DraftKings reports Q2 revenue of $466m

DraftKings has reported revenue increase of 57 per cent compared to Q2 2021.

US.- DraftKings has published its second quarter financial results. The company generated $466m in revenue, a 57 per cent increase from $298m in the same period in 2021. Revenue for the DraftKings’ B2C segment grew to $455m, an increase of 68 per cent compared to the three months ended June 30, 2021.

The company recorded a net loss of $217.1m for Q2 2022. Although this is not as high a loss as in Q1 2021, when losses topped $305.5m, the company’s net loss was greater in H1 2022 than in H1 2021. H1 2022 saw the operator record a net loss of $684.8m, compared to a loss of $651.9m in H1 2021.

“DraftKings had an excellent second quarter, exceeding expectations for revenue and Adjusted EBITDA,” said Jason Robins, DraftKings’ co-founder, chief executive officer and chairman of the Board. “Customer engagement remains strong, and we continue to see no perceivable impact from broader macroeconomic pressures. Due to our ongoing investments in core online gaming technologies, we are in a strong position from a competitive perspective as we approach the beginning of the NFL season. We remain well capitalized, ready to enter new markets as they become live, and confident in our ability to compete and win with customers.”

“We executed very well in the second quarter and outperformed the midpoints of the Q2 guidance ranges for revenue and Adjusted EBITDA that we provided on our first quarter earnings call,” added Jason Park, DraftKings’ chief financial officer. “Our B2C segment drove revenue growth due to stronger than anticipated customer activity, while we continued to make progress on identifying and capturing operating efficiencies. As a result, looking forward, we are increasing the midpoint of our fiscal year 2022 revenue guidance by $15m and improving the midpoint of our fiscal year 2022 Adjusted EBITDA guidance by $60m.”

Monthly unique players (MUPS) at DraftKings increased to 1.5 million new paying customers, a 30 per cent increase in the number of MUPs recorded for Q2 2021.  

Revenue per unique player also rose 30 per cent year-on-year to $103. DraftKings attributes this increase to stronger customer engagement, a continued mix blend of DraftKings’ Sportsbook and iGaming products, and reduced promotional intensity. 

See also: DraftKings commits $1.6m to US responsible gambling initiative