DraftKings’ Revenue Soars As Mobile Sports Betting Continues To Expand

The beginning of football season further solidified DraftKings’ strong standing in its battle with FanDuel.

In its most recent fiscal quarter ending Sept. 30, revenue hit $790 million — a 57% increase from the same time period in 2022. Average monthly unique paying customers rose to 2.3 million, a 40% bump from a year ago.

Numbers for sportsbook and iGaming financials are reported together, but DraftKings’ mobile sports betting app is live in 23 states as of Friday morning, while the mobile iGaming product is only in five.

DraftKings now predicts that its 2024 fiscal revenue could be as high as $4.8 billion, which would be a 25% increase from the company’s current 2023 forecast, with the fourth quarter still remaining. Next year, DraftKings plans on having mobile sports betting operations up and running in North Carolina, Vermont, and Puerto Rico.

On the company’s earnings call, CEO Jason Robins indicated that customer growth was only the tip of the iceberg. “We haven’t found a ceiling yet,” he said.

Top Dogs

FanDuel is DraftKings’ top competitor for U.S. market share, and the former’s top executive isn’t sure newcomers like Fanatics or the soon-to-launch ESPN Bet will be able to keep up with the duo.

“If you’re sitting there with a low-single-digit share, and you don’t have that scale advantage over time, it just becomes harder to reinvest back into giving what consumers want,” FanDuel CEO Amy Howe said.