DraftKings Inc. Earnings Recaps
Q2 2026
Aug 12, 2026
DraftKings shares rose 8.4% post-earnings as the company delivered better-than-expected customer acquisition and engagement, alongside strong prediction market growth, supporting guidance and margin outlook.
Key takeaways
- Customer acquisition surged nearly 75% year-over-year, exceeding prior plans by approximately 30%, aided by NBA Finals and World Cup interest.
- Adjusted EBITDA reached $115 million in Q2, driven by core business strength despite customer-friendly sports outcomes and higher acquisition spend.
- Predictions offering volume grew nearly 5x annualized from $2.3 billion in April to $11 billion in July, with >600,000 engaged customers year-to-date.
- Sportsbook handle increased 11% year-over-year, while normalized revenue rose 10%, helped by rising parlay handle mix and industry-leading net revenue per unique customer growth (14% YoY).
- Fiscal 2026 guidance was maintained at $6.5 billion to $6.9 billion revenue and $700 million to $900 million adjusted EBITDA, reflecting confidence despite increased investment in Predictions.
Q3 2025
Nov 9, 2025
DraftKings reports strong momentum with expected revenue growth to $5.9-6.1 billion in 2025 and positive adjusted EBITDA, despite recent market fluctuations impacting short-term results.
Key takeaways
- Revenues projected to grow from over $2 billion in 2022 to $5.9-6.1 billion in 2025, with a positive adjusted EBITDA forecast of $450-550 million.
- Sportsbook net revenue margin improved significantly, driven by a shift toward higher-margin parlay bets, while customer retention for NFL week 1 customers increased by over 300 basis points year-over-year.
- Third-quarter iGaming revenue rose 25% year-over-year, marking the fastest growth since Q1 2024, bolstered by enhanced customer engagement.
- Exclusive marketing agreements with ESPN and NBCUniversal are expected to enhance brand affinity and expand market reach, particularly in the NBA.
- Upcoming launch of DraftKings predictions presents a significant opportunity to capture new revenue streams in states where online sports betting is not yet legalized.