Revenue The deferred revenue activity for the years ended December 31, 2025, 2024 and 2023 was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Deferred revenue, beginning of period$10,814 $7,013 $7,840 
Deferred revenue, end of period11,690 10,814 7,013 
Revenue recognized in the year from amounts included in deferred revenue at the beginning of the year10,814 7,013 7,840 
v3.25.4
Intangible Assets, Net (Tables)
 12 Months Ended
Dec. 31, 2025
Intangible Assets, Net (Excluding Goodwill) [Abstract]  
Schedule of Intangible Assets, net The Company has the following intangible assets, net as of December 31, 2025 and 2024:
($ in thousands)Weighted Average
Remaining
Amortization
Period (years)		Gross
Carrying
Amount		Accumulated
Amortization		Net
License Fees
December 31, 20255.96$52,262 $(26,305)$25,957 
December 31, 20246.85$52,933 $(22,491)$30,442 
Internally Developed Software
December 31, 20252.08$96,898 $(53,272)$43,626 
December 31, 20242.19$68,291 $(29,346)$38,945 
Developed Technology
December 31, 20253.90$6,381 $(3,078)$3,303 
December 31, 20244.89$6,381 $(2,224)$4,157 
Other Intangible Assets(1)
December 31, 20251.45$9,993 $(6,443)$3,550 
December 31, 20242.08$7,373 $(3,570)$3,803 
_____________________________
(1)Other intangible assets include trademarks, media content, customer lists and software licenses.
Schedule of estimated future amortization of license fees
At December 31, 2025, estimated future amortization of intangible assets is as follows:
($ in thousands)
Year ending December 31, 2026$31,993 
Year ending December 31, 202721,596 
Year ending December 31, 202810,340 
Year ending December 31, 20294,594 
Year ending December 31, 20303,828 
Thereafter4,085 
Total$76,436 
v3.25.4
Property and Equipment, Net (Tables)
 12 Months Ended
Dec. 31, 2025
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment Additions and improvements are capitalized, while repairs and maintenance are expensed as incurred. Useful lives of each asset class are as follows:
AssetUseful Life
Computers, software and related equipment
3 years
Furniture and fixtures
4 years
Operating equipment and servers
5 years
Leasehold improvements
Lesser of the lease terms or the estimated useful lives of the improvements, generally 1–10 years
As set forth in the table below, property and equipment, net as of December 31, 2025 and 2024 are $7.7 million and $7.2 million, respectively. The balances as of December 31, 2025 and 2024 also include finance lease right-of-use assets, net. The balances consist of the following:
December 31,
($ in thousands)20252024
Computers, software and related equipment$5,280 $4,427 
Operating equipment and servers3,450 3,231 
Furniture1,344 1,143 
Leasehold improvements1,881 1,797 
Property and equipment not yet placed into service— 199 
Total property and equipment11,955 10,797 
Less: accumulated depreciation(9,510)(7,732)
2,445 3,065 
Finance lease right-of-use assets10,527 7,041 
Less: accumulated amortization(5,232)(2,867)
5,295 4,174 
Property and equipment, net$7,740 $7,239 
v3.25.4
Accrued Expenses and Other Liabilities (Tables)
 12 Months Ended
Dec. 31, 2025
Payables and Accruals [Abstract]  
Schedule of Accrued Expenses and Other Liabilities The following table provides a summary of the accrued expenses at December 31, 2025 and 2024:
December 31,
($ in thousands)20252024
Accrued compensation and related expenses$18,120 $17,218 
Accrued operating expenses39,311 32,427 
Accrued marketing expenses20,689 17,959 
Accrued administrative expenses2,690 4,319 
Accrued other expenses704 779 
Total accrued expenses$81,514 $72,702 
Other Liabilities
The Company has the following other current and non-current liabilities as of December 31, 2025 and 2024:
December 31,
2025		December 31,
2024
($ in thousands)
Other Current Liabilities
Other Non-current Liabilities
Other Current LiabilitiesOther Non-current Liabilities
Income tax payable$11,404 $— $15,009 $— 
Other taxes payable(1)
20,816 — 2,131 — 
Deferred royalty liabilities1,838 8,742 1,814 10,581 
Finance lease liabilities
1,434 1,954 1,296 1,297 
Operating lease liabilities
991 1,753 673 1,370 
Other
3,023 3,479 4 4,033 
Total other current and non-current liabilities
$39,506 $15,928 $20,927 $17,281 
_________________________
(1)Includes value-added taxes and certain withholding taxes payable to local authorities.
v3.25.4
Stockholders' Equity (Tables)
 12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Schedule of Noncontrolling Interests The following table summarizes the changes in non-controlling interests owned:
Non-Controlling Interest %
Non-controlling interest % as of December 31, 2024
60.00 %
Issuance of Class A Common Stock upon RSILP Unit Exchanges(2.69)%
Issuance of Class A Common Stock in connection with the vesting of restricted stock units(1.02)%
Repurchases of Class A Common Stock0.18 %
Issuance of Class A Common Stock in connection with the exercise of stock options(0.01)%
Non-controlling interest % as of December 31, 2025
56.46 %
The non-controlling interests owned 60.00% and 67.51% of the RSILP Units outstanding as of December 31, 2024 and 2023, respectively. The following table summarizes the changes in non-controlling interests owned:
Non-Controlling Interest %
Non-controlling interest % as of December 31, 2023
67.51 %
Issuance of Class A Common Stock upon RSILP Unit Exchanges(6.53)%
Issuance of Class A Common Stock in connection with the vesting of restricted stock units(0.97)%
Issuance of Class A Common Stock in connection with the exercise of stock options(0.01)%
Non-controlling interest % as of December 31, 2024
60.00 %
v3.25.4
Share-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions RSUs with market-based conditions generally vest over a three-year period and the fair value was determined using a Monte Carlo simulation using the following assumptions during the years ended December 31:
202520242023
Volatility rate62.75 %
68.48%
69.78%
Risk-free interest rate4.00 %
 4.55%
3.85%
Average expected life (in years)
2.8
2.8
2.8
Dividend yieldNoneNone
None
Stock price at grant date$10.70$5.79$3.28
Schedule of Unvested Restricted Stock Units Roll Forward
RSU activity for the years ended December 31, 2025 and 2024 was as follows:
Number of
Units		Weighted average grant price
Unvested balance at December 31, 2023
9,218,142 $5.70 
Granted3,973,471 8.32 
Vested(1)
(3,084,207)7.83 
Forfeited(141,974)7.52 
Unvested balance at December 31, 2024
9,965,432 $6.06 
Granted1,348,921 12.51 
Additional shares based on performance(2)
2,550,631 4.95 
Vested(1)
(8,511,976)3.53 
Forfeited(293,308)6.86 
Unvested balance at December 31, 2025
5,059,700 $8.94 
_____________________________
(1)Include 3,498,000 and 561,774 of RSUs that vested during the years ended December 31, 2025 and 2024, respectively, for which the resulting shares of Class A Common Stock have not yet been issued. There were 3,210,679 and 532,010 RSUs that vested for which the resulting shares of Class A Common Stock were not issued as of December 31, 2025 and 2024, respectively.
(2)RSUs with market conditions include a performance achievement multiplier that is assessed upon vesting of the shares. RSUs with market conditions vested during the year ended December 31, 2025, resulting in the issuance of shares incremental to the initial target when the conditions are met. As of December 31, 2025, RSUs that had vested for which the resulting shares of Class A Common Stock had not yet been issued include certain RSUs with market conditions subject to a performance achievement multiplier.
Schedule of Stock Options Roll Forward The estimated grant date fair value of stock options was determined using a Black-Scholes valuation model using the following weighted-average assumptions during the years ended December 31:
202520242023
Volatility rate65.00 %68.00 %70.00 %
Risk-free interest rate4.10 %4.30 %3.80 %
Expected term(1) (in years)
6.06.06.0
Dividend yieldNoneNoneNone
Stock price at grant date$10.70$5.79$3.28
Exercise price$10.70$5.79$3.28
____________________________
(1)Calculated using the simplified method (the midpoint between the requisite service period and the contractual term of the option) due to the Company’s insufficient historical exercise information to provide a basis for an estimate.
Stock option activity for the years ended December 31, 2025 and 2024 was as follows:
Number of UnitsWeighted average exercise price
Outstanding balance at December 31, 2023
1,971,611 $4.16 
Granted630,897 5.79 
Exercised
(20,437)3.28 
Forfeited— — 
Outstanding balance at December 31, 2024
2,582,071 4.57 
Granted344,391 10.70 
Exercised
(44,253)3.99 
Forfeited(77,368)— 
Outstanding balance at December 31, 2025
2,804,841 $5.33 
Exercisable balance at December 31, 2025
1,755,744 $4.55 
Share-based Payment Arrangement, Expensed and Capitalized, Amount
Share-based compensation expense for the years ended December 31, 2025, 2024 and 2023 was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Costs of revenue$304 $1,116 $1,064 
Sales and marketing
6,216 2,748 2,225 
General and administrative
19,741 31,424 26,731 
Total share-based compensation expense$26,261 $35,288 $30,020 
v3.25.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Income before Income Tax, Domestic and Foreign
(Loss) income before income taxes, by jurisdiction, was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Domestic(1)
$(82,824)$(36,311)$(86,125)
Foreign
71,745 68,113 37,279 
(Loss) income before income taxes
$(11,079)$31,802 $(48,846)
_________________________
(1)A portion of the loss before income taxes in 2025 relates to change in tax receivable agreement liability of $107.8 million recorded for the recognition of the TRA liability.
Schedule of Components of Income Tax Expense (Benefit)
The components of the income tax (benefit) expense are:
Years Ended
December 31,
($ in thousands)202520242023
Current income taxes:
Federal$(210)$97 $(188)
State and local630 46 9 
Foreign26,352 24,243 11,602 
26,772 24,386 11,423 
Deferred income taxes:
Federal(92,265)— — 
State and local(19,613)— — 
Foreign(2)180 (214)
(111,880)180 (214)
Income tax (benefit) expense
$(85,108)$24,566 $11,209 
Schedule of Cash Flow, Supplemental Disclosures
Income taxes paid, net of refunds, by the Company are as follows:
Year Ended
December 31, 2025
($ in thousands)
Federal
$727 
State
1,196 
Foreign(1)
30,747 
Total income taxes paid$32,670 
___________________________________
(1) Includes income taxes paid in Colombia of $30.6 million.
Schedule of Effective Income Tax Rate Reconciliation
The tables below provide the updated requirements of ASU 2023-09 for 2025. See Note 2, “Summary of Significant Accounting Policies - Recently Adopted Accounting Pronouncements”, for additional details on the adoption of ASU 2023-09.
The effective income tax rate for the year ended December 31, 2025 differs from the statutory federal income tax rate as follows (in thousands, except percentages):
Year Ended
December 31, 2025
$
%
Loss before income taxes
$(11,079)
Income tax benefit at the federal statutory rate
(2,327)21.00 %
State income taxes, net of federal benefit(1)
(19,458)175.61 %
Foreign tax effects
Colombia
Foreign income tax rate differential
7,774 (70.16)%
Limit on foreign deductions
4,069 (36.72)%
Other
(219)1.97 %
Canada (Domestic)
Foreign income tax rate differential
(944)8.52 %
Provincial taxes
1,810 (16.33)%
Valuation allowance
(1,540)13.90 %
Other
(180)1.62 %
Other
150 (1.35)%
Effect of change in tax laws
— — %
Effect of cross-border tax laws
U.S. branch income
15,431 (139.27)%
Tax credits
Foreign tax credit
(15,637)141.13 %
Nontaxable or nondeductible items
Income not taxable to Rush Street Interactive, Inc.
(11,618)104.86 %
Nondeductible compensation expense
5,943 (53.64)%
Change in tax receivable agreement liability
24,386 (220.09)%
Foreign taxes
710 (6.41)%
Change in valuation allowance
(94,115)849.43 %
Change in unrecognized tax benefits
— — %
Other adjustments
657 (5.92)%
Income tax benefit and effective tax rate
$(85,108)768.15 %
___________________________________
(1) States that contribute to the majority (greater than 50%) of the tax effect in this category are Pennsylvania, Delaware and Michigan.
As previously disclosed for the years ended December 31, 2024 and 2023, prior to the adoption of ASU 2023-09, the reconciliations of income tax expense computed at the U.S. federal statutory income tax rate to the recognized income tax expense and the U.S. statutory income tax rate to effective tax rates are as follows:
Years Ended
December 31,
($ in thousands)20242023
Net income (loss) before income taxes$31,802 $(48,846)
Less: net income (loss) before income taxes attributable to non-controlling interests
19,621 (33,820)
Net income (loss) attributable to Rush Street Interactive, Inc. before income taxes12,181 (15,026)
Income tax expense (benefit) at the federal statutory rate2,558 (3,155)
State income taxes, net of federal benefit349 (46)
Nondeductible stock compensation2,691 1,351 
Foreign operations24,423 11,387 
Change in valuation allowance(3,893)2,589 
Other(1,562)(917)
Income tax expense$24,566 $11,209 
Schedule of Deferred Tax Assets and Liabilities Significant components of the deferred tax assets and liabilities are as follows:
December 31,
($ in thousands)20252024
Deferred tax assets:
Investment in subsidiaries$198,117 $172,883 
Net operating losses17,238 26,196 
Imputed interest7,447 5,501 
Share-based compensation1,578 1,197 
Foreign tax credit
14,568 — 
Other assets902 539 
Total gross deferred tax assets239,850 206,316 
Valuation allowance(81,988)(205,794)
Total deferred tax assets, net of valuation allowance157,862 522 
Deferred tax liabilities:
Investment in subsidiaries(704)(369)
Total gross deferred tax liabilities(704)(369)
Net deferred tax assets$157,158 $153 
v3.25.4
Earnings (Loss) Per Share (Tables)
 12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Basic and Diluted Earnings (Loss) Loss per Share
The computation of earnings (loss) per share attributable to RSI and weighted-average shares of the Company’s Class A Common Stock outstanding for the years ended December 31, 2025, 2024 and 2023 are as follows (amounts in thousands, except for share and per share amounts):
Years Ended
December 31,
202520242023
Numerator:
Net income (loss)
$74,029 $7,236 $(60,055)
Less: Net income (loss) attributable to non-controlling interests
40,721 4,848 (41,750)
Net income (loss) attributable to Rush Street Interactive, Inc. – basic
33,308 2,388 (18,305)
Effect of dilutive securities:
Increase to net income attributable to non-controlling interests
40,721 — — 
Net income (loss) attributable to Rush Street Interactive, Inc. – diluted
$74,029 $2,388 $(18,305)
Denominator
Weighted average common shares outstanding – basic95,825,421 81,784,916 68,508,093 
Adjustments:
Conversion of weighted average RSILP Units to Class A Common Shares
132,705,076 — — 
Incremental shares from assumed conversion of stock options and restricted stock units(1)
7,587,778 6,630,151 — 
Weighted average common shares outstanding – diluted236,118,275 88,415,067 68,508,093 
Earnings (loss) per Class A Common Share - basic
$0.35 $0.03 $(0.27)
Earnings (loss) per Class A Common Share - diluted
$0.31 $0.03 $(0.27)
(1)In period of Net loss, assumed conversion of stock-based awards and RSILP units are anti-dilutive and therefore excluded from the diluted loss per share calculation. For the year ended December 31, 2024, assumed conversion of RSILP units are anti-dilutive and therefore excluded from the diluted earnings per share calculation.
Schedule of Anti-dilutive Securities Excluded from Computation of Diluted Shares Outstanding
The Company excluded the following securities from its computation of diluted shares outstanding, as their effect would have been anti-dilutive:
December 31,
202520242023
RSILP Units(1)
— 143,091,720 150,434,310 
Unvested RSUs
139,235 998,448 9,218,142 
Vested RSUs(2)
— — 1,104,629 
Outstanding Stock Options
344,391 727,724 1,971,611 
(1)RSILP Units that are held by non-controlling interest holders and may be exchanged, subject to certain restrictions, for Class A Common Stock. Upon exchange of an RSILP Unit, a share of Class V Common Stock is canceled.
(2)RSUs that vested but the resulting shares of Class A Common Stock have not yet been issued.
v3.25.4
Segment Reporting (Tables)
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
The Company’s revenue, significant expenses and net income (loss) for its consolidated segment are as follows:
Years Ended
December 31,
($ in thousands)202520242023
Revenue
$1,134,428 $924,083 $691,161 
Less:
Costs of revenue(1)
741,360 600,920 463,950 
Sales and marketing(1)
158,434 155,842 158,425 
General and administrative(1)
80,979 74,782 60,618 
Interest income
(10,191)(8,450)(3,703)
Interest expense
918 957 938 
Depreciation and amortization
39,970 32,203 29,759 
Income tax expense
(85,108)24,566 11,209 
Other segment items(2)
134,037 36,027 30,020 
Consolidated net income (loss)
$74,029 $7,236 $(60,055)
(1)Excludes share-based compensation expense.
(2)Other segment items include share-based compensation expense and change in tax receivable agreement liability.
v3.25.4
Leases (Tables)
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Lease, Cost
The components of lease expense for the years ended December 31, 2025, 2024 and 2023 were as follows:
Years Ended
December 31,
($ in thousands)202520242023
Operating lease cost$1,208 $1,080 $770 
Variable lease cost389 172 267 
Short-term lease cost405 559 867 
Finance lease cost:
Amortization of finance lease right-of-use asset
2,392 1,829 1,272 
Interest on finance lease liabilities
199 169 85 
Total lease expenses$4,593 $3,809 $3,261 
Additional information relating to leases for the years ended December 31, 2025, 2024 and 2023 was as follows:
Years Ended
December 31,
($ in thousands)202520242023
Operating cash flows from operating leases$893$832$732
Right-of-use assets obtained in exchange for new or modified operating lease liabilities$1,349$1,582$210
Right-of-use assets obtained in exchange for new or modified finance lease liabilities
$3,482$1,986$2,423
Weighted-average remaining lease term (in years) – operating leases2.83.02.5
Weighted-average remaining lease term (in years) – finance leases2.42.73.4
Weighted-average discount rate – operating leases8.6 %9.2 %6.7 %
Weighted-average discount rate – finance leases5.5 %5.3 %7.7 %
Lessee, Balance Sheet Disclosures
The Company records lease activity within the following financial statement line items:
AccountFinancial Statement Line Item
Operating lease right-of-use asset
Operating lease assets
Finance lease right-of-use asset, netProperty and equipment, net
Operating lease liabilities
Other current liabilities and Other non-current liabilities
Finance lease liabilities
Other current liabilities and Other non-current liabilities
Operating lease expense
General and administrative
Finance lease amortization expenseDepreciation and amortization
Finance lease interest expense
Interest income, net
Lessee, Operating Lease, Liability, Maturity
Maturity of operating lease liabilities as of December 31, 2025 is as follows:
($ in thousands)
Year ending December 31, 2026$1,190 
Year ending December 31, 2027986 
Year ending December 31, 2028708 
Year ending December 31, 2029238 
Year ending December 31, 2030— 
Total undiscounted future cash flows3,122 
Less: present value discount(378)
Operating lease liabilities$2,744 
Finance Lease, Liability, Fiscal Year Maturity
Maturity of finance lease liabilities as of December 31, 2025 is as follows:
($ in thousands)
Year ending December 31, 2026$1,622 
Year ending December 31, 20271,528 
Year ending December 31, 2028522 
Year ending December 31, 2029— 
Year ending December 31, 2030— 
Total undiscounted future cash flows3,672 
Less: present value discount(284)
Finance lease liabilities$3,388 
v3.25.4
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Future Minimum Payments Under Non-cancelable Terms of Contracts
The Company is a party to several non-cancelable contracts with vendors and licensors for marketing and other strategic partnership related agreements. Under the non-cancelable terms of these contracts, the Company is obligated to make future minimum payments as follows:
($ in thousands)
Year ending December 31, 2026$25,171 
Year ending December 31, 202716,465 
Year ending December 31, 202810,912 
Year ending December 31, 20299,764 
Year ending December 31, 20307,563 
Thereafter10,915 
Total(1)
$80,790 
(1) Includes operating lease and finance lease obligations under non-cancelable lease contracts totaling $6.8 million, obligations under non-cancelable contracts with marketing vendors totaling $41.9 million, and license and market access commitments totaling $32.1 million. Certain market access arrangements require the Company to make additional payments at a contractual milestone date if the market access fees paid up until that milestone date do not meet a minimum contractual threshold. In these instances, the Company calculates future minimum payment as the total milestone payment less any amounts already paid to the partner and includes such payments in the period in which the milestone date occurs.
v3.25.4
Description of Business (Details)
Dec. 31, 2025
state
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Number of states in which entity operates 16
v3.25.4
Summary of Significant Accounting Policies - Narrative (Details)
 12 Months Ended
Dec. 29, 2020
Dec. 31, 2025
USD ($)
segment
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Accounting Policies [Line Items]        
Operating cash flows   $ 165,004,000 $ 106,449,000 $ (5,932,000)
Working capital   $ 196,500,000    
Number of operating segments | segment   1    
Allowance for doubtful accounts   $ 0 0  
Prepaid expenses   9,500,000 5,500,000  
Short-term investments   6,200,000 4,300,000  
Payments to acquire businesses and interest in affiliates   2,000,000 2,000,000  
Impairment   0 0  
Foreign currency translation adjustment   (900,000) (3,800,000) $ 900,000
Surety Bond, Satisfy Regulatory Requirements to Secure Cash Held for Customers        
Accounting Policies [Line Items]        
Surety bonds   31,300,000 31,100,000  
Surety Bond, Satisfy Regulatory Requirements Necessary to Operate        
Accounting Policies [Line Items]        
Surety bonds   $ 6,400,000 $ 6,100,000  
Computer Software, Intangible Asset        
Accounting Policies [Line Items]        
Finite-lived intangible asset, useful life   3 years    
Owners Other Than Rush Street Interactive | RSILP        
Accounting Policies [Line Items]        
Noncontrolling ownership interest   56.46% 60.00% 67.51%
Special Limited Partner        
Accounting Policies [Line Items]        
Tax receivable agreement, percentage of net certain tax benefits payable 85.00%      
Special Limited Partner | RSILP        
Accounting Policies [Line Items]        
Controlling ownership interest   0.4354    
Minimum | Other Intangible Assets        
Accounting Policies [Line Items]        
Finite-lived intangible asset, useful life   1 year 1 year  
Minimum | Developed Technology        
Accounting Policies [Line Items]        
Finite-lived intangible asset, useful life   4 years    
Maximum | Other Intangible Assets        
Accounting Policies [Line Items]        
Finite-lived intangible asset, useful life   5 years 5 years  
Maximum | Developed Technology        
Accounting Policies [Line Items]        
Finite-lived intangible asset, useful life   8 years    
v3.25.4
Summary of Significant Accounting Policies - Property, Plant and Equipment (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Accounting Policies [Abstract]        
Cash and cash equivalents $ 336,256 $ 229,171    
Restricted cash 4,248 3,585    
Total cash, cash equivalents and restricted cash 340,504 232,756 $ 170,977 $ 206,081
Cash equivalents 157,500 117,700    
Money market funds $ 113,200 $ 107,500    
v3.25.4
Summary of Significant Accounting Policies - Property and Equipment, net (Details)
Dec. 31, 2025
Computer Equipment | Minimum  
Property and equipment, net  
Useful life of assets 3 years
Computer Equipment | Maximum  
Property and equipment, net  
Useful life of assets 5 years
Furniture and fixtures  
Property and equipment, net  
Useful life of assets 4 years
Leasehold improvements | Minimum  
Property and equipment, net  
Useful life of assets 1 year
Leasehold improvements | Maximum  
Property and equipment, net  
Useful life of assets 10 years
v3.25.4
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue [Line Items]      
Total revenue $ 1,134,428 $ 924,083 $ 691,161
Online casino and online sports betting      
Disaggregation of Revenue [Line Items]      
Total revenue 1,127,520 917,108 674,059
Retail sports betting      
Disaggregation of Revenue [Line Items]      
Total revenue 1,978 2,384 12,848
Social gaming      
Disaggregation of Revenue [Line Items]      
Total revenue $ 4,930 $ 4,591 $ 4,254
v3.25.4
Revenue Recognition - Revenue by Geographic Region (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue [Line Items]      
Total revenue $ 1,134,428 $ 924,083 $ 691,161
United States And Canada      
Disaggregation of Revenue [Line Items]      
Total revenue 979,565 785,285 611,868
Latin America And Mexico      
Disaggregation of Revenue [Line Items]      
Total revenue $ 154,863 $ 138,798 $ 79,293
v3.25.4
Revenue Recognition - Deferred Revenue (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]      
Deferred revenue, beginning of period $ 10,814 $ 7,013 $ 7,840
Deferred revenue, end of period 11,690 10,814 7,013
Revenue recognized in the year from amounts included in deferred revenue at the beginning of the year $ 10,814 $ 7,013 $ 7,840
v3.25.4
Intangible Assets, Net (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Intangible Assets, Net (Excluding Goodwill) [Abstract]      
Intangible assets, net $ 76,436 $ 77,347  
Amortization expense of intangible assets $ 36,000 $ 28,300 $ 24,700
v3.25.4
Intangible Assets, Net - Schedule of Intangible Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Finite-Lived Intangible Assets [Line Items]    
Total $ 76,436 $ 77,347
License Fees    
Finite-Lived Intangible Assets [Line Items]    
Weighted Average Remaining Amortization Period (years) 5 years 11 months 15 days 6 years 10 months 6 days
Gross Carrying Amount $ 52,262 $ 52,933
Accumulated Amortization (26,305) (22,491)
Total $ 25,957 $ 30,442
Internally Developed Software    
Finite-Lived Intangible Assets [Line Items]    
Weighted Average Remaining Amortization Period (years) 2 years 29 days 2 years 2 months 8 days
Gross Carrying Amount $ 96,898 $ 68,291
Accumulated Amortization (53,272) (29,346)
Total $ 43,626 $ 38,945
Developed Technology    
Finite-Lived Intangible Assets [Line Items]    
Weighted Average Remaining Amortization Period (years) 3 years 10 months 24 days 4 years 10 months 20 days
Gross Carrying Amount $ 6,381 $ 6,381
Accumulated Amortization (3,078) (2,224)
Total $ 3,303 $ 4,157
Other Intangible Assets    
Finite-Lived Intangible Assets [Line Items]    
Weighted Average Remaining Amortization Period (years) 1 year 5 months 12 days 2 years 29 days
Gross Carrying Amount $ 9,993 $ 7,373
Accumulated Amortization (6,443) (3,570)
Total $ 3,550 $ 3,803
v3.25.4
Intangible Assets, Net - Estimated future amortization (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
2026 $ 31,993  
2027 21,596  
2028 10,340  
2029 4,594  
2030 3,828  
Thereafter 4,085  
Total $ 76,436 $ 77,347
v3.25.4
Property and Equipment, Net - Schedule of Property, Plant and Equipment (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Property and Equipment    
Total property and equipment $ 11,955 $ 10,797
Less: accumulated depreciation (9,510) (7,732)
Property, plant and equipment, net 2,445 3,065
Finance lease right-of-use assets 10,527 7,041
Less: accumulated amortization (5,232) (2,867)
Total finance lease right-of-use asset 5,295 4,174
Property and equipment, net 7,740 7,239
Computers, software and related equipment    
Property and Equipment    
Total property and equipment 5,280 4,427
Operating equipment and servers    
Property and Equipment    
Total property and equipment 3,450 3,231
Furniture and fixtures    
Property and Equipment    
Total property and equipment 1,344 1,143
Leasehold improvements    
Property and Equipment    
Total property and equipment 1,881 1,797
Property and equipment not yet placed into service    
Property and Equipment    
Total property and equipment $ 0 $ 199
v3.25.4
Property and Equipment, Net (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment [Abstract]      
Depreciation expense $ 1,600 $ 2,100 $ 3,800
Amortization of finance lease right-of-use asset $ 2,392 $ 1,829 $ 1,272
v3.25.4
Accrued Expenses and Other Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Payables and Accruals [Abstract]    
Accrued compensation and related expenses $ 18,120 $ 17,218
Accrued operating expenses 39,311 32,427
Accrued marketing expenses 20,689 17,959
Accrued administrative expenses 2,690 4,319
Accrued other expenses 704 779
Total accrued expenses $ 81,514 $ 72,702
v3.25.4
Accrued Expenses and Other Liabilities - Current and non-current liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Current liabilities    
Income tax payable $ 11,404 $ 15,009
Other taxes payable 20,816 2,131
Deferred royalty liabilities 1,838 1,814
Finance lease liabilities 1,434 1,296
Operating lease liabilities 991 673
Other 3,023 4
Other current liabilities $ 39,506 $ 20,927
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Other current liabilities Other current liabilities
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] Other current liabilities Other current liabilities
Liabilities, Noncurrent [Abstract]    
Deferred royalty liabilities $ 8,742 $ 10,581
Income tax payable 0 0
Other taxes payable 0 0
Operating lease liabilities 1,753 1,370
Finance lease liabilities 1,954 1,297
Other 3,479 4,033
Other non-current liabilities $ 15,928 $ 17,281
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other non-current liabilities Other non-current liabilities
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other non-current liabilities Other non-current liabilities
v3.25.4
Stockholders' Equity - Narrative (Details)
 12 Months Ended
Dec. 31, 2025
USD ($)
vote
$ / shares
shares
Dec. 31, 2024
shares
Oct. 24, 2024
USD ($)
Dec. 31, 2023
Debt and Equity Securities, FV-NI [Line Items]        
Capital stock authorized (in shares) 951,000,000      
Preferred stock, par value (in USD per share) | $ / shares $ 0.0001      
Number of votes per share | vote 1      
Stock repurchased, amount | $     $ 50,000,000  
Repurchased stock purchase price | $ $ 7,634,000      
Shares acquired, cost (in usd per share) | $ / shares $ 10.41      
Owners Other Than Rush Street Interactive | RSILP        
Debt and Equity Securities, FV-NI [Line Items]        
Percentage of common units retained by sellers 56.46% 60.00%   67.51%
Preferred Stock        
Debt and Equity Securities, FV-NI [Line Items]        
Capital stock authorized (in shares) 1,000,000      
Preferred stock outstanding (in shares) 0 0    
Class A Common Stock        
Debt and Equity Securities, FV-NI [Line Items]        
Capital stock authorized (in shares) 750,000,000      
Common stock, shares outstanding (in shares) 99,958,236 90,511,441    
Treasury stock repurchased (in shares) 733,019 0    
Class V Common Stock        
Debt and Equity Securities, FV-NI [Line Items]        
Capital stock authorized (in shares) 200,000,000      
Common stock, shares outstanding (in shares) 129,609,532 135,748,023    
Consideration for cancelled shares | $ $ 0      
v3.25.4
Stockholders' Equity - Schedule of Noncontrolling Interests (Details) - RSILP - Owners Other Than Rush Street Interactive
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Rate
Noncontrolling Interest [Roll Forward]    
Non-controlling interest percentage at beginning of period 60.00% 67.51%
Issuance of Class A Common Stock upon RSILP Unit Exchanges (0.0269) (0.0653)
Issuance of Class A Common Stock in connection with the vesting of restricted stock units (0.0102)  
Issuance of Class A Common Stock in connection with the exercise of stock options (0.0001)  
Non-controlling interest percentage at end of period 56.46% 60.00%
Class A Common Stock    
Noncontrolling Interest [Roll Forward]    
Repurchases of Class A Common Stock 0.0018  
Issuance of Class A Common Stock in connection with the vesting of restricted stock units   (0.0097)
Issuance of Class A Common Stock in connection with the exercise of stock options   (0.01%)
v3.25.4
Share-Based Compensation - Narrative (Details) - USD ($)
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-Based Compensation      
Number of awards granted (in shares) 344,391 630,897 1,100,000
Weighted average grant price of options granted (in USD per share) $ 10.70 $ 5.79  
Aggregate fair value of options granted $ 2.3 $ 2.4 $ 2.3
Intrinsic value of options outstanding 39.6    
Intrinsic value of options exercisable $ 26.1    
RSUs      
Share-Based Compensation      
Number of units granted (in shares) 1,348,921 3,973,471  
Weighted average grant price of units granted (in USD per shares) $ 12.51 $ 8.32 $ 4.12
Aggregate fair value of units granted $ 16.9 $ 33.0 $ 16.6
Aggregate grant date fair value of units vested 30.0 $ 24.1 $ 19.3
Unrecognized stock-based compensation expense $ 27.7    
Weighted-average vesting period of unrecognized stock-based compensation expense 10 months 24 days    
Restricted Stock Units, Service Conditions      
Share-Based Compensation      
Number of units granted (in shares) 900,000 2,800,000 2,500,000
Restricted Stock Units, Service Conditions | Minimum      
Share-Based Compensation      
Vesting period 3 years    
Restricted Stock Units, Service Conditions | Maximum      
Share-Based Compensation      
Vesting period 4 years    
Restricted Stock Units, Market Conditions      
Share-Based Compensation      
Number of units granted (in shares) 400,000 1,200,000 1,500,000
Vesting period 3 years    
Stock options      
Share-Based Compensation      
Weighted average grant price of options granted (in USD per share) $ 6.70 $ 3.74 $ 2.14
Unrecognized stock-based compensation expense $ 2.7    
Weighted-average vesting period of unrecognized stock-based compensation expense 1 year 1 month 6 days    
Class A Common Stock      
Share-Based Compensation      
Aggregate number of shares reserved under the plan (in shares) 35,800,000    
Shares withheld (in shares) 1,836,237 239,518 0
Average cost per share (in usd per share) $ 13.62 $ 12.47  
Total cost of shares withheld $ 25.0 $ 3.0  
v3.25.4
Share-Based Compensation - Valuation Assumptions (Details) - $ / shares
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
RSUs      
Share-Based Compensation      
Volatility rate 62.75% 68.48% 69.78%
Risk-free interest rate 4.00% 4.55% 3.85%
Average expected life (in years) 2 years 9 months 18 days 2 years 9 months 18 days 2 years 9 months 18 days
Dividend yield 0.00% 0.00% 0.00%
Stock price at grant date (in USD per share) $ 10.70 $ 5.79 $ 3.28
Stock options      
Share-Based Compensation      
Volatility rate 65.00% 68.00% 70.00%
Risk-free interest rate 4.10% 4.30% 3.80%
Average expected life (in years) 6 years 6 years 6 years
Dividend yield 0.00% 0.00% 0.00%
Stock price at grant date (in USD per share) $ 10.70 $ 5.79 $ 3.28
Exercise price (in USD per share) $ 10.70 $ 5.79 $ 3.28
v3.25.4
Share-Based Compensation - RSU and Stock Option Activity (Details) - $ / shares
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding [Roll Forward]      
Unvested options outstanding at beginning of period (in shares) 2,582,071 1,971,611  
Number of awards granted (in shares) 344,391 630,897 1,100,000
Options exercised (in shares) (44,253) (20,437)  
Options forfeited (in shares) (77,368) 0  
Unvested options outstanding at end of period (in shares) 2,804,841 2,582,071 1,971,611
Exercisable balance (in shares) 1,755,744    
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Weighted average grant price of options outstanding at beginning of period (in USD per share) $ 4.57 $ 4.16  
Weighted average grant price of options granted (in USD per share) 10.70 5.79  
Weighted average grant price of options exercised (in USD per share) 3.99 3.28  
Weighted average grant price of options forfeited (in USD per share) 0 0  
Weighted average grant price of options outstanding at end of period (in USD per share) 5.33 $ 4.57 $ 4.16
Weighted average grant price of options exercisable (in USD per share) $ 4.55    
Vested RSUs      
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Vested RSUs (in shares) 3,210,679 532,010  
RSUs      
Number of Units      
Unvested balance at beginning of period (in shares) 9,965,432 9,218,142  
Number of units granted (in shares) 1,348,921 3,973,471  
Vested (in shares) (8,511,976) (3,084,207)  
Units forfeited (in shares) (293,308) (141,974)  
Unvested balance at end of period (in shares) 5,059,700 9,965,432 9,218,142
Weighted average grant price      
Weighted average grant price of unvested units outstanding at beginning of period (in USD per shares) $ 6.06 $ 5.70  
Weighted average grant price of units granted (in USD per shares) 12.51 8.32 $ 4.12
Weighted average grant price of units vested (in USD per shares) 3.53 7.83  
Weighted average grant price of units forfeited (in USD per shares) 6.86 7.52  
Weighted average grant price of unvested units outstanding at end of period (in USD per shares) $ 8.94 $ 6.06 5.70
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Vested RSUs (in shares) 3,498,000 561,774  
Performance-Based Restricted Stock Units      
Number of Units      
Number of units granted (in shares) 2,550,631    
Weighted average grant price      
Weighted average grant price of units granted (in USD per shares) $ 4.95    
Stock options      
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Weighted average grant price of options granted (in USD per share) $ 6.70 $ 3.74 $ 2.14
v3.25.4
Share-Based Compensation - Share-based Compensation Expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense $ 26,261 $ 35,288 $ 30,020
Costs of revenue      
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense 304 1,116 1,064
Sales and marketing      
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense 6,216 2,748 2,225
General and administrative      
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense $ 19,741 $ 31,424 $ 26,731
v3.25.4
Income Taxes - Schedule of Income before Income Tax, Domestic and Foreign (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]      
Domestic $ (82,824) $ (36,311) $ (86,125)
Foreign 71,745 68,113 37,279
(Loss) income before income taxes (11,079) 31,802 (48,846)
Change in tax receivable agreement liability $ 107,776 $ 739 $ 0
v3.25.4
Income Taxes - Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Current income taxes:      
Federal $ (210) $ 97 $ (188)
State and local 630 46 9
Foreign 26,352 24,243 11,602
Total current income taxes 26,772 24,386 11,423
Deferred income taxes:      
Federal (92,265) 0 0
State and local (19,613) 0 0
Foreign (2) 180 (214)
Deferred income tax (111,880) 180 (214)
Income tax (benefit) expense $ (85,108) $ 24,566 $ 11,209
v3.25.4
Income Taxes - Narrative (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 29, 2020
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax [Line Items]        
Deferred tax assets   $ 157,862 $ 522  
Deferred tax liabilities   704 369  
Foreign tax credit   14,568 0  
Valuation allowance   81,988 205,794  
Tax receivable, liability   130,100 700  
Tax receivable liability, current   1,200    
Unrecognized tax receivable liability   0 104,300  
Change in tax receivable agreement liability   107,776 739 $ 0
Special Limited Partner        
Income Tax [Line Items]        
Tax receivable agreement, percentage of net certain tax benefits payable 85.00%      
Domestic Tax Jurisdiction        
Income Tax [Line Items]        
Net operating loss carryovers   64,700 92,100  
State and Local Jurisdiction        
Income Tax [Line Items]        
Net operating loss carryovers   76,100 81,100  
Foreign Tax Jurisdiction        
Income Tax [Line Items]        
Net operating loss carryovers   $ 0 $ 5,600  
v3.25.4
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Net income (loss) before income taxes   $ 31,802 $ (48,846)
Less: net income (loss) before income taxes attributable to non-controlling interests   19,621 (33,820)
Net income (loss) attributable to Rush Street Interactive, Inc. before income taxes   12,181 (15,026)
Income tax expense (benefit) at the federal statutory rate $ (2,327) 2,558 (3,155)
State income taxes, net of federal benefit (19,458) 349 (46)
Nondeductible stock compensation 5,943 2,691 1,351
Foreign operations   24,423 11,387
Change in valuation allowance   (3,893) 2,589
Other   (1,562) (917)
Income tax (benefit) expense $ (85,108) $ 24,566 $ 11,209
v3.25.4
Income Taxes - Effective Income Tax Rate Reconciliation (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax [Line Items]      
Loss before income taxes $ (11,079) $ 31,802 $ (48,846)
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Income tax benefit at the federal statutory rate (2,327) 2,558 (3,155)
State income taxes, net of federal benefit (19,458) 349 (46)
Foreign income tax rate differential   24,423 11,387
Limit on foreign deductions 4,069    
Other   (1,562) (917)
Valuation allowance   (3,893) 2,589
Effect of change in tax laws 0    
U.S. branch income 15,431    
Foreign tax credit (15,637)    
Nontaxable or nondeductible items      
Income not taxable to Rush Street Interactive, Inc. (11,618)    
Nondeductible stock compensation 5,943 2,691 1,351
Change in tax receivable agreement liability 24,386    
Foreign taxes 710    
Change in unrecognized tax benefits 0    
Income tax (benefit) expense $ (85,108) $ 24,566 $ 11,209
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Income tax benefit at the federal statutory rate 21.00%    
State income taxes, net of federal benefit 175.61%    
Limit on foreign deductions (0.3672)    
Effect of change in tax laws 0.00%    
U.S. branch income (139.27%)    
Foreign tax credit 141.13%    
Nontaxable or nondeductible items      
Income not taxable to Rush Street Interactive, Inc. 104.86%    
Nondeductible compensation expense (53.64%)    
Change in tax receivable agreement liability (2.2009)    
Foreign taxes (0.0641)    
Change in valuation allowance 0.00%    
Income tax benefit and effective tax rate 768.15%    
Colombia      
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Foreign income tax rate differential $ 7,774    
Other $ (219)    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Foreign income tax rate differential (70.16%)    
Other 1.97%    
Canada (Domestic)      
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
State income taxes, net of federal benefit $ 1,810    
Foreign income tax rate differential (944)    
Other (180)    
Valuation allowance $ (1,540)    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
State income taxes, net of federal benefit (16.33%)    
Foreign income tax rate differential 8.52%    
Other 1.62%    
Valuation allowance 13.90%    
Foreign Tax Jurisdiction, Other      
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Other $ 150    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Other (1.35%)    
UNITED STATES      
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Other $ 657    
Valuation allowance $ (94,115)    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Other (5.92%)    
Valuation allowance 849.43%    
v3.25.4
Income Taxes - Income Taxes Paid (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax [Line Items]      
Federal $ 727    
State 1,196    
Foreign 30,747    
Cash paid for income taxes 32,670 $ 16,549 $ 7,385
Colombia      
Income Tax [Line Items]      
Foreign $ 30,600    
v3.25.4
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Deferred tax assets:    
Investment in subsidiaries $ 198,117 $ 172,883
Net operating losses 17,238 26,196
Imputed interest 7,447 5,501
Share-based compensation 1,578 1,197
Foreign tax credit 14,568 0
Other assets 902 539
Total gross deferred tax assets 239,850 206,316
Valuation allowance (81,988) (205,794)
Total deferred tax assets, net of valuation allowance 157,862 522
Deferred tax liabilities:    
Investment in subsidiaries (704) (369)
Total gross deferred tax liabilities (704) (369)
Net deferred tax assets $ 157,158 $ 153
v3.25.4
Earnings (Loss) Per Share - Schedule of Basic and Diluted Earnings (Loss) per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Numerator:      
Net income (loss) $ 74,029 $ 7,236 $ (60,055)
Net Income (Loss) Attributable to Noncontrolling Interest, Basic 40,721 4,848 (41,750)
Net income (loss) attributable to Rush Street Interactive, Inc. – basic 33,308 2,388 (18,305)
Increase to net income attributable to non-controlling interests 40,721 0 0
Net income (loss) attributable to Rush Street Interactive, Inc. – diluted $ 74,029 $ 2,388 $ (18,305)
Denominator      
Weighted average common shares outstanding - basic (in shares) 95,825,421 81,784,916 68,508,093
Adjustments:      
Conversion of weighted average RSILP units to class A common shares (in shares) 132,705,076 0 0
Incremental shares from assumed conversion of stock options and restricted stock units (in shares) 7,587,778 6,630,151 0
Weighted average common shares outstanding - diluted (in shares) 236,118,275 88,415,067 68,508,093
Net earnings (loss) per class A common share - basic (in USD per share) $ 0.35 $ 0.03 $ (0.27)
Net loss per class A common share - diluted (in USD per share) $ 0.31 $ 0.03 $ (0.27)
v3.25.4
Earnings (Loss) Per Share - Schedule of Anti-dilutive Securities (Details) - shares
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
RSILP Units      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of diluted shares outstanding (in shares) 0 143,091,720 150,434,310
Unvested RSUs      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of diluted shares outstanding (in shares) 139,235 998,448 9,218,142
Vested RSUs      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of diluted shares outstanding (in shares) 0 0 1,104,629
Outstanding Stock Options      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of diluted shares outstanding (in shares) 344,391 727,724 1,971,611
v3.25.4
Segment Reporting (Details)
 12 Months Ended
Dec. 31, 2025
segment
Segment Reporting [Abstract]  
Number of operating segments 1
Number of reporting segments 1
v3.25.4
Segment Reporting - Segment Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Revenue $ 1,134,428 $ 924,083 $ 691,161
Segment Reconciliation [Abstract]      
Depreciation and amortization 39,970 32,203 29,759
Income tax (benefit) expense (85,108) 24,566 11,209
Net income (loss) 74,029 7,236 (60,055)
Reportable Segment      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Revenue 1,134,428 924,083 691,161
Segment Reconciliation [Abstract]      
Costs of revenue 741,360 600,920 463,950
Sales and marketing 158,434 155,842 158,425
General and administrative 80,979 74,782 60,618
Interest income (10,191) (8,450) (3,703)
Interest expense 918 957 938
Depreciation and amortization 39,970 32,203 29,759
Income tax (benefit) expense (85,108) 24,566 11,209
Other segment item 134,037 36,027 30,020
Net income (loss) $ 74,029 $ 7,236 $ (60,055)
v3.25.4
Related Parties (Details) - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 28, 2020
Related Party Transaction [Line Items]        
Tax distribution $ 724,000 $ 0 $ 0  
Affiliated Land-Based Casinos | Royalty Agreements        
Related Party Transaction [Line Items]        
Expenses relating to related party 72,900,000 66,100,000 $ 49,600,000  
Due from affiliates $ 19,900,000 $ 18,200,000    
Class V Common Stock        
Related Party Transaction [Line Items]        
Shares issued upon conversion 1      
Class A Common Stock        
Related Party Transaction [Line Items]        
Shares issued upon conversion 1      
Sellers' Representative | RSILP Units        
Related Party Transaction [Line Items]        
Minimum number of units available to be exchanged 1,000      
RSILP | Bluhm and Trust        
Related Party Transaction [Line Items]        
Noncontrolling ownership interest       73.00%
RSILP | Carlin and Trust        
Related Party Transaction [Line Items]        
Noncontrolling ownership interest       20.00%
RSILP | Sellers' Representative        
Related Party Transaction [Line Items]        
Noncontrolling ownership interest       1.00%
v3.25.4
Leases (Details)
Dec. 31, 2025
Maximum | Office Space  
Lessor, Lease, Description [Line Items]  
Operating lease term 5 years
v3.25.4
Leases - Lease, Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Operating lease cost $ 1,208 $ 1,080 $ 770
Variable lease cost 389 172 267
Short-term lease cost 405 559 867
Amortization of finance lease right-of-use asset 2,392 1,829 1,272
Interest on finance lease liabilities 199 169 85
Total lease expenses $ 4,593 $ 3,809 $ 3,261
v3.25.4
Leases - Other Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Operating cash flows from operating leases $ 893 $ 832 $ 732
Right-of-use assets obtained in exchange for new or modified operating lease liabilities 1,349 1,582 210
Right-of-use assets obtained in exchange for new or modified finance lease liabilities $ 3,482 $ 1,986 $ 2,423
Weighted-average remaining lease term (in years) – operating leases 2 years 9 months 18 days 3 years 2 years 6 months
Weighted-average remaining lease term (in years) – finance leases 2 years 4 months 24 days 2 years 8 months 12 days 3 years 4 months 24 days
Weighted-average discount rate – operating leases 8.60% 9.20% 6.70%
Weighted-average discount rate – finance leases 5.50% 5.30% 7.70%
v3.25.4
Leases - Operating Lease, Liability, Maturity (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Leases [Abstract]  
2026 $ 1,190
2027 986
2028 708
2029 238
2030 0
Total undiscounted future cash flows 3,122
Less: present value discount (378)
Operating lease liabilities $ 2,744
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] Other non-current liabilities
v3.25.4
Leases - Finance Lease, Liability, Maturity (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
2026 $ 1,622  
2027 1,528  
2028 522  
2029 0  
2030 0  
Total undiscounted future cash flows 3,672  
Less: present value discount (284)  
Finance lease liabilities $ 3,388  
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] Other current liabilities Other current liabilities
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other non-current liabilities Other non-current liabilities
v3.25.4
Commitments and Contingencies (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Contractual Obligation, Fiscal Year Maturity [Abstract]  
2026 $ 25,171
2027 16,465
2028 10,912
2029 9,764
2030 7,563
Thereafter 10,915
Total 80,790
Non-cancelable Lease Contract  
Contractual Obligation, Fiscal Year Maturity [Abstract]  
Operating and finance lease obligations 6,800
Non-cancelable Lease Contract with Marketing Vendors  
Contractual Obligation, Fiscal Year Maturity [Abstract]  
Operating and finance lease obligations 41,900
License and Market Access Commitments  
Contractual Obligation, Fiscal Year Maturity [Abstract]  
Operating and finance lease obligations $ 32,100