DraftKings has announced results for the second quarter of 2024 and that its board of directors authourised the repurchase of an aggregate of up to $1bn of its class A common stock.
The company also posted a second quarter 2024 business update and an earnings presentation on the Investor Relations section of its website at investors.draftkings.com.
For the three months ended June 30, DraftKings reported revenue of $1,104m, an increase of $230m, or 26 per cent, compared to $875m during the same period in 2023.
The increase in the company’s second quarter 2024 revenue was driven primarily by continued healthy customer engagement, efficient acquisition of new customers, the expansion of the company’s sportsbook product offering into new jurisdictions, higher structural sportsbook hold percentage and the impact of the acquisition of Jackpocket, which closed on May 22.
“We very efficiently acquired many more new customers than we expected and saw continued healthy existing customer engagement in the second quarter,” said Jason Robins, DraftKings’ CEO and co-founder.
“We will continue to capitalise on the healthy customer acquisition environment for the rest of 2024, which positions us to achieve $900m to $1bn of adjusted EBITDA in 2025.
"Additionally, we plan to implement a gaming tax surcharge in high tax states that have multiple mobile sports betting operators on January 1, 2025, which could drive adjusted EBITDA upside on an annual basis.”
