DraftKings CEO and co-founder Jason Robins said the company’s “outstanding” Q2 results – which showed an 88 per cent year-on-year revenue increase, were driven by a number of factors.
The operator reported Q2 revenue of US$875m, up from $466m during the prior-year period. DraftKings therefore said it is raising its FY23 revenue guidance to between $3.46bn and $3.54bn from the previous estimate of between $3.135bn and $3.235bn.
Robins said: “DraftKings produced outstanding results for the second quarter of 2023. We grew revenue at an impressive year-over-year rate, captured additional GGR share in a cost-effective manner and maintained our focus on operational efficiency.”
The company has also updated its adjusted EBITDA guidance to between $190m and $220m from the previously predicted $290m and $340m.
Furthermore, DraftKings said it expects Q4 revenue to reach nearly $1.2bn and adjusted EBITDA to be between $150m and $175m for the period.
“We are excited by the additional product features and functionality that we are introducing leading into football season and also look forward to another successful online sportsbook launch in Kentucky this fall pending licensure and regulatory approvals,” Robins added.
Jason Park, chief financial officer at DraftKings, said US states where the company is more established are “generating more than enough cash to fund investment in new states.”
