DraftKings Inc. Earnings Recaps
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.