NASDAQ$DKNG

Draftkings Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

DraftKings reported strong Q4 2022 financial results, marked by significant revenue growth and a focus on expense management.

DraftKings' Q4 2022 revenue reached $855 million, an 81% increase year-over-year, driven by customer retention, monetization, successful product launches in new jurisdictions, and improved sportsbook hold. The company is raising its 2023 revenue guidance and improving its Adjusted EBITDA guidance.

  • Revenue increased by 81% year-over-year to $855 million.
  • Monthly Unique Payers (MUPs) rose by 31% to 2.6 million.
  • Average Revenue per MUP (ARPMUP) increased by 42% to $109.
  • The company is raising its fiscal year 2023 revenue guidance and significantly improving its fiscal year 2023 Adjusted EBITDA guidance.

Headline financials

Total Revenue

$855M

Previous: $473M+80.7%
EPS (adj)

-$0.53

Previous: -$0.80+33.8%
Average Monthly Unique Payers

2.6M

Previous: 0
Average Revenue per MUP

$109.00

Previous: $0.00
Capital Expenditures

$12.5M

Previous: $4.75M+162.9%
Free Cash Flow

-$161M

Previous: -$177M+9.1%
Net Income

-$243M

Previous: -$326M+25.6%
Operating Income

-$232M

Previous: -$369M+37.0%
Gross Profit

$370M

Previous: $220M+67.9%
Cash & Equivalents

$1.31B

Previous: $2.15B-39.2%
Total Assets

$4.04B

Previous: $4.07B-0.7%
Stock-Based Comp

$130M

Previous: $184M-29.3%

Revenue & EPS history

DraftKings · Revenue · Quarterly

$855M

Q4 2022+80.7%vs Q4 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Forward guidance

DraftKings is raising its fiscal year 2023 revenue guidance to a range of $2.85 billion to $3.05 billion and improving its fiscal year 2023 Adjusted EBITDA guidance to between ($350) million and ($450) million.

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 Q4 2022

Historical avgQ4 2022

+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

Earnings price reactions
QuarterReport dateReaction (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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