DraftKings reports 26% revenue growth in Q2 2024

Revenue in the second quarter reached $1.1bn.

US.- DraftKings has reported its financials for the second quarter of 2024. Revenue was $1.1bn, up 26 per cent year-on-year. Net income reached $63.8m. The operator attributed this growth to increased customer engagement, the expansion of its sportsbook product into new jurisdictions and the acquisition of Jackpocket, which was completed in May 2024.

Adjusted EBITDA rose from $73m in Q2 2023 to $128m in Q2 2024. DraftKings recorded a loss from operations of $32.4m for the quarter, reflecting ongoing investments in growth and market expansion. That compares to a $69m loss reported in the same quarter last year.

Monthly Unique Payers (MUPs) reached 3.1m, a 50 per cent rise from the previous year. Average Revenue per MUP (ARPMUP) fell by 15 per cent to $117, mainly due to promotional investments in new customers and outcomes that favoured bettors.

DraftKings has updated its fiscal year 2024 revenue guidance to a range of $5.05bn to $5.25bn, reflecting an anticipated year-on-year growth of 38 per cent to 43 per cent. However, it revised its adjusted EBITDA guidance to between $340m and $420m, down from the previous forecast of $460m to $540m. The company cited ongoing investments and changing market dynamics as reasons. The company also announced a $1.0bn share repurchase programme to repurchase its Class A common stock.