NASDAQ$DKNG
Draftkings Inc · Q2 2024 earnings
Q2 2024 earnings · · Investor relations
Briefing
Reported a 26% revenue increase driven by customer engagement, efficient acquisition, product expansion, higher sportsbook hold, and the Jackpocket acquisition.
DraftKings reported strong second-quarter results with a 26% increase in revenue to $1,104 million. The company raised its full-year revenue guidance but revised its Adjusted EBITDA guidance downward. A $1.0 billion share repurchase program was also announced.
- Revenue increased by 26% to $1,104 million compared to Q2 2023.
- Monthly Unique Payers (MUPs) increased by 50% to 3.1 million.
- Average Revenue per MUP (ARPMUP) decreased by 15% to $117.
- Raised 2024 revenue guidance and revised adjusted EBITDA guidance.
Headline financials
Revenue & EPS history
DraftKings · Revenue · Quarterly
$1.1B
Forward guidance
DraftKings raised its fiscal year 2024 revenue guidance to a range of $5.05 billion to $5.25 billion and expects fiscal year 2025 Adjusted EBITDA to be in the range of $900 million to $1.0 billion. The Company now expects fiscal year 2024 Adjusted EBITDA of between $340 million and $420 million.
Tailwinds
- Raising fiscal year 2024 revenue guidance to a range of $5.05 billion to $5.25 billion.
- Expecting fiscal year 2025 Adjusted EBITDA to be in the range of $900 million to $1.0 billion.
- Continued to capitalize on the healthy customer acquisition environment for the rest of 2024.
- Plan to implement a gaming tax surcharge in high tax states on January 1, 2025 which could drive Adjusted EBITDA upside on an annual basis.
- DraftKings’ Free Cash Flow trajectory.
Headwinds
- Revising its fiscal year 2024 Adjusted EBITDA guidance to between $340 million and $420 million compared to its prior guidance of between $460 million and $540 million.
- Decrease in Average Revenue per MUP (ARPMUP) was primarily due to lower ARPMUP for Jackpocket customers when compared to customers of DraftKings’ existing product offerings prior to the acquisition.
- Customer friendly sport outcomes.
- Increase in new customer promotional investment for the Company’s Sportsbook and iGaming product offerings as a result of strong customer acquisition.
- Excludes the impact of the planned gaming tax surcharge for fiscal year 2025 Adjusted EBITDA.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q2 2024
+0.8%
Avg return
Earnings day
+1.4%
Avg return
5 days after
+3.4%
Avg return
30 days after
63%
17 / 27 earnings
Positive
+23.9%
Q3 2023
Best reaction
-24.7%
Q3 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -1.0% | -2.4% | -3.2% | |
| Q4 2025 | -13.5% | -7.8% | +2.8% | |
| Q3 2025 | +8.6% | +12.6% | +21.5% | |
| Q1 2025 | +2.5% | +8.2% | +1.3% | |
| Q4 2024 | +15.2% | +9.3% | -18.5% | |
| Q3 2024 | +4.9% | +9.0% | +15.7% | |
| Q2 2024 | -13.3% | -15.1% | -6.6% | |
| Q1 2024 | +0.0% | +3.5% | -16.0% | |
| Q4 2023 | +1.6% | -5.8% | -4.8% | |
| Q3 2023 | +23.9% | +32.0% | +43.2% | |
| Q2 2023 | +5.0% | +4.9% | -2.0% | |
| Q1 2023 | +12.1% | +11.2% | +13.7% | |
| Q4 2022 | +15.5% | +12.3% | +0.5% | |
| Q3 2022 | -24.7% | -25.6% | -1.1% | |
| Q2 2022 | +12.7% | +18.3% | -5.3% | |
| Q1 2022 | -23.9% | -28.9% | -11.9% | |
| Q4 2021 | -15.7% | -11.0% | -11.1% | |
| Q3 2021 | +0.2% | -8.1% | -36.5% | |
| Q2 2021 | +3.7% | +3.4% | +20.9% | |
| Q1 2021 | -12.6% | -18.8% | -3.0% | |
| Q4 2020 | +18.9% | +13.7% | +10.0% | |
| Q3 2020 | +3.6% | +15.6% | +21.4% | |
| Q2 2020 | -3.8% | +0.6% | +15.0% | |
| Q1 2020 | +16.8% | +17.3% | +45.7% | |
| Q4 2019 | -14.1% | -11.1% | +0.1% | |
| Q3 2019 | +0.0% | -0.5% | +0.0% | |
| Q2 2019 | +0.2% | +0.2% | +0.9% | |
| Q1 2019 | — | — | — | |
| Q4 2018 | — | — | — |
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