DraftKings Reports $466M Quarter, Raises Guidance

DraftKings raised its full-year revenue guidance Friday after the sportsbook and fantasy sports giant exceeded expectations in its latest earnings report. 

The Boston-based company generated $466 million in revenue in Q2 2022 — a 57% increase year-over-year — surpassing Wall Street estimates of $438 million in revenue. 

• DraftKings operates mobile betting in 17 states — roughly 36% of the U.S. population.
• Its sportsbook’s monthly customers hit 1.5 million, up 30% compared to Q2 2021.
• The company expects full-year revenue to range between $2.08 billion and $2.18 billion.
• Its previous guidance was between $2.05 billion and $2.17 billion for FY2022.

In May, DraftKings closed its acquisition of Golden Nugget Online for roughly $450 million, a sharp decline from the $1.56 billion all-stock deal expected in August 2021.

DraftKings also benefited from the launch of its sportsbook and iGaming products in Ontario in Q2 2022, which helped the company increase its guidance by more than $30 million.

Coming Soon 

DraftKings has the opportunity to gain market access in Maryland, Ohio, Kansas, and Puerto Rico — all of which have legalized mobile sports betting.

Securing licenses in those four jurisdictions would provide DraftKings with access to an additional 8% of the U.S. population, bringing the company’s total reach to 44% of the country.

DraftKings could also gain market access in Massachusetts after the state’s legislature recently passed a bill — pending executive action —  to legalize retail and mobile sports betting.