DraftKings posts $142m loss for FY19
Gaming and sports betting company posts significant loss despite revenues rising 43% to $323 million.
Gaming and sports betting company DraftKings has reported a US$143 million net loss for FY19, despite a 43 percent rise in annual revenues.
According to the firm, full year revenues hit US$323 million, but the company’s net loss almost doubled year-on-year from US$76 million in 2018 to US$142 million.
The higher net loss was attributed to on-going platform development and entering three US states.
The company now has six office locations across three countries, including a 105,000-square-foot HQ in Boston.
It looks set to be a tough year for Draftkings and other sports betting operators in the USA with the Coronavirus outbreaking leading to sports events being postponed and cancelled.
The way to reach profitability this year faces new challenges amid Coronavirus pandemic, that has already impacted in all kind of business, and gaming and sports betting are not exempt. At this moment, sports events like the NBA, NHL, MLB, ATP, and MLS have all frozen for several weeks due to coronavirus concerns. The NCAA canceled March Madness as well.
