RUSH STREET INTERACTIVE, INC., 10-K filed on 2/28/2025
Annual Report
v3.25.0.1
Cover Page - USD ($)
 12 Months Ended
Dec. 31, 2024
Feb. 27, 2025
Jun. 28, 2024
Document Information [Line Items]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2024    
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     $ 738,091,003
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 2024    
Amendment Flag false    
Class A Common Stock      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding (in shares)   94,555,182  
Class V Common Stock      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding (in shares)   133,504,736  
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Audit Information
 12 Months Ended
Dec. 31, 2024
Auditor Information [Abstract]  
Auditor Name WithumSmith+Brown, PC
Auditor Location New York, New York
Auditor Firm ID 100
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CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Current assets    
Cash and cash equivalents $ 229,171 $ 168,330
Restricted cash 3,585 2,647
Players' receivables 14,910 10,516
Prepaid expenses and other current assets 19,169 13,651
Total current assets 285,046 228,615
Intangible assets, net 77,347 74,874
Property and equipment, net 7,239 8,611
Operating lease assets 2,419 1,276
Other assets 7,415 5,204
Total assets 379,466 318,580
Current liabilities    
Accounts payable 25,798 32,347
Accrued expenses 72,702 51,131
Players' liabilities 43,703 42,135
Other current liabilities 20,927 12,080
Total current liabilities 163,130 137,693
Non-current liabilities 18,020 14,758
Total liabilities 181,150 152,451
Commitments and contingencies (Note 14)
Stockholders’ equity    
Additional paid-in capital 217,675 192,163
Accumulated other comprehensive loss (3,090) (100)
Accumulated deficit (135,929) (138,317)
Total stockholders’ equity attributable to Rush Street Interactive, Inc. 78,678 53,768
Non-controlling interests 119,638 112,361
Total stockholders’ equity 198,316 166,129
Total liabilities and stockholders’ equity 379,466 318,580
Related Party    
Current assets    
Due from affiliates 18,211 33,471
Class A Common Stock    
Stockholders’ equity    
Common stock, value 9 7
Class V Common Stock    
Stockholders’ equity    
Common stock, value $ 13 $ 15
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CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Dec. 31, 2024
Dec. 31, 2023
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) 90,511,441 72,387,409
Common stock, shares outstanding (in shares) 90,511,441 72,387,409
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) 135,748,023 150,434,310
Common stock, shares outstanding (in shares) 135,748,023 150,434,310
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CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Statement [Abstract]      
Revenue $ 924,083 $ 691,161 $ 592,212
Operating costs and expenses      
Costs of revenue 602,036 465,014 414,664
Advertising and promotions 158,590 160,650 220,460
General and administrative 106,945 87,349 67,561
Depreciation and amortization 32,203 29,759 14,325
Total operating costs and expenses 899,774 742,772 717,010
Income (loss) from operations 24,309 (51,611) (124,798)
Other income (expense)      
Interest income (expense), net 7,493 2,765 (573)
Income (loss) before income taxes 31,802 (48,846) (125,371)
Income tax expense 24,566 11,209 8,961
Net income (loss) 7,236 (60,055) (134,332)
Net income (loss) attributable to non-controlling interests 4,848 (41,750) (95,701)
Net income (loss) attributable to Rush Street Interactive, Inc. $ 2,388 $ (18,305) $ (38,631)
Net income (loss) per common share attributable to Rush Street Interactive, Inc. - basic (in USD per share) $ 0.03 $ (0.27) $ (0.61)
Weighted average common shares outstanding - basic (in shares) 81,784,916 68,508,093 63,532,906
Net loss per common share attributable to Rush Street Interactive, Inc. - diluted (in USD per share) $ 0.03 $ (0.27) $ (0.61)
Weighted average common shares outstanding - diluted (in shares) 88,415,067 68,508,093 63,532,906
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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Statement of Comprehensive Income [Abstract]      
Net income (loss) $ 7,236 $ (60,055) $ (134,332)
Other comprehensive income (loss)      
Foreign currency translation adjustment (7,417) 5,290 (3,886)
Comprehensive loss (181) (54,765) (138,218)
Comprehensive income (loss) attributable to non-controlling interests 198 (38,111) (98,441)
Comprehensive loss attributable to Rush Street Interactive, Inc. $ (379) $ (16,654) $ (39,777)
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CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($)
$ in Thousands
Total
Stockholders’ Equity
Common Stock
Class A Common Stock
Common Stock
Class V Common Stock
Additional Paid-in Capital
Accumulated Other Comprehensive Loss
Accumulated Deficit
Non- Controlling Interests
Balance at beginning of year (in shares) at Dec. 31, 2021     61,118,406 158,702,329        
Balance at beginning of year at Dec. 31, 2021 $ 307,701 $ 85,436 $ 6 $ 16 $ 167,270 $ (475) $ (81,381) $ 222,265
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Share-based compensation 18,691 5,459     5,459     13,232
Issuance of Class A Common Stock upon exercise of stock options (in shares)     706,465          
Foreign currency translation adjustment (3,886) (1,146)       (1,146)   (2,740)
Net income (loss) (134,332) (38,631)         (38,631) (95,701)
Allocation of equity and non-controlling interests upon changes in RSILP ownership 0 4,141     4,168 (27)   (4,141)
Issuance of class A common stock upon exercise of warrants (in shares)     3,226,745 (3,226,745)        
Acquisition of intangibles (in shares)     60,000 480,000        
Acquisition of intangibles 2,700 786     786     1,914
Balance at end of the year (in shares) at Dec. 31, 2022     65,111,616 155,955,584        
Balance at end of the 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 exercise of stock options (in shares) 0   1,754,519          
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 exercise of warrants (in shares)     5,521,274 (5,521,274)        
Issuance of Class A Common Stock upon RSILP Unit Exchanges   0 $ 1 $ (1)        
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 option $ 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 under equity compensation plan (in shares)     14,686,287 (14,686,287)        
Issuance of Class A Common Stock upon RSILP Unit Exchanges 0   $ 2 $ (2)        
Foreign currency translation adjustment (7,417) (2,767)       (2,767)   (4,650)
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)
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
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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Cash flows from operating activities      
Net income (loss) $ 7,236 $ (60,055) $ (134,332)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities      
Share-based compensation expense 35,288 30,020 18,691
Depreciation and amortization expense 32,203 29,759 14,325
Deferred income tax (143) (255) (50)
Noncash lease expense 891 697 616
Long-lived assets write off 0 683 0
Changes in assets and liabilities:      
Players’ receivables (4,814) 658 (5,345)
Due from affiliates 15,261 2,433 (7,745)
Prepaid expenses and other current assets (7,765) (228) (3,567)
Accounts payable, accrued expenses and other current liabilities 25,922 (9,267) 38,734
Players’ liabilities 2,370 (377) 18,352
Net cash provided by (used in) operating activities 106,449 (5,932) (60,321)
Cash flows from investing activities      
Internally developed software costs (24,420) (22,619) (16,770)
Acquisition of gaming licenses (4,081) (7,279) (5,484)
Acquisition of other intangibles (2,075) (765) 0
Short-term investments (1,862) (3,061) 0
Purchases of property and equipment (925) (1,291) (4,157)
Investments in equity securities 0 (470) 0
Proceeds from (investment in) long-term time deposits 0 1,705 (689)
Net cash used in investing activities (33,363) (33,780) (28,990)
Cash flows from financing activities      
Principal payments of finance lease liabilities (1,559) (518) (1,216)
Payments for employee taxes related to shares withheld (1,160) 0 0
Proceeds from exercise of stock options 67 0 0
Net cash used in financing activities (2,652) (518) (1,216)
Effect of exchange rate changes on cash, cash equivalents and restricted cash (8,655) 5,126 (3,721)
Net change in cash, cash equivalents and restricted cash 61,779 (35,104) (94,248)
Cash, cash equivalents and restricted cash, at the beginning of the year 170,977 206,081 300,329
Cash, cash equivalents and restricted cash, at the end of the year 232,756 170,977 206,081
Supplemental disclosure of noncash investing and financing activities:      
Right-of-use assets obtained in exchange for new or modified operating lease liabilities 1,582 210 965
Right-of-use assets obtained in exchange for new or modified finance lease liabilities 1,986 2,423 1,124
Allocation of equity and non-controlling interests upon changes in RSILP ownership 13,374 4,988 4,140
Shares withheld for employee taxes in Other Current Liabilities 1,827 0 0
Property and equipment purchases in Accounts Payable and Accrued Expenses 5 212 (29)
Capitalized intangible assets in Accounts Payable and Accrued Expenses 657 609 0
Supplemental disclosure of cash flow information:      
Cash paid for income taxes 16,549 7,385 6,795
Cash paid for interest 908 938 937
Trademarks      
Cash flows from investing activities      
Acquisition of trademark intangible asset, net of cash acquired 0 0 (1,890)
Class V Common Stock | Trademarks      
Supplemental disclosure of noncash investing and financing activities:      
Stock issued to acquire intangible assets 0 0 300
Class A Common Stock | Trademarks      
Supplemental disclosure of noncash investing and financing activities:      
Stock issued to acquire intangible assets $ 0 $ 0 $ 2,400
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Description of Business
 12 Months Ended
Dec. 31, 2024
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, 2024, RSI offered real-money online casino, online sports betting and/or retail sports betting in the 15 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
West Virginiaüü
International:
Colombiaüü
Ontario (Canada)üü
Mexicoüü
Peru
üü
Subsequent to year end, in January 2025, the Company launched retail sports betting operations in support of the Swinomish Indian Tribal Community in Washington State.
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Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2024
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. RSI is deemed to have a controlling interest of RSILP through its wholly owned subsidiary RSI GP, LLC (“RSI GP”), which is the sole general partner of RSILP. 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 Company is organized as an umbrella partnership-C corporation (“Up-C”), resulting from the transactions contemplated in the Business Combination Agreement, dated as of July 27, 2020 (as amended and/or restated from time to time, the “Business Combination Agreement” and the transactions contemplated thereby, the “Business Combination”). The Business Combination Agreement was entered among RSILP, the sellers set forth on the signature pages thereto (collectively, the “Sellers” and each, a “Seller”), dMY Sponsor, LLC (the “Sponsor”) and Rush Street Interactive GP, LLC, resulting in dMY Technology Group, Inc. (“dMY”) acquiring certain Class A Units of RSILP (the “RSILP Units”).
As an Up-C, substantially all of the assets of the combined company are held by RSILP and the Company’s primary assets are its equity interests in RSILP (which are held indirectly through wholly owned subsidiaries of the Company – RSI ASLP, Inc. (the “Special Limited Partner”) and RSI GP). The Company controls RSILP through RSI GP. As of December 31, 2024, the Company owned 40.00% of the RSILP Units and the holders of the non-controlling interest 60.00% 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.
Emerging Growth Company Status
Historically, the Company qualified as an “emerging growth company” (“EGC”) as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”). However, based on the market value of the Company’s Class A Common Stock held by non-affiliates as of June 28, 2024 (the last business day of the most recently completed second fiscal quarter), the Company became a large-accelerated filer and thus ceased to qualify as an EGC as of December 31, 2024. As a result, the Company is now required to adopt new or revised accounting standards as required for public companies, including those standards which the Company had previously deferred pursuant to the JOBS Act. Additionally, the Company is no longer able to take advantage of the reduced regulatory and reporting requirements of EGCs.
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 $106.4 million for the year ended December 31, 2024, and experienced cash outflows from operations of $5.9 million and $60.3 million for the years ended December 31, 2023 and 2022, respectively.
The Company had working capital totaling $121.9 million as of December 31, 2024.
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 tax receivable agreement (the “Tax Receivable Agreement” or “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)20242023
Cash and cash equivalents(1)
$229,171 $168,330 
Restricted cash3,585 2,647 
Total cash, cash equivalents and restricted cash$232,756 $170,977 
(1) The Company had cash equivalents of $117.7 million and $78.4 million as of December 31, 2024 and 2023, 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 $107.5 million and $68.7 million as of December 31, 2024 and 2023, 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. Prepaid expenses totaled $5.5 million and $7.5 million as of December 31, 2024 and 2023, 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, 2024 and 2023, the Company had short-term investments of $4.3 million and $3.1 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.
Trademark Asset
On June 10, 2022, the Company purchased all of the equity interests of Rush Street Productions, LLC, a Delaware limited liability company (“RSP”), in exchange for $1.5 million cash (net of $0.7 million cash acquired), 480,000 RSILP Units and the same number of newly issued shares of Class V Common Stock, par value $0.0001 per share of the Company (the “Class V Common Stock”), valued at $2.4 million, and 60,000 shares of Class A Common Stock of the Company, par value $0.0001 per share of the Company (the “Class A Common Stock”), valued at $0.3 million. The Company also assumed $0.5 million of outstanding liabilities and incurred $0.4 million of transaction costs directly attributable to the acquisition.
To account for the transaction, the Company applied the definition of a business in ASC 805-10, Business Combinations – Overall, and concluded that the asset set acquired does not constitute a business as substantially all of the fair value of the acquired assets was concentrated in a single asset. Therefore, the transaction has been accounted for as an asset acquisition in accordance with ASC 805-50, Business Combinations — Related Issues.
The acquired trademark asset represents an intangible asset that is recognized at its relative fair value in accordance with ASC 350-30, General Intangibles Other Than Goodwill. Goodwill is not recognized in an asset acquisition, and as such, any consideration that exceeds the fair value of the net assets acquired is allocated to the identifiable assets based on relative fair values.

The Company capitalized a $5.1 million trademark intangible asset representing the total consideration paid of $4.2 million, assumed liabilities of $0.5 million, and legal and consulting fees incurred that were directly attributable to the asset acquisition of $0.4 million. The asset is included in Intangible Assets, Net, on the Company’s consolidated balance sheets as of December 31, 2024 and 2023 and is amortized over the estimated useful life of five years using the straight-line method. The asset acquisition is presented on the consolidated statement of cash flows as net cash used in investing activities.
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 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, 2024 and 2023 and are amortized over the estimated useful life of one to three years.
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, 2024 and 2023, 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, 2024 and 2023. No impairment was recorded during the years ended December 31, 2024 and 2023. 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, the incremental progressive jackpot reserve, and the expected future payout 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 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 Non-current liabilities, depending on their classification.
Surety Bonds
The Company had been issued $31.1 million and $28.0 million in surety bonds as of December 31, 2024 and 2023, respectively, that are used to satisfy regulatory requirements related to securing cash held for the benefit of customers.
The Company had been issued $6.1 million and $4.6 million in surety bonds as of December 31, 2024 and 2023, 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, 2024 and 2023, 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, 2024 and 2023.
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 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, 2024 and 2023 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 us the ability to offer our 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, sports betting trading services and certain elements of our platform technology, such as geolocation and know-your-customer. Gaming taxes relate to state taxes that are determined on a jurisdiction-by-jurisdiction basis, or federal excise taxes that are determined based on a percentage of the value of online sports and retail sports bets. The Company incurs payment processing costs on player deposits and occasionally chargebacks (i.e., when a payment processor contractually disallows customer deposits in the normal course of business).
Advertising and Promotions Costs
Advertising and promotion 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 expenses consist primarily of administrative personnel costs, including salaries, bonuses and benefits, share-based compensation expenses, professional service fees (related to legal, compliance, accounting and consulting), rent expense, insurance costs 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 the provision (benefit) for income taxes 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 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 will be accrued.
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 include 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 gains (losses) were $(3.8) million, $0.9 million and $(1.9) million for the years ended December 31, 2024, 2023 and 2022, 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, 2024 and 2023, 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 August 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies accounting for convertible instruments by removing major separation models required under current U.S. GAAP. This ASU removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception, and it also simplifies the diluted earnings per share calculation in certain areas. This ASU is effective for the Company in calendar year 2024. The Company adopted ASU 2020-06 on January 1, 2024 and the adoption did not have a material impact on its consolidated financial statements and related disclosures.
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280). The amendments in this ASU require disclosures, on an annual and interim basis, of significant segment expenses that are regularly provided to the CODM, as well as the aggregate amount of other segment items included in the reported measure of segment profit or loss. This ASU requires that a public entity disclose the title and position of the CODM and an explanation of how the CODM uses the reported measure(s) of segment profit or loss. Public entities will be required to provide all annual disclosures currently required by Topic 280 in interim periods, and entities with a single reportable segment are required to provide all the disclosures required by the amendments in the update and existing segment disclosures in Topic 280. This ASU is effective for the Company in calendar year 2024. See Note 11, “Segment Reporting” for additional information on the Company’s adoption of ASU 2023-07.
Recent Accounting Pronouncements Not Yet Adopted
In December 2023, the FASB issued 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. The amendments are effective prospectively for annual periods beginning after December 15, 2024, and early adoption and retrospective application are permitted. The Company is currently evaluating the impact of these new disclosure requirements on its consolidated financial statements.
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 our 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.
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Revenue Recognition
 12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Disaggregation of revenue for the years ended December 31, 2024, 2023 and 2022 is as follows:
Years Ended
December 31,
($ in thousands)202420232022
Online casino and online sports betting$917,108 $674,059 $576,573 
Retail sports betting2,384 12,848 11,713 
Social gaming4,591 4,254 3,926 
Total revenue$924,083 $691,161 $592,212 
The following table presents the Company’s revenue by geographic region for the years ended December 31, 2024, 2023 and 2022:
Years Ended
December 31,
($ in thousands)202420232022
United States and Canada$785,285 $611,868 $539,887 
Latin America, including Mexico138,798 79,293 52,325 
Total revenue$924,083 $691,161 $592,212 
Deferred revenue associated with online casino and online sports betting revenue and retail sports betting revenue includes unsettled customer bets and unredeemed customer incentives and is included within Player’s liabilities in the consolidated balance sheets. The deferred revenue activity for the years ended December 31, 2024, 2023 and 2022 was as follows:
Years Ended
December 31,
($ in thousands)202420232022
Deferred revenue, beginning of period$7,013 $7,840 $4,637 
Deferred revenue, end of period10,814 7,013 7,840 
Revenue recognized in the year from amounts included in deferred revenue at the beginning of the year7,013 7,840 4,637 
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Intangible Assets, Net
 12 Months Ended
Dec. 31, 2024
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, 2024 and 2023 are $77.3 million and $74.9 million, respectively. The Company has the following intangible assets, net as of December 31, 2024 and 2023, respectively:
($ in thousands)Weighted Average
Remaining
Amortization
Period (years)		Gross
Carrying
Amount		Accumulated
Amortization		Net
License Fees
December 31, 20246.85$52,933 $(22,491)$30,442 
December 31, 20237.75$61,015 $(25,946)$35,069 
Internally Developed Software
December 31, 20242.19$68,291 $(29,346)$38,945 
December 31, 20232.37$43,868 $(12,601)$31,267 
Developed Technology
December 31, 20244.89$6,381 $(2,224)$4,157 
December 31, 20236.00$5,931 $(1,483)$4,448 
Other Intangible Assets(1)
December 31, 20242.08$7,373 $(3,570)$3,803 
December 31, 20233.15$5,873 $(1,783)$4,090 
_____________________________
(1)Other intangible assets include trademark, media content, customer lists and software licenses.
The Company recorded amortization expense on intangible assets of $28.3 million, $24.7 million and $11.6 million for the years ended December 31, 2024, 2023 and 2022, respectively.
At December 31, 2024, estimated future amortization of intangible assets is as follows:
($ in thousands)
Year ending December 31, 2025$28,105 
Year ending December 31, 202620,378 
Year ending December 31, 202711,374 
Year ending December 31, 20285,005 
Year ending December 31, 20294,574 
Thereafter7,911 
Total$77,347 
v3.25.0.1
Property and Equipment, Net
 12 Months Ended
Dec. 31, 2024
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, 2024 and 2023 are $7.2 million and $8.6 million, respectively. The balances as of December 31, 2024 and 2023 also include finance lease right-of-use assets, net. The balances consist of the following:
December 31,
($ in thousands)20242023
Computers, software and related equipment$4,427 $4,259 
Operating equipment and servers3,231 4,779 
Furniture1,143 782 
Leasehold improvements1,797 1,805 
Property and equipment not yet placed into service199 610 
Total property and equipment10,797 12,235 
Less: accumulated depreciation(7,732)(7,641)
3,065 4,594 
Finance lease right-of-use assets7,041 5,519 
Less: accumulated amortization(2,867)(1,502)
4,174 4,017 
Property and equipment, net$7,239 $8,611 
The Company recorded depreciation expense on property and equipment of $2.1 million, $3.8 million and $2.1 million for the years ended December 31, 2024, 2023 and 2022, respectively. The Company recorded amortization expense on finance lease right-of-use assets of $1.8 million, $1.3 million and $0.6 million for the years ended December 31, 2024, 2023 and 2022, respectively
v3.25.0.1
Accrued Expenses and Other Liabilities
 12 Months Ended
Dec. 31, 2024
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, 2024 and 2023 are $72.7 million and $51.1 million, respectively. The following table provides a summary of the accrued expenses at December 31, 2024 and 2023:
December 31,
($ in thousands)20242023
Accrued compensation and related expenses$17,218 $13,781 
Accrued operating expenses32,427 21,748 
Accrued marketing expenses17,959 10,119 
Accrued administrative expenses4,319 4,706 
Accrued other expenses779 777 
Total accrued expenses$72,702 $51,131 
The Company has the following other current and non-current liabilities as of December 31, 2024 and 2023:
Current
Non-Current
($ in thousands)December 31,
2024		December 31,
2023		December 31,
2024		December 31,
2023
Deferred royalty liabilities
$1,814 $1,712 $10,581 $12,395 
Operating lease liabilities
673 621 1,370 673 
Finance lease liabilities
1,296 729 1,297 1,489 
Income tax payable
15,009 8,051 — — 
Other
2,135 967 4,772 201 
Total other current and non-current liabilities
$20,927 $12,080 $18,020 $14,758 
v3.25.0.1
Stockholders' Equity
 12 Months Ended
Dec. 31, 2024
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, 2024 and 2023, there were no shares of preferred stock outstanding.
Common Stock
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. As of December 31, 2023, there were 72,387,409 shares of Class A Common Stock outstanding and 150,434,310 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 defined in the RSILP A&R LPA), 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 cancelled 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 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 %
The non-controlling interests owned 67.51% and 70.55% of the RSILP Units outstanding as of December 31, 2023 and 2022, respectively. The following table summarizes the changes in non-controlling interests owned:
Non-Controlling Interest %
Non-controlling interest % as of December 31, 2022
70.55 %
Issuance of Class A Common Stock upon RSILP Unit Exchanges(2.49)%
Issuance of Class A Common Stock in connection with the vesting of restricted stock units(0.55)%
Non-controlling interest % as of December 31, 2023
67.51 %
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”). Pursuant to the Stock Repurchase Program, the Company is authorized to repurchase shares of Class A Common Stock from time to time through open market purchases, privately negotiated transactions or other transactions in accordance with applicable securities laws. The timing and amount of repurchases depends on several factors, including market and business conditions, the trading price of the Class A Common Stock and the nature of other investment opportunities. The Stock Repurchase Program does not require the Company to acquire any specific number or amount of Class A Common Stock and may be limited, amended or terminated at any time. The Company may enter into Rule 10b5-1 plans from time to time to facilitate repurchases of Class A Common Stock in connection with its Stock Repurchase Program. During the year ended December 31, 2024, no Class A Common Stock was repurchased.
v3.25.0.1
Share-Based Compensation
 12 Months Ended
Dec. 31, 2024
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 2.8 million, 2.5 million and 3.9 million RSUs with service conditions, during the years ended December 31, 2024, 2023 and 2022, 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 1.2 million, 1.5 million and 1.6 million RSUs with market-based conditions (e.g., total shareholder return) during the years ended December 31, 2024, 2023 and 2022, 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:
202420232022
Volatility rate68.48 %
69.78%
70.93% to 71.00%
Risk-free interest rate4.55 %
 3.85%
4.32% to 4.39%
Average expected life (in years)
2.8
2.8
2.3 to 3.0
Dividend yieldNoneNone
None
Stock price at grant date$5.79$3.28$3.95
RSU activity for the years ended December 31, 2024 and 2023 was as follows:
Number of
Units		Weighted average grant price
Unvested balance at December 31, 2022
7,492,613 $7.48 
Granted4,030,535 4.12 
Vested(1)
(2,221,870)8.71 
Forfeited(83,136)9.52 
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 
_____________________________
(1)Include 561,774 and 467,712 of RSUs that vested during the years ended December 31, 2024 and 2023, respectively, for which the resulting shares of Class A Common Stock have not yet been issued. There were 532,010 and 1,104,629 RSUs that vested for which the resulting shares of Class A Common Stock were not issued as of December 31, 2024 and 2023, respectively.
The weighted-average grant-date fair values of RSUs granted during the years ended December 31, 2024, 2023 and 2022 were $8.32, $4.12 and $4.17 per share, respectively. The aggregate fair value of the RSUs granted during the years ended December 31, 2024, 2023 and 2022, was approximately $33.0 million, $16.6 million and $23.1 million, respectively. The aggregate grant date fair value of the RSUs vested during the years ended December 31, 2024, 2023 and 2022, was approximately $24.1 million $19.3 million and $15.0 million, respectively.
As of December 31, 2024, the Company had unrecognized stock-based compensation expense related to RSUs of $36.7 million, which is expected to be recognized over the remaining weighted-average vesting period of 1.1 years.
The Company withheld 239,518 shares of its Class A Common Stock associated with the tax withholding obligations due from employees upon the vesting of equity-based awards at an average price of $12.47 and a total cost of $3.0 million during the year ended December 31, 2024, compared to nil shares for the same period in 2023.
Stock Options
The Company granted 0.6 million, 1.1 million and 0.8 million stock options during the years ended December 31, 2024, 2023 and 2022, 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:
202420232022
Volatility rate68.00 %70.00 %58.98 %
Risk-free interest rate4.30 %3.80 %3.68 %
Expected term(1) (in years)
6.06.05.6
Dividend yieldNoneNoneNone
Stock price at grant date$5.79$3.28$4.07
Exercise price$5.79$3.28$4.07
_ ____________________________
(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, 2024 and 2023 was as follows:
Number of UnitsWeighted average exercise price
Outstanding balance at December 31, 2022
887,166 $5.24 
Granted1,084,445 3.28 
Exercised
— — 
Forfeited— — 
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 
Exercisable balance at December 31, 2024
964,769 $4.88 
The weighted-average grant-date fair values of options granted during the years ended December 31, 2024, 2023 and 2022 were $3.74, $2.14 and $2.26 per share, respectively. The aggregate fair value of the stock options granted during the years ended December 31, 2024, 2023 and 2022, was $2.4 million, $2.3 million and $1.8 million, respectively. The outstanding stock options and exercisable stock options as of December 31, 2024 had an intrinsic value of $23.8 million and $8.7 million, respectively.

As of December 31, 2024, the Company had unrecognized stock-based compensation expense related to stock options of $3.0 million, which is expected to be recognized over the remaining weighted-average vesting period of 0.9 year.
Recognition of Compensation Costs
Share-based compensation expense for the years ended December 31, 2024, 2023 and 2022 was as follows:
Years Ended
December 31,
($ in thousands)202420232022
Costs of revenue$1,116 $1,064 $987 
Advertising and promotions2,748 2,225 2,048 
General and administrative
31,424 26,731 15,656 
Total share-based compensation expense$35,288 $30,020 $18,691 
v3.25.0.1
Income Taxes
 12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
RSILP is treated as a partnership for U.S. federal and most applicable state and local income tax purposes. As a partnership, RSILP is not subject to U.S. federal and certain state and local income taxes. Any taxable income or loss generated by RSILP is passed through to and included in the taxable income or loss of its partners, including the Company (through its ownership of the Special Limited Partner), on a pro rata basis. The Company is subject to U.S. federal income taxes and state and local income taxes with respect to its allocable share of any taxable income or loss of RSILP, as well as any stand-alone income or loss generated by the Company.
Income Tax Expense
The components of the income tax expense are:
Years Ended
December 31,
($ in thousands)202420232022
Current income taxes:
Federal$97 $(188)$(118)
State and local46 9 (34)
Foreign24,243 11,602 9,137 
24,386 11,423 8,985 
Deferred income taxes:
Federal— — — 
State and local— — — 
Foreign180 (214)(24)
180 (214)(24)
Income tax expense$24,566 $11,209 $8,961 
Reconciliations of income tax expense computed at the U.S. federal statutory income tax rate to the recognized income tax expense and the U.S. statutory income tax rate to our effective tax rates are as follows:
Years Ended
December 31,
($ in thousands)202420232022
Net income (loss) before income taxes
$31,802 $(48,846)$(125,371)
Less: net income (loss) before income taxes attributable to non-controlling interest
19,621 (33,820)(89,224)
Net income (loss) attributable to Rush Street Interactive, Inc. before income taxes
12,181 (15,026)(36,147)
Income tax expense (benefit) at the federal statutory rate
2,558 (3,155)(7,591)
State income taxes, net of federal benefit349 (46)(34)
Nondeductible stock compensation
2,691 1,351 — 
Foreign operations24,423 11,387 9,113 
Change in valuation allowance(3,893)2,589 8,025 
Other(1,562)(917)(552)
Income tax expense$24,566 $11,209 $8,961 
Deferred Tax Assets and Liabilities
The Company’s deferred tax position reflects the net tax effects of the temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax reporting. Significant components of the deferred tax assets and liabilities are as follows:
December 31,
($ in thousands)20242023
Deferred tax assets:
Investment in subsidiaries$172,883 $134,283 
Net operating losses26,196 29,724 
Imputed interest5,501 2,120 
Share-based compensation1,197 1,160 
Other assets538 422 
Total gross deferred tax assets206,315 167,709 
Valuation allowance(205,794)(167,305)
Total deferred tax assets, net of valuation allowance521 404 
Deferred tax liabilities:
Investment in subsidiaries(369)— 
Total gross deferred tax liabilities(369)— 
Net deferred tax assets$152 $404 
Deferred tax assets and liabilities have been offset to the extent they relate to the same tax jurisdiction. Deferred tax assets of $0.5 million and $0.4 million as of December 31, 2024 and 2023, respectively, are included in Other Assets on the Company’s consolidated balance sheets, and deferred tax liabilities of $0.4 million and nil as of December 31, 2024 and 2023, respectively, are included in Non-current Liabilities on the Company’s consolidated balance sheets.
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. As of December 31, 2023, the Company had approximately $94.5 million and $83.4 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, 2024 and 2023, the Company has foreign net operating losses of approximately $5.6 million and $15.2 million, respectively, the majority of which will begin to expire beginning in 2043 if not utilized.
The Company regularly reviews its deferred tax assets, including net operating loss carryovers, for recoverability, and a valuation allowance is provided when it is more-likely-than-not that some portion or all of a deferred tax asset may not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which the temporary differences are deductible. In assessing the need for a valuation allowance, the Company makes estimates and assumptions regarding projected future taxable income, its ability to carry back operating losses to prior periods, the reversal of deferred tax liabilities and the implementation of tax planning strategies. Based on our cumulative earnings history and forecasted future sources of taxable income, the Company has determined it is not more-likely-than-not to realize existing deferred tax assets and thus has recorded a valuation allowance. However, given the Company’s current earnings and anticipated future earnings, the Company believes that there is a reasonable possibility that within the next 12 months, sufficient positive evidence may become available to allow the Company to reach a conclusion that a portion of the valuation allowance will no longer be needed. Release of the valuation allowance would result in the recognition of certain deferred tax assets and a decrease to income tax expense for the period the release is recorded. However, the exact timing and amount of the valuation allowance release are subject to change on the basis of the level of profitability that the Company is able to actually achieve.
In August 2022, the U.S. Inflation Reduction Act of 2022 and the CHIPS and Science Act of 2022 were signed into law. These acts include, among other provisions, a corporate alternative minimum tax of 15%, an excise tax on the repurchase of corporate stock, various climate and energy provisions, and incentives for investment in semiconductor manufacturing. These provisions are not expected to have a material impact on the Company’s results of operations or financial position.
In 2021, 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 calls for tax law changes by participating countries to take effect in 2024 and 2025. Various countries have enacted or have announced plans to enact new tax laws to implement the global minimum tax. The Company considered the applicable tax law changes on Pillar Two implementation in the relevant countries, and there is no impact to our tax provision for the year ended December 31, 2024. 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, 2024 or December 31, 2023. 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 2020 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 our 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) realize (or in certain cases is deemed to realize) as a result of these increases in tax basis and tax benefits related to the Business Combination 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 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 Company’s financial condition.
Based primarily on historical losses of RSILP, management has determined it is more-likely-than-not that the Company will be unable to utilize its deferred tax assets subject to the TRA. Based on current year tax benefits realized, the Company recognized a TRA liability of $0.7 million as of December 31, 2024. Management has not recorded the deferred tax asset or a corresponding liability under the TRA related to all other tax savings the Company may realize from the utilization of tax deductions related to basis adjustments created by the Business Combination and subsequent exchanges. The unrecognized TRA liability as of December 31, 2024 and 2023 was $104.3 million and $63.7 million, respectively. The Company's deferred tax assets and corresponding TRA liability, that are unrecognized, do not impact the Company’s consolidated statements of operations. However, given the Company’s current earnings and anticipated future earnings, the Company believes that there is a reasonable possibility that within the next 12 months, sufficient positive evidence may become available to allow the Company to reach a conclusion that deferred tax assets and the related TRA liability may be realized. Recognition of the TRA liability would result in an increase to General and administrative expense for the period the liability is recorded. However, the exact timing and amount of the liability to be recorded are subject to change on the basis of the level of profitability that the Company is able to actually achieve.
v3.25.0.1
Earnings (Loss) Per Share
 12 Months Ended
Dec. 31, 2024
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, 2024, 2023 and 2022 are as follows (amounts in thousands, except for share and per share amounts):
Years Ended
December 31,
202420232022
Numerator:
Net income (loss)$7,236 $(60,055)$(134,332)
Less: Net income (loss) attributable to non-controlling interests4,848 (41,750)(95,701)
Net income (loss) attributable to Rush Street Interactive, Inc. – basic and diluted
$2,388 $(18,305)$(38,631)
Denominator
Weighted average common shares outstanding – basic81,784,916 68,508,093 63,532,906 
Adjustments:
Incremental shares from assumed conversion of stock options and restricted stock units(1)
6,630,151 — — 
Weighted average common shares outstanding – diluted88,415,067 68,508,093 63,532,906 
Earnings (loss) per Class A Common Share - basic$0.03 $(0.27)$(0.61)
Earnings (loss) per Class A Common Share - diluted$0.03 $(0.27)$(0.61)
(1)In periods of Net loss, assumed conversion of stock-based awards are anti-dilutive and therefore excluded from the diluted loss per share calculation. Assumed conversion of RSILP units are anti-dilutive and therefore excluded from the diluted earnings (loss) per share calculation in each period.
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,
202420232022
RSILP Units(1)
143,091,720 150,434,310 155,955,584 
Unvested RSUs
998,448 9,218,142 7,492,613 
Vested RSUs(2)
— 1,104,629 636,917 
Outstanding Stock Options
727,724 1,971,611 887,166 
(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 cancelled.
(2)RSUs that vested but the resulting shares of Class A Common Stock have not yet been issued.
v3.25.0.1
Segment Reporting
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment Reporting Disclosure 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. 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)202420232022
Revenue
$924,083 $691,161 $592,212 
Less:
Costs of revenue(1)
600,920 463,950 413,677 
Advertising and promotions(1)
155,842 158,425 218,412 
General and administrative(1)
74,782 60,618 51,905 
Interest income
(8,450)(3,703)(364)
Interest expense
957 938 937 
Depreciation and amortization
32,203 29,759 14,325 
Income tax expense
24,566 11,209 8,961 
Other segment items(2)
36,027 30,020 18,691 
Consolidated net income (loss)
$7,236 $(60,055)$(134,332)
(1)Exclude share-based compensation expense and change in TRA liability.
(2)Other segment items include share-based compensation expense and change in TRA liability.
v3.25.0.1
Related Parties
 12 Months Ended
Dec. 31, 2024
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, 2024, 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.
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 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 $66.1 million, $49.6 million and $39.8 million for the years ended December 31, 2024, 2023 and 2022, 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 $18.2 million and $33.5 million at December 31, 2024 and 2023, 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, 2024, 2023 and 2022 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, 2024 and 2023.
Purchase of RSP
During the year ended December 31, 2022, the Company purchased all of the equity interests of RSP, a poker-related production company that owns certain poker-related assets, including Poker Night in America, a television program focused on poker games and tournaments. On June 10, 2022, Messrs. Neil Bluhm and Greg Carlin forfeited their limited liability company interests in RSP, resulting in Mr. Todd Anderson being the sole owner of RSP. The Company then purchased from Mr. Anderson 100% of the limited liability company interests in RSP for an aggregate purchase price of approximately $4.7 million, comprised of cash, Class V Common Stock, RSILP Units, Class A Common Stock and assumed liabilities (the “RSP Acquisition”). The Company obtained an independent valuation report as to the fair market value of RSP to support the purchase price being paid for the RSP Acquisition. As part of the RSP Acquisition, the Company employed Mr. Anderson and two other RSP employees. Mr. Anderson received all of the proceeds from the RSP Acquisition; Messrs. Bluhm and Carlin did not receive any proceeds from the RSP Acquisition. The Audit Committee of the Board approved the RSP Acquisition in accordance with the Company’s Related-Party Transactions Policy, and the Board (with Mr. Bluhm and certain other directors abstaining) approved the same. See Note 2 for additional information.
v3.25.0.1
Leases
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Leases Leases
The Company leases office space and other retail space under operating lease agreements with terms that do not exceed five years. In addition, the Company leases online gaming servers and related equipment under finance lease arrangements.
The components of lease expense for the years ended December 31, 2024, 2023 and 2022 were as follows:
Years Ended
December 31,
($ in thousands)202420232022
Operating lease cost$1,080 $770 $676 
Variable lease cost172 267 275 
Short-term lease cost559 867 436 
Finance lease cost:
Amortization of finance lease right-of-use asset
1,829 1,272 578 
Interest on finance lease liabilities
169 85 22 
Total lease expenses$3,809 $3,261 $1,987 
Additional information relating to leases for the years ended December 31, 2024, 2023 and 2022 was as follows:
Years Ended
December 31,
($ in thousands)202420232022
Operating cash flows from operating leases$832$732$653
Right-of-use assets obtained in exchange for new or modified operating lease liabilities$1,582$210$965
Right-of-use assets obtained in exchange for new or modified finance lease liabilities
$1,986$2,423$1,124
Weighted-average remaining lease term (in years) – operating leases3.02.53.1
Weighted-average remaining lease term (in years) – finance leases2.73.43.0
Weighted-average discount rate – operating leases9.2 %6.7 %6.2 %
Weighted-average discount rate – finance leases5.3 %7.7 %6.0 %
The Company calculated the weighted-average discount rate using the interest rates implicit in the lease contract and if not determinable, incremental borrowing rates, which equal the rates of interest that it would pay to borrow funds on a fully collateralized basis over a similar term.
The Company records lease activity within the following financial statement line items:
AccountFinancial Statement Line Item
Operating lease right-of-use asset
Operating lease assets
Finance lease right-of-use asset, netProperty and equipment, net
Operating lease liabilities
Other current liabilities and Non-current liabilities
Finance lease liabilities
Other current liabilities and Non-current liabilities
Operating lease expense
General and administrative
Finance lease amortization expenseDepreciation and amortization
Finance lease interest expense
Interest income (expense), net
Maturity of operating lease liabilities as of December 31, 2024 is as follows:
($ in thousands)
Year ending December 31, 2025$816 
Year ending December 31, 2026568 
Year ending December 31, 2027490 
Year ending December 31, 2028382 
Year ending December 31, 202995 
Total undiscounted future cash flows2,351 
Less: present value discount(308)
Operating lease liabilities$2,043 
Maturity of finance lease liabilities as of December 31, 2024 is as follows:
($ in thousands)
Year ending December 31, 2025$1,404 
Year ending December 31, 2026625 
Year ending December 31, 2027438 
Year ending December 31, 2028345 
Year ending December 31, 2029— 
Total undiscounted future cash flows2,812 
Less: present value discount(219)
Finance lease liabilities$2,593 
Leases Leases
The Company leases office space and other retail space under operating lease agreements with terms that do not exceed five years. In addition, the Company leases online gaming servers and related equipment under finance lease arrangements.
The components of lease expense for the years ended December 31, 2024, 2023 and 2022 were as follows:
Years Ended
December 31,
($ in thousands)202420232022
Operating lease cost$1,080 $770 $676 
Variable lease cost172 267 275 
Short-term lease cost559 867 436 
Finance lease cost:
Amortization of finance lease right-of-use asset
1,829 1,272 578 
Interest on finance lease liabilities
169 85 22 
Total lease expenses$3,809 $3,261 $1,987 
Additional information relating to leases for the years ended December 31, 2024, 2023 and 2022 was as follows:
Years Ended
December 31,
($ in thousands)202420232022
Operating cash flows from operating leases$832$732$653
Right-of-use assets obtained in exchange for new or modified operating lease liabilities$1,582$210$965
Right-of-use assets obtained in exchange for new or modified finance lease liabilities
$1,986$2,423$1,124
Weighted-average remaining lease term (in years) – operating leases3.02.53.1
Weighted-average remaining lease term (in years) – finance leases2.73.43.0
Weighted-average discount rate – operating leases9.2 %6.7 %6.2 %
Weighted-average discount rate – finance leases5.3 %7.7 %6.0 %
The Company calculated the weighted-average discount rate using the interest rates implicit in the lease contract and if not determinable, incremental borrowing rates, which equal the rates of interest that it would pay to borrow funds on a fully collateralized basis over a similar term.
The Company records lease activity within the following financial statement line items:
AccountFinancial Statement Line Item
Operating lease right-of-use asset
Operating lease assets
Finance lease right-of-use asset, netProperty and equipment, net
Operating lease liabilities
Other current liabilities and Non-current liabilities
Finance lease liabilities
Other current liabilities and Non-current liabilities
Operating lease expense
General and administrative
Finance lease amortization expenseDepreciation and amortization
Finance lease interest expense
Interest income (expense), net
Maturity of operating lease liabilities as of December 31, 2024 is as follows:
($ in thousands)
Year ending December 31, 2025$816 
Year ending December 31, 2026568 
Year ending December 31, 2027490 
Year ending December 31, 2028382 
Year ending December 31, 202995 
Total undiscounted future cash flows2,351 
Less: present value discount(308)
Operating lease liabilities$2,043 
Maturity of finance lease liabilities as of December 31, 2024 is as follows:
($ in thousands)
Year ending December 31, 2025$1,404 
Year ending December 31, 2026625 
Year ending December 31, 2027438 
Year ending December 31, 2028345 
Year ending December 31, 2029— 
Total undiscounted future cash flows2,812 
Less: present value discount(219)
Finance lease liabilities$2,593 
v3.25.0.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Legal Matters
The Company is not a party to any material legal proceedings and is not aware of any material pending or threatened claims. From time to time however, the Company may be subject to various legal proceedings and claims that arise in the ordinary course of its business activities.
Other Contractual Obligations
The Company is a party to several non-cancelable contracts with vendors and licensors for marketing and other strategic partnership related agreements. Under the non-cancelable terms of these contracts, the Company is obligated to make future minimum payments as follows:
($ in thousands)
Year ending December 31, 2025$11,819 
Year ending December 31, 20268,021 
Year ending December 31, 20276,875 
Year ending December 31, 20285,232 
Year ending December 31, 20294,265 
Thereafter14,662 
Total(1)
$50,874 
(1) Includes operating lease and finance lease obligations under non-cancelable lease contracts totaling $5.4 million, obligations under non-cancelable contracts with marketing vendors totaling $10.8 million, and license and market access commitments totaling $34.7 million. Certain market access arrangements require the Company to make additional payments at a contractual milestone date if the market access fees paid up until that milestone date do not meet a minimum contractual threshold. In these instances, the Company calculates future minimum payment as the total milestone payment less any amounts already paid to the partner and includes such payments in the period in which the milestone date occurs.
v3.25.0.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Pay vs Performance Disclosure      
Net Income (Loss) $ 2,388 $ (18,305) $ (38,631)
v3.25.0.1
Insider Trading Arrangements
 3 Months Ended
Dec. 31, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.0.1
Insider Trading Policies and Procedures
 12 Months Ended
Dec. 31, 2024
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.0.1
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Dec. 31, 2024
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, usually through questionnaires, from 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 generally notify us of any 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 it is 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 all 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 periodically perform 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 Information Officer, who has information technology, engineering, product and security knowledge, experience and skills gained over a decade of experience leading product and engineering organizations, 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 Information Officer, who has information technology, engineering, product and security knowledge, experience and skills gained over a decade of experience leading product and engineering organizations, 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 Information Officer, who has information technology, engineering, product and security knowledge, experience and skills gained over a decade of experience leading product and engineering organizations, 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 Information Officer, who has information technology, engineering, product and security knowledge, experience and skills gained over a decade of experience leading product and engineering organizations, 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
v3.25.0.1
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2024
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. RSI is deemed to have a controlling interest of RSILP through its wholly owned subsidiary RSI GP, LLC (“RSI GP”), which is the sole general partner of RSILP. 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 Company is organized as an umbrella partnership-C corporation (“Up-C”), resulting from the transactions contemplated in the Business Combination Agreement, dated as of July 27, 2020 (as amended and/or restated from time to time, the “Business Combination Agreement” and the transactions contemplated thereby, the “Business Combination”). The Business Combination Agreement was entered among RSILP, the sellers set forth on the signature pages thereto (collectively, the “Sellers” and each, a “Seller”), dMY Sponsor, LLC (the “Sponsor”) and Rush Street Interactive GP, LLC, resulting in dMY Technology Group, Inc. (“dMY”) acquiring certain Class A Units of RSILP (the “RSILP Units”).
As an Up-C, substantially all of the assets of the combined company are held by RSILP and the Company’s primary assets are its equity interests in RSILP (which are held indirectly through wholly owned subsidiaries of the Company – RSI ASLP, Inc. (the “Special Limited Partner”) and RSI GP). The Company controls RSILP through RSI GP. As of December 31, 2024, the Company owned 40.00% of the RSILP Units and the holders of the non-controlling interest 60.00% 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 $106.4 million for the year ended December 31, 2024, and experienced cash outflows from operations of $5.9 million and $60.3 million for the years ended December 31, 2023 and 2022, respectively.
The Company had working capital totaling $121.9 million as of December 31, 2024.
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 tax receivable agreement (the “Tax Receivable Agreement” or “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)20242023
Cash and cash equivalents(1)
$229,171 $168,330 
Restricted cash3,585 2,647 
Total cash, cash equivalents and restricted cash$232,756 $170,977 
(1) The Company had cash equivalents of $117.7 million and $78.4 million as of December 31, 2024 and 2023, 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 $107.5 million and $68.7 million as of December 31, 2024 and 2023, 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.
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.
Trademark Asset
On June 10, 2022, the Company purchased all of the equity interests of Rush Street Productions, LLC, a Delaware limited liability company (“RSP”), in exchange for $1.5 million cash (net of $0.7 million cash acquired), 480,000 RSILP Units and the same number of newly issued shares of Class V Common Stock, par value $0.0001 per share of the Company (the “Class V Common Stock”), valued at $2.4 million, and 60,000 shares of Class A Common Stock of the Company, par value $0.0001 per share of the Company (the “Class A Common Stock”), valued at $0.3 million. The Company also assumed $0.5 million of outstanding liabilities and incurred $0.4 million of transaction costs directly attributable to the acquisition.
To account for the transaction, the Company applied the definition of a business in ASC 805-10, Business Combinations – Overall, and concluded that the asset set acquired does not constitute a business as substantially all of the fair value of the acquired assets was concentrated in a single asset. Therefore, the transaction has been accounted for as an asset acquisition in accordance with ASC 805-50, Business Combinations — Related Issues.
The acquired trademark asset represents an intangible asset that is recognized at its relative fair value in accordance with ASC 350-30, General Intangibles Other Than Goodwill. Goodwill is not recognized in an asset acquisition, and as such, any consideration that exceeds the fair value of the net assets acquired is allocated to the identifiable assets based on relative fair values.

The Company capitalized a $5.1 million trademark intangible asset representing the total consideration paid of $4.2 million, assumed liabilities of $0.5 million, and legal and consulting fees incurred that were directly attributable to the asset acquisition of $0.4 million. The asset is included in Intangible Assets, Net, on the Company’s consolidated balance sheets as of December 31, 2024 and 2023 and is amortized over the estimated useful life of five years using the straight-line method. The asset acquisition is presented on the consolidated statement of cash flows as net cash used in investing activities.
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 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, 2024 and 2023 and are amortized over the estimated useful life of one to three years.
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, 2024 and 2023, 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, 2024 and 2023. No impairment was recorded during the years ended December 31, 2024 and 2023. 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, the incremental progressive jackpot reserve, and the expected future payout 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 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 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, 2024 and 2023, 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, 2024 and 2023.
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 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, 2024 and 2023 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 us the ability to offer our 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, sports betting trading services and certain elements of our platform technology, such as geolocation and know-your-customer. Gaming taxes relate to state taxes that are determined on a jurisdiction-by-jurisdiction basis, or federal excise taxes that are determined based on a percentage of the value of online sports and retail sports bets. The Company incurs payment processing costs on player deposits and occasionally chargebacks (i.e., when a payment processor contractually disallows customer deposits in the normal course of business).
Advertising and Promotions Costs
Advertising and Promotions Costs
Advertising and promotion 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 expenses consist primarily of administrative personnel costs, including salaries, bonuses and benefits, share-based compensation expenses, professional service fees (related to legal, compliance, accounting and consulting), rent expense, insurance costs 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 the provision (benefit) for income taxes 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 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 will be accrued.
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 include 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 gains (losses) were $(3.8) million, $0.9 million and $(1.9) million for the years ended December 31, 2024, 2023 and 2022, 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, 2024 and 2023, 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 August 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies accounting for convertible instruments by removing major separation models required under current U.S. GAAP. This ASU removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception, and it also simplifies the diluted earnings per share calculation in certain areas. This ASU is effective for the Company in calendar year 2024. The Company adopted ASU 2020-06 on January 1, 2024 and the adoption did not have a material impact on its consolidated financial statements and related disclosures.
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280). The amendments in this ASU require disclosures, on an annual and interim basis, of significant segment expenses that are regularly provided to the CODM, as well as the aggregate amount of other segment items included in the reported measure of segment profit or loss. This ASU requires that a public entity disclose the title and position of the CODM and an explanation of how the CODM uses the reported measure(s) of segment profit or loss. Public entities will be required to provide all annual disclosures currently required by Topic 280 in interim periods, and entities with a single reportable segment are required to provide all the disclosures required by the amendments in the update and existing segment disclosures in Topic 280. This ASU is effective for the Company in calendar year 2024. See Note 11, “Segment Reporting” for additional information on the Company’s adoption of ASU 2023-07.
Recent Accounting Pronouncements Not Yet Adopted
In December 2023, the FASB issued 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. The amendments are effective prospectively for annual periods beginning after December 15, 2024, and early adoption and retrospective application are permitted. The Company is currently evaluating the impact of these new disclosure requirements on its consolidated financial statements.
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 our 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.
v3.25.0.1
Description of Business (Tables)
 12 Months Ended
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Products and Services by Location
As of December 31, 2024, RSI offered real-money online casino, online sports betting and/or retail sports betting in the 15 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
West Virginiaüü
International:
Colombiaüü
Ontario (Canada)üü
Mexicoüü
Peru
üü
v3.25.0.1
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2024
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)20242023
Cash and cash equivalents(1)
$229,171 $168,330 
Restricted cash3,585 2,647 
Total cash, cash equivalents and restricted cash$232,756 $170,977 
(1) The Company had cash equivalents of $117.7 million and $78.4 million as of December 31, 2024 and 2023, 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 $107.5 million and $68.7 million as of December 31, 2024 and 2023, 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, 2024 and 2023 are $7.2 million and $8.6 million, respectively. The balances as of December 31, 2024 and 2023 also include finance lease right-of-use assets, net. The balances consist of the following:
December 31,
($ in thousands)20242023
Computers, software and related equipment$4,427 $4,259 
Operating equipment and servers3,231 4,779 
Furniture1,143 782 
Leasehold improvements1,797 1,805 
Property and equipment not yet placed into service199 610 
Total property and equipment10,797 12,235 
Less: accumulated depreciation(7,732)(7,641)
3,065 4,594 
Finance lease right-of-use assets7,041 5,519 
Less: accumulated amortization(2,867)(1,502)
4,174 4,017 
Property and equipment, net$7,239 $8,611 
v3.25.0.1
Revenue Recognition (Table)
 12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Summary of Disaggregation of Revenue
Disaggregation of revenue for the years ended December 31, 2024, 2023 and 2022 is as follows:
Years Ended
December 31,
($ in thousands)202420232022
Online casino and online sports betting$917,108 $674,059 $576,573 
Retail sports betting2,384 12,848 11,713 
Social gaming4,591 4,254 3,926 
Total revenue$924,083 $691,161 $592,212 
Summary of Revenue by Geographic Region
The following table presents the Company’s revenue by geographic region for the years ended December 31, 2024, 2023 and 2022:
Years Ended
December 31,
($ in thousands)202420232022
United States and Canada$785,285 $611,868 $539,887 
Latin America, including Mexico138,798 79,293 52,325 
Total revenue$924,083 $691,161 $592,212 
Summary of Deferred Revenue The deferred revenue activity for the years ended December 31, 2024, 2023 and 2022 was as follows:
Years Ended
December 31,
($ in thousands)202420232022
Deferred revenue, beginning of period$7,013 $7,840 $4,637 
Deferred revenue, end of period10,814 7,013 7,840 
Revenue recognized in the year from amounts included in deferred revenue at the beginning of the year7,013 7,840 4,637 
v3.25.0.1
Intangible Assets, Net (Tables)
 12 Months Ended
Dec. 31, 2024
Intangible Assets, Net (Excluding Goodwill) [Abstract]  
Schedule of Intangible Assets, net The Company has the following intangible assets, net as of December 31, 2024 and 2023, respectively:
($ in thousands)Weighted Average
Remaining
Amortization
Period (years)		Gross
Carrying
Amount		Accumulated
Amortization		Net
License Fees
December 31, 20246.85$52,933 $(22,491)$30,442 
December 31, 20237.75$61,015 $(25,946)$35,069 
Internally Developed Software
December 31, 20242.19$68,291 $(29,346)$38,945 
December 31, 20232.37$43,868 $(12,601)$31,267 
Developed Technology
December 31, 20244.89$6,381 $(2,224)$4,157 
December 31, 20236.00$5,931 $(1,483)$4,448 
Other Intangible Assets(1)
December 31, 20242.08$7,373 $(3,570)$3,803 
December 31, 20233.15$5,873 $(1,783)$4,090 
_____________________________
(1)Other intangible assets include trademark, media content, customer lists and software licenses.
Schedule of estimated future amortization of license fees
At December 31, 2024, estimated future amortization of intangible assets is as follows:
($ in thousands)
Year ending December 31, 2025$28,105 
Year ending December 31, 202620,378 
Year ending December 31, 202711,374 
Year ending December 31, 20285,005 
Year ending December 31, 20294,574 
Thereafter7,911 
Total$77,347 
v3.25.0.1
Property and Equipment, Net (Tables)
 12 Months Ended
Dec. 31, 2024
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, 2024 and 2023 are $7.2 million and $8.6 million, respectively. The balances as of December 31, 2024 and 2023 also include finance lease right-of-use assets, net. The balances consist of the following:
December 31,
($ in thousands)20242023
Computers, software and related equipment$4,427 $4,259 
Operating equipment and servers3,231 4,779 
Furniture1,143 782 
Leasehold improvements1,797 1,805 
Property and equipment not yet placed into service199 610 
Total property and equipment10,797 12,235 
Less: accumulated depreciation(7,732)(7,641)
3,065 4,594 
Finance lease right-of-use assets7,041 5,519 
Less: accumulated amortization(2,867)(1,502)
4,174 4,017 
Property and equipment, net$7,239 $8,611 
v3.25.0.1
Accrued Expenses and Other Liabilities (Tables)
 12 Months Ended
Dec. 31, 2024
Payables and Accruals [Abstract]  
Schedule of Accrued Expenses and Other Liabilities The following table provides a summary of the accrued expenses at December 31, 2024 and 2023:
December 31,
($ in thousands)20242023
Accrued compensation and related expenses$17,218 $13,781 
Accrued operating expenses32,427 21,748 
Accrued marketing expenses17,959 10,119 
Accrued administrative expenses4,319 4,706 
Accrued other expenses779 777 
Total accrued expenses$72,702 $51,131 
Other Liabilities
The Company has the following other current and non-current liabilities as of December 31, 2024 and 2023:
Current
Non-Current
($ in thousands)December 31,
2024		December 31,
2023		December 31,
2024		December 31,
2023
Deferred royalty liabilities
$1,814 $1,712 $10,581 $12,395 
Operating lease liabilities
673 621 1,370 673 
Finance lease liabilities
1,296 729 1,297 1,489 
Income tax payable
15,009 8,051 — — 
Other
2,135 967 4,772 201 
Total other current and non-current liabilities
$20,927 $12,080 $18,020 $14,758 
v3.25.0.1
Stockholders' Equity (Tables)
 12 Months Ended
Dec. 31, 2024
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, 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 %
The non-controlling interests owned 67.51% and 70.55% of the RSILP Units outstanding as of December 31, 2023 and 2022, respectively. The following table summarizes the changes in non-controlling interests owned:
Non-Controlling Interest %
Non-controlling interest % as of December 31, 2022
70.55 %
Issuance of Class A Common Stock upon RSILP Unit Exchanges(2.49)%
Issuance of Class A Common Stock in connection with the vesting of restricted stock units(0.55)%
Non-controlling interest % as of December 31, 2023
67.51 %
v3.25.0.1
Share-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 2024
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:
202420232022
Volatility rate68.48 %
69.78%
70.93% to 71.00%
Risk-free interest rate4.55 %
 3.85%
4.32% to 4.39%
Average expected life (in years)
2.8
2.8
2.3 to 3.0
Dividend yieldNoneNone
None
Stock price at grant date$5.79$3.28$3.95
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:
202420232022
Volatility rate68.00 %70.00 %58.98 %
Risk-free interest rate4.30 %3.80 %3.68 %
Expected term(1) (in years)
6.06.05.6
Dividend yieldNoneNoneNone
Stock price at grant date$5.79$3.28$4.07
Exercise price$5.79$3.28$4.07
_ ____________________________
(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, 2024 and 2023 was as follows:
Number of UnitsWeighted average exercise price
Outstanding balance at December 31, 2022
887,166 $5.24 
Granted1,084,445 3.28 
Exercised
— — 
Forfeited— — 
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 
Exercisable balance at December 31, 2024
964,769 $4.88 
Schedule of Unvested Restricted Stock Units Roll Forward
RSU activity for the years ended December 31, 2024 and 2023 was as follows:
Number of
Units		Weighted average grant price
Unvested balance at December 31, 2022
7,492,613 $7.48 
Granted4,030,535 4.12 
Vested(1)
(2,221,870)8.71 
Forfeited(83,136)9.52 
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 $6.06 
_____________________________
(1)Include 561,774 and 467,712 of RSUs that vested during the years ended December 31, 2024 and 2023, respectively, for which the resulting shares of Class A Common Stock have not yet been issued. There were 532,010 and 1,104,629 RSUs that vested for which the resulting shares of Class A Common Stock were not issued as of December 31, 2024 and 2023, respectively.
Share-based Payment Arrangement, Expensed and Capitalized, Amount
Share-based compensation expense for the years ended December 31, 2024, 2023 and 2022 was as follows:
Years Ended
December 31,
($ in thousands)202420232022
Costs of revenue$1,116 $1,064 $987 
Advertising and promotions2,748 2,225 2,048 
General and administrative
31,424 26,731 15,656 
Total share-based compensation expense$35,288 $30,020 $18,691 
v3.25.0.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit)
The components of the income tax expense are:
Years Ended
December 31,
($ in thousands)202420232022
Current income taxes:
Federal$97 $(188)$(118)
State and local46 9 (34)
Foreign24,243 11,602 9,137 
24,386 11,423 8,985 
Deferred income taxes:
Federal— — — 
State and local— — — 
Foreign180 (214)(24)
180 (214)(24)
Income tax expense$24,566 $11,209 $8,961 
Schedule of Effective Income Tax Rate Reconciliation
Reconciliations of income tax expense computed at the U.S. federal statutory income tax rate to the recognized income tax expense and the U.S. statutory income tax rate to our effective tax rates are as follows:
Years Ended
December 31,
($ in thousands)202420232022
Net income (loss) before income taxes
$31,802 $(48,846)$(125,371)
Less: net income (loss) before income taxes attributable to non-controlling interest
19,621 (33,820)(89,224)
Net income (loss) attributable to Rush Street Interactive, Inc. before income taxes
12,181 (15,026)(36,147)
Income tax expense (benefit) at the federal statutory rate
2,558 (3,155)(7,591)
State income taxes, net of federal benefit349 (46)(34)
Nondeductible stock compensation
2,691 1,351 — 
Foreign operations24,423 11,387 9,113 
Change in valuation allowance(3,893)2,589 8,025 
Other(1,562)(917)(552)
Income tax expense$24,566 $11,209 $8,961 
Schedule of Deferred Tax Assets and Liabilities Significant components of the deferred tax assets and liabilities are as follows:
December 31,
($ in thousands)20242023
Deferred tax assets:
Investment in subsidiaries$172,883 $134,283 
Net operating losses26,196 29,724 
Imputed interest5,501 2,120 
Share-based compensation1,197 1,160 
Other assets538 422 
Total gross deferred tax assets206,315 167,709 
Valuation allowance(205,794)(167,305)
Total deferred tax assets, net of valuation allowance521 404 
Deferred tax liabilities:
Investment in subsidiaries(369)— 
Total gross deferred tax liabilities(369)— 
Net deferred tax assets$152 $404 
v3.25.0.1
Earnings (Loss) Per Share (Tables)
 12 Months Ended
Dec. 31, 2024
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, 2024, 2023 and 2022 are as follows (amounts in thousands, except for share and per share amounts):
Years Ended
December 31,
202420232022
Numerator:
Net income (loss)$7,236 $(60,055)$(134,332)
Less: Net income (loss) attributable to non-controlling interests4,848 (41,750)(95,701)
Net income (loss) attributable to Rush Street Interactive, Inc. – basic and diluted
$2,388 $(18,305)$(38,631)
Denominator
Weighted average common shares outstanding – basic81,784,916 68,508,093 63,532,906 
Adjustments:
Incremental shares from assumed conversion of stock options and restricted stock units(1)
6,630,151 — — 
Weighted average common shares outstanding – diluted88,415,067 68,508,093 63,532,906 
Earnings (loss) per Class A Common Share - basic$0.03 $(0.27)$(0.61)
Earnings (loss) per Class A Common Share - diluted$0.03 $(0.27)$(0.61)
(1)In periods of Net loss, assumed conversion of stock-based awards are anti-dilutive and therefore excluded from the diluted loss per share calculation. Assumed conversion of RSILP units are anti-dilutive and therefore excluded from the diluted earnings (loss) per share calculation in each period.
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,
202420232022
RSILP Units(1)
143,091,720 150,434,310 155,955,584 
Unvested RSUs
998,448 9,218,142 7,492,613 
Vested RSUs(2)
— 1,104,629 636,917 
Outstanding Stock Options
727,724 1,971,611 887,166 
(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 cancelled.
(2)RSUs that vested but the resulting shares of Class A Common Stock have not yet been issued.
v3.25.0.1
Segment Reporting (Tables)
 12 Months Ended
Dec. 31, 2024
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)202420232022
Revenue
$924,083 $691,161 $592,212 
Less:
Costs of revenue(1)
600,920 463,950 413,677 
Advertising and promotions(1)
155,842 158,425 218,412 
General and administrative(1)
74,782 60,618 51,905 
Interest income
(8,450)(3,703)(364)
Interest expense
957 938 937 
Depreciation and amortization
32,203 29,759 14,325 
Income tax expense
24,566 11,209 8,961 
Other segment items(2)
36,027 30,020 18,691 
Consolidated net income (loss)
$7,236 $(60,055)$(134,332)
(1)Exclude share-based compensation expense and change in TRA liability.
(2)Other segment items include share-based compensation expense and change in TRA liability.
v3.25.0.1
Leases (Tables)
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Lease, Cost
The components of lease expense for the years ended December 31, 2024, 2023 and 2022 were as follows:
Years Ended
December 31,
($ in thousands)202420232022
Operating lease cost$1,080 $770 $676 
Variable lease cost172 267 275 
Short-term lease cost559 867 436 
Finance lease cost:
Amortization of finance lease right-of-use asset
1,829 1,272 578 
Interest on finance lease liabilities
169 85 22 
Total lease expenses$3,809 $3,261 $1,987 
Additional information relating to leases for the years ended December 31, 2024, 2023 and 2022 was as follows:
Years Ended
December 31,
($ in thousands)202420232022
Operating cash flows from operating leases$832$732$653
Right-of-use assets obtained in exchange for new or modified operating lease liabilities$1,582$210$965
Right-of-use assets obtained in exchange for new or modified finance lease liabilities
$1,986$2,423$1,124
Weighted-average remaining lease term (in years) – operating leases3.02.53.1
Weighted-average remaining lease term (in years) – finance leases2.73.43.0
Weighted-average discount rate – operating leases9.2 %6.7 %6.2 %
Weighted-average discount rate – finance leases5.3 %7.7 %6.0 %
Lessee, Balance Sheet Disclosures
The Company records lease activity within the following financial statement line items:
AccountFinancial Statement Line Item
Operating lease right-of-use asset
Operating lease assets
Finance lease right-of-use asset, netProperty and equipment, net
Operating lease liabilities
Other current liabilities and Non-current liabilities
Finance lease liabilities
Other current liabilities and Non-current liabilities
Operating lease expense
General and administrative
Finance lease amortization expenseDepreciation and amortization
Finance lease interest expense
Interest income (expense), net
Lessee, Operating Lease, Liability, Maturity
Maturity of operating lease liabilities as of December 31, 2024 is as follows:
($ in thousands)
Year ending December 31, 2025$816 
Year ending December 31, 2026568 
Year ending December 31, 2027490 
Year ending December 31, 2028382 
Year ending December 31, 202995 
Total undiscounted future cash flows2,351 
Less: present value discount(308)
Operating lease liabilities$2,043 
Finance Lease, Liability, Fiscal Year Maturity
Maturity of finance lease liabilities as of December 31, 2024 is as follows:
($ in thousands)
Year ending December 31, 2025$1,404 
Year ending December 31, 2026625 
Year ending December 31, 2027438 
Year ending December 31, 2028345 
Year ending December 31, 2029— 
Total undiscounted future cash flows2,812 
Less: present value discount(219)
Finance lease liabilities$2,593 
v3.25.0.1
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Future Minimum Payments Under Non-cancelable Terms of Contracts
The Company is a party to several non-cancelable contracts with vendors and licensors for marketing and other strategic partnership related agreements. Under the non-cancelable terms of these contracts, the Company is obligated to make future minimum payments as follows:
($ in thousands)
Year ending December 31, 2025$11,819 
Year ending December 31, 20268,021 
Year ending December 31, 20276,875 
Year ending December 31, 20285,232 
Year ending December 31, 20294,265 
Thereafter14,662 
Total(1)
$50,874 
(1) Includes operating lease and finance lease obligations under non-cancelable lease contracts totaling $5.4 million, obligations under non-cancelable contracts with marketing vendors totaling $10.8 million, and license and market access commitments totaling $34.7 million. Certain market access arrangements require the Company to make additional payments at a contractual milestone date if the market access fees paid up until that milestone date do not meet a minimum contractual threshold. In these instances, the Company calculates future minimum payment as the total milestone payment less any amounts already paid to the partner and includes such payments in the period in which the milestone date occurs.
v3.25.0.1
Description of Business (Details)
Dec. 31, 2024
segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Number of states in which entity operates 15
v3.25.0.1
Summary of Significant Accounting Policies - Narrative (Details)
 12 Months Ended
Jun. 10, 2022
USD ($)
$ / shares
shares
Dec. 29, 2020
Dec. 31, 2024
USD ($)
segment
$ / shares
Dec. 31, 2023
USD ($)
$ / shares
Dec. 31, 2022
USD ($)
Accounting Policies [Line Items]          
Operating cash flows     $ 106,449,000 $ (5,932,000) $ (60,321,000)
Working capital     $ 121,900,000    
Number of operating segments | segment     1    
Allowance for doubtful accounts     $ 0 0  
Prepaid expenses     5,500,000 7,500,000  
Short-term investments     4,300,000 3,100,000  
Payments to acquire businesses and interest in affiliates     2,000,000 2,000,000  
Impairment     0 0  
Foreign currency translation adjustment     (3,800,000) 900,000 (1,900,000)
Surety Bond, Satisfy Regulatory Requirements to Secure Cash Held for Customers          
Accounting Policies [Line Items]          
Surety bonds     31,100,000 28,000,000  
Surety Bond, Satisfy Regulatory Requirements Necessary to Operate          
Accounting Policies [Line Items]          
Surety bonds     6,100,000 4,600,000  
Trademarks          
Accounting Policies [Line Items]          
Payments to acquire productive assets     $ 0 $ 0 $ 1,890,000
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     60.00% 67.51% 70.55%
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     0.4000    
Minimum | Other Intangible Assets          
Accounting Policies [Line Items]          
Finite-lived intangible asset, useful life     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     3 years    
Maximum | Developed Technology          
Accounting Policies [Line Items]          
Finite-lived intangible asset, useful life     8 years    
Rush Street Productions, LLC          
Accounting Policies [Line Items]          
Finite-lived intangible asset, useful life 5 years        
Payments to acquire productive assets $ 1,500,000        
Cash- DMYT trust and cash, net of redemptions 700,000        
Assumed outstanding liabilities 500,000        
Asset acquisition, legal fees 400,000        
Asset acquisition, capitalized amount 4,200,000       $ 4,700,000
Acquisition fees 400,000        
Rush Street Productions, LLC | Trademarks          
Accounting Policies [Line Items]          
Capitalized trademark intangible asset $ 5,100,000        
Class A Common Stock          
Accounting Policies [Line Items]          
Common stock, par value (in USD per share) | $ / shares     $ 0.0001 $ 0.0001  
Class A Common Stock | Special Limited Partner          
Accounting Policies [Line Items]          
Common stock, par value (in USD per share) | $ / shares $ 0.0001        
Class A Common Stock | Rush Street Productions, LLC          
Accounting Policies [Line Items]          
Asset acquisition, number of shares issued (in shares) | shares 60,000        
Asset acquisition, shares issued, value $ 300,000        
Class V Common Stock          
Accounting Policies [Line Items]          
Common stock, par value (in USD per share) | $ / shares     $ 0.0001 $ 0.0001  
Class V Common Stock | Special Limited Partner          
Accounting Policies [Line Items]          
Common stock, par value (in USD per share) | $ / shares $ 0.0001        
Class V Common Stock | Rush Street Productions, LLC          
Accounting Policies [Line Items]          
Asset acquisition, shares issued, value $ 2,400,000        
RSILP Units | Rush Street Productions, LLC          
Accounting Policies [Line Items]          
Asset acquisition, number of shares issued (in shares) | shares 480,000        
v3.25.0.1
Summary of Significant Accounting Policies - Property, Plant and Equipment (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Accounting Policies [Abstract]        
Cash and cash equivalents $ 229,171 $ 168,330    
Restricted cash 3,585 2,647    
Total cash, cash equivalents and restricted cash 232,756 170,977 $ 206,081 $ 300,329
Cash equivalents 117,700 78,400    
Money market funds $ 107,500 $ 68,700    
v3.25.0.1
Summary of Significant Accounting Policies - Property and Equipment, net (Details)
Dec. 31, 2024
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
v3.25.0.1
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Disaggregation of Revenue [Line Items]      
Total revenue $ 924,083 $ 691,161 $ 592,212
Online casino and online sports betting      
Disaggregation of Revenue [Line Items]      
Total revenue 917,108 674,059 576,573
Retail sports betting      
Disaggregation of Revenue [Line Items]      
Total revenue 2,384 12,848 11,713
Social gaming      
Disaggregation of Revenue [Line Items]      
Total revenue $ 4,591 $ 4,254 $ 3,926
v3.25.0.1
Revenue Recognition - Revenue by Geographic Region (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Disaggregation of Revenue [Line Items]      
Total revenue $ 924,083 $ 691,161 $ 592,212
United States And Canada      
Disaggregation of Revenue [Line Items]      
Total revenue 785,285 611,868 539,887
Latin America And Mexico      
Disaggregation of Revenue [Line Items]      
Total revenue $ 138,798 $ 79,293 $ 52,325
v3.25.0.1
Revenue Recognition - Deferred Revenue (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenue from Contract with Customer [Abstract]      
Deferred revenue, beginning of period $ 7,013 $ 7,840 $ 4,637
Deferred revenue, end of period 10,814 7,013 7,840
Revenue recognized in the year from amounts included in deferred revenue at the beginning of the year $ 7,013 $ 7,840 $ 4,637
v3.25.0.1
Intangible Assets, Net - Schedule of Intangible Assets (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]      
Total $ 77,347 $ 74,874  
Amortization of license expense $ 28,300 $ 24,700 $ 11,600
License Fees      
Finite-Lived Intangible Assets [Line Items]      
Weighted Average Remaining Amortization Period (years) 6 years 10 months 6 days 7 years 9 months  
Gross Carrying Amount $ 52,933 $ 61,015  
Accumulated Amortization (22,491) (25,946)  
Total $ 30,442 $ 35,069  
Internally Developed Software      
Finite-Lived Intangible Assets [Line Items]      
Weighted Average Remaining Amortization Period (years) 2 years 2 months 8 days 2 years 4 months 13 days  
Gross Carrying Amount $ 68,291 $ 43,868  
Accumulated Amortization (29,346) (12,601)  
Total $ 38,945 $ 31,267  
Developed Technology      
Finite-Lived Intangible Assets [Line Items]      
Weighted Average Remaining Amortization Period (years) 4 years 10 months 20 days 6 years  
Gross Carrying Amount $ 6,381 $ 5,931  
Accumulated Amortization (2,224) (1,483)  
Total $ 4,157 $ 4,448  
Other Intangible Assets      
Finite-Lived Intangible Assets [Line Items]      
Weighted Average Remaining Amortization Period (years) 2 years 29 days 3 years 1 month 24 days  
Gross Carrying Amount $ 7,373 $ 5,873  
Accumulated Amortization (3,570) (1,783)  
Total $ 3,803 $ 4,090  
v3.25.0.1
Intangible Assets, Net - Estimated future amortization (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Intangible Assets, Net (Excluding Goodwill) [Abstract]    
2025 $ 28,105  
2026 20,378  
2027 11,374  
2028 5,005  
2029 4,574  
Thereafter 7,911  
Total $ 77,347 $ 74,874
v3.25.0.1
Property and Equipment, Net (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Property and Equipment      
Total property and equipment $ 10,797 $ 12,235  
Less: accumulated depreciation (7,732) (7,641)  
Property, plant and equipment, net 3,065 4,594  
Finance lease right-of-use assets 7,041 5,519  
Less: accumulated amortization (2,867) (1,502)  
Total finance lease right-of-use asset 4,174 4,017  
Property and equipment, net 7,239 8,611  
Depreciation expense 2,100 3,800 $ 2,100
Amortization of finance lease right-of-use asset 1,829 1,272 $ 578
Computers, software and related equipment      
Property and Equipment      
Total property and equipment 4,427 4,259  
Operating equipment and servers      
Property and Equipment      
Total property and equipment 3,231 4,779  
Furniture and fixtures      
Property and Equipment      
Total property and equipment 1,143 782  
Leasehold improvements      
Property and Equipment      
Total property and equipment 1,797 1,805  
Property and equipment not yet placed into service      
Property and Equipment      
Total property and equipment $ 199 $ 610  
v3.25.0.1
Accrued Expenses and Other Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Payables and Accruals [Abstract]    
Accrued compensation and related expenses $ 17,218 $ 13,781
Accrued operating expenses 32,427 21,748
Accrued marketing expenses 17,959 10,119
Accrued administrative expenses 4,319 4,706
Accrued other expenses 779 777
Total accrued expenses $ 72,702 $ 51,131
v3.25.0.1
Accrued Expenses and Other Liabilities - Current and non-current liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Current liabilities    
Deferred royalty liabilities $ 1,814 $ 1,712
Operating lease liabilities 673 621
Finance lease liabilities 1,296 729
Income tax payable 15,009 8,051
Other 2,135 967
Other current liabilities $ 20,927 $ 12,080
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 $ 10,581 $ 12,395
Operating lease liabilities 1,370 673
Finance lease liabilities 1,297 1,489
Income tax payable 0 0
Other 4,772 201
Non-current liabilities $ 18,020 $ 14,758
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Non-current liabilities Non-current liabilities
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Non-current liabilities Non-current liabilities
v3.25.0.1
Stockholders' Equity - Narrative (Details)
 12 Months Ended
Dec. 31, 2024
USD ($)
vote
$ / shares
shares
Oct. 24, 2024
USD ($)
Dec. 31, 2023
shares
Dec. 31, 2022
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    
Treasury stock repurchased (in shares) 0      
Owners Other Than Rush Street Interactive | RSILP        
Debt and Equity Securities, FV-NI [Line Items]        
Percentage of common units retained by sellers 60.00%   67.51% 70.55%
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) 90,511,441   72,387,409  
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) 135,748,023   150,434,310  
Consideration for cancelled shares | $ $ 0      
v3.25.0.1
Stockholders' Equity - Schedule of Noncontrolling Interests (Details) - RSILP - Owners Other Than Rush Street Interactive
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Noncontrolling Interest [Roll Forward]    
Non-controlling interest percentage at beginning of period 67.51% 70.55%
Issuance of Class A Common Stock upon RSILP Unit Exchanges (0.0653) (0.0249)
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 (0.0001)  
Non-controlling interest percentage at end of period 60.00% 67.51%
Class A Common Stock    
Noncontrolling Interest [Roll Forward]    
Issuance of Class A Common Stock in connection with the vesting of restricted stock units   (0.0055)
v3.25.0.1
Share-Based Compensation - Narrative (Details) - USD ($)
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Share-Based Compensation      
Number of awards granted (in shares) 630,897 1,084,445 800,000
Weighted average grant price of options granted (in USD per share) $ 5.79 $ 3.28  
Aggregate fair value of options granted $ 2.4 $ 2.3 $ 1.8
Intrinsic value of options outstanding 23.8    
Intrinsic value of options exercisable $ 8.7    
RSUs      
Share-Based Compensation      
Number of units granted (in shares) 3,973,471 4,030,535  
Weighted average grant price of units granted (in USD per shares) $ 8.32 $ 4.12 $ 4.17
Aggregate fair value of units granted $ 33.0 $ 16.6 $ 23.1
Aggregate grant date fair value of units vested 24.1 $ 19.3 $ 15.0
Unrecognized stock-based compensation expense $ 36.7    
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) 2,800,000 2,500,000 3,900,000
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) 1,200,000 1,500,000 1,600,000
Vesting period 3 years 3 years  
Stock options      
Share-Based Compensation      
Weighted average grant price of options granted (in USD per share) $ 3.74 $ 2.14 $ 2.26
Unrecognized stock-based compensation expense $ 3.0    
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) 239,518 0  
Average cost per share (in usd per share) $ 12.47    
Total cost of shares withheld $ 3.0    
v3.25.0.1
Share-Based Compensation - Valuation Assumptions (Details) - $ / shares
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
RSUs      
Share-Based Compensation      
Volatility rate 68.48% 69.78%  
Risk-free interest rate 4.55% 3.85%  
Average expected life (in years) 2 years 9 months 18 days    
Dividend yield 0.00% 0.00% 0.00%
Stock price at grant date (in USD per share) $ 5.79 $ 3.28 $ 3.95
RSUs | Minimum      
Share-Based Compensation      
Volatility rate     70.93%
Risk-free interest rate     4.32%
Average expected life (in years)   2 years 9 months 18 days 2 years 3 months 18 days
RSUs | Maximum      
Share-Based Compensation      
Volatility rate     71.00%
Risk-free interest rate     4.39%
Average expected life (in years)     3 years
Stock options      
Share-Based Compensation      
Volatility rate 68.00% 70.00% 58.98%
Risk-free interest rate 4.30% 3.80% 3.68%
Average expected life (in years) 6 years 6 years 5 years 7 months 6 days
Dividend yield 0.00% 0.00% 0.00%
Stock price at grant date (in USD per share) $ 5.79 $ 3.28 $ 4.07
Exercise price (in USD per share) $ 5.79 $ 3.28 $ 4.07
v3.25.0.1
Share-Based Compensation - RSU and Stock Option Activity (Details) - $ / shares
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding [Roll Forward]      
Unvested options outstanding at beginning of period (in shares) 1,971,611 887,166  
Number of awards granted (in shares) 630,897 1,084,445 800,000
Options exercised (in shares) (20,437) 0  
Options forfeited (in shares) 0 0  
Unvested options outstanding at end of period (in shares) 2,582,071 1,971,611 887,166
Exercisable balance (in shares) 964,769    
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) $ 4.16 $ 5.24  
Weighted average grant price of options granted (in USD per share) 5.79 3.28  
Weighted average grant price of options exercised (in USD per share) 3.28 0  
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) 4.57 $ 4.16 $ 5.24
Weighted average grant price of options exercisable (in USD per share) $ 4.88    
Vested RSUs      
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Vested RSUs (in shares) 532,010 1,104,629  
RSUs      
Number of Units      
Unvested balance at beginning of period (in shares) 9,218,142 7,492,613  
Number of units granted (in shares) 3,973,471 4,030,535  
Vested (in shares) (3,084,207) (2,221,870)  
Units forfeited (in shares) (141,974) (83,136)  
Unvested balance at end of period (in shares) 9,965,432 9,218,142 7,492,613
Weighted average grant price      
Weighted average grant price of unvested units outstanding at beginning of period (in USD per shares) $ 5.70 $ 7.48  
Weighted average grant price of units granted (in USD per shares) 8.32 4.12 $ 4.17
Weighted average grant price of units vested (in USD per shares) 7.83 8.71  
Weighted average grant price of units forfeited (in USD per shares) 7.52 9.52  
Weighted average grant price of unvested units outstanding at end of period (in USD per shares) $ 6.06 $ 5.70 7.48
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Vested RSUs (in shares) 561,774 467,712  
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) $ 3.74 $ 2.14 $ 2.26
v3.25.0.1
Share-Based Compensation - Share-based Compensation Expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense $ 35,288 $ 30,020 $ 18,691
Costs of revenue      
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense 1,116 1,064 987
Advertising and promotions      
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense 2,748 2,225 2,048
General and administrative      
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total share-based compensation expense $ 31,424 $ 26,731 $ 15,656
v3.25.0.1
Income Taxes - Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Current income taxes:      
Federal $ 97 $ (188) $ (118)
State and local 46 9 (34)
Foreign 24,243 11,602 9,137
Total current income taxes 24,386 11,423 8,985
Deferred income taxes:      
Federal 0 0 0
State and local 0 0 0
Foreign 180 (214) (24)
Deferred income tax 180 (214) (24)
Income tax expense $ 24,566 $ 11,209 $ 8,961
v3.25.0.1
Income Taxes - Narrative (Details) - USD ($)
Dec. 29, 2020
Dec. 31, 2024
Dec. 31, 2023
Income Tax [Line Items]      
Deferred tax assets   $ 521,000 $ 404,000
Deferred tax liabilities   (369,000) 0
Tax receivable, liability   700,000  
Unrecognized tax receivable liability   104,300,000 63,700,000
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   92,100,000 94,500,000
State and Local Jurisdiction      
Income Tax [Line Items]      
Net operating loss carryovers   81,100,000 83,400,000
Foreign Tax Jurisdiction      
Income Tax [Line Items]      
Net operating loss carryovers   $ 5,600,000 $ 15,200,000
v3.25.0.1
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Net income (loss) before income taxes $ 31,802 $ (48,846) $ (125,371)
Less: net income (loss) before income taxes attributable to non-controlling interest 19,621 (33,820) (89,224)
Net income (loss) attributable to Rush Street Interactive, Inc. before income taxes 12,181 (15,026) (36,147)
Income tax expense (benefit) at the federal statutory rate 2,558 (3,155) (7,591)
State income taxes, net of federal benefit 349 (46) (34)
Nondeductible stock compensation 2,691 1,351 0
Foreign operations 24,423 11,387 9,113
Change in valuation allowance (3,893) 2,589 8,025
Other (1,562) (917) (552)
Income tax expense $ 24,566 $ 11,209 $ 8,961
v3.25.0.1
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($)
Dec. 31, 2024
Dec. 31, 2023
Deferred tax assets:    
Investment in subsidiaries $ 172,883,000 $ 134,283,000
Net operating losses 26,196,000 29,724,000
Imputed interest 5,501,000 2,120,000
Share-based compensation 1,197,000 1,160,000
Other assets 538,000 422,000
Total gross deferred tax assets 206,315,000 167,709,000
Valuation allowance (205,794,000) (167,305,000)
Total deferred tax assets, net of valuation allowance 521,000 404,000
Deferred tax liabilities:    
Investment in subsidiaries (369,000) 0
Total gross deferred tax liabilities (369,000) 0
Net deferred tax assets $ 152,000 $ 404,000
v3.25.0.1
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, 2024
Dec. 31, 2023
Dec. 31, 2022
Numerator:      
Net income (loss) $ 7,236 $ (60,055) $ (134,332)
Net Income (Loss) Attributable to Noncontrolling Interest, Basic 4,848 (41,750) (95,701)
Net income (loss) attributable to Rush Street Interactive, Inc. – basic and diluted $ 2,388 $ (18,305) $ (38,631)
Denominator      
Weighted average common shares outstanding - basic (in shares) 81,784,916 68,508,093 63,532,906
Adjustments:      
Incremental shares from assumed conversion of stock options and restricted stock units (in shares) 6,630,151 0 0
Weighted average common shares outstanding - diluted (in shares) 88,415,067 68,508,093 63,532,906
Net earnings (loss) per class A common share - basic (in USD per share) $ 0.03 $ (0.27) $ (0.61)
Net loss per class A common share - diluted (in USD per share) $ 0.03 $ (0.27) $ (0.61)
v3.25.0.1
Earnings (Loss) Per Share - Schedule of Anti-dilutive Securities (Details) - shares
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
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) 143,091,720 150,434,310 155,955,584
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) 998,448 9,218,142 7,492,613
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 1,104,629 636,917
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) 727,724 1,971,611 887,166
v3.25.0.1
Segment Reporting (Details)
 12 Months Ended
Dec. 31, 2024
segment
Segment Reporting [Abstract]  
Number of operating segments 1
Number of reporting segments 1
v3.25.0.1
Segment Reporting - Segment Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Revenue $ 924,083 $ 691,161 $ 592,212
Segment Reconciliation [Abstract]      
Depreciation and amortization 32,203 29,759 14,325
Income tax expense 24,566 11,209 8,961
Net income (loss) 7,236 (60,055) (134,332)
Reportable Segment      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Revenue 924,083 691,161 592,212
Segment Reconciliation [Abstract]      
Costs of revenue(1) 600,920 463,950 413,677
Advertising and promotions(1) 155,842 158,425 218,412
General and administrative(1) 74,782 60,618 51,905
Interest income (8,450) (3,703) (364)
Interest expense 957 938 937
Depreciation and amortization 32,203 29,759 14,325
Income tax expense 24,566 11,209 8,961
Other segment item 36,027 30,020 18,691
Net income (loss) $ 7,236 $ (60,055) $ (134,332)
v3.25.0.1
Related Parties (Details) - USD ($)
$ in Millions
 12 Months Ended
Jun. 10, 2022
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 28, 2020
Rush Street Productions, LLC          
Related Party Transaction [Line Items]          
Asset acquisition, capitalized amount $ 4.2     $ 4.7  
Affiliated Land-Based Casinos | Royalty Agreements          
Related Party Transaction [Line Items]          
Expenses relating to related party   $ 66.1 $ 49.6 $ 39.8  
Due from affiliates   $ 18.2 $ 33.5    
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%
v3.25.0.1
Leases (Details)
Dec. 31, 2024
Maximum | Office Space  
Lessor, Lease, Description [Line Items]  
Operating lease term 5 years
v3.25.0.1
Leases - Lease, Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Leases [Abstract]      
Operating lease cost $ 1,080 $ 770 $ 676
Variable lease cost 172 267 275
Short-term lease cost 559 867 436
Amortization of finance lease right-of-use asset 1,829 1,272 578
Interest on finance lease liabilities 169 85 22
Total lease expenses $ 3,809 $ 3,261 $ 1,987
v3.25.0.1
Leases - Other Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Leases [Abstract]      
Operating cash flows from operating leases $ 832 $ 732 $ 653
Right-of-use assets obtained in exchange for new or modified operating lease liabilities 1,582 210 965
Right-of-use assets obtained in exchange for new or modified finance lease liabilities $ 1,986 $ 2,423 $ 1,124
Weighted-average remaining lease term (in years) – operating leases 3 years 2 years 6 months 3 years 1 month 6 days
Weighted-average remaining lease term (in years) – finance leases 2 years 8 months 12 days 3 years 4 months 24 days 3 years
Weighted-average discount rate – operating leases 9.20% 6.70% 6.20%
Weighted-average discount rate – finance leases 5.30% 7.70% 6.00%
v3.25.0.1
Leases - Operating Lease, Liability, Maturity (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Leases [Abstract]  
2025 $ 816
2026 568
2027 490
2028 382
2029 95
Total undiscounted future cash flows 2,351
Less: present value discount (308)
Operating lease liabilities $ 2,043
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] Non-current liabilities
v3.25.0.1
Leases - Finance Lease, Liability, Maturity (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]    
2025 $ 1,404  
2026 625  
2027 438  
2028 345  
2029 0  
Total undiscounted future cash flows 2,812  
Less: present value discount (219)  
Finance lease liabilities $ 2,593  
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] Non-current liabilities Non-current liabilities
v3.25.0.1
Commitments and Contingencies (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Contractual Obligation, Fiscal Year Maturity [Abstract]  
2025 $ 11,819
2026 8,021
2027 6,875
2028 5,232
2029 4,265
Thereafter 14,662
Total 50,874
Non-cancelable Lease Contract  
Contractual Obligation, Fiscal Year Maturity [Abstract]  
Operating and finance lease obligations 5,400
Non-cancelable Lease Contract with Marketing Vendors  
Contractual Obligation, Fiscal Year Maturity [Abstract]  
Operating and finance lease obligations 10,800
License and Market Access Commitments  
Contractual Obligation, Fiscal Year Maturity [Abstract]  
Operating and finance lease obligations $ 34,700