Companies /Consumer Cyclical

DraftKings Inc - Class A

NASDAQ: DKNG Gambling
$24.32
▲ $0.61 (+2.55%) today
Markets open · 2:15pm ET

Q2 2025 Earnings

Reported Aug 7, 2025, 6:49am ET · SEC source
$0.38
Miss −6.31%
EPS · est. $0.41
$1.5B
Beat +6.03%
Revenue · est. $1.4B
+4.1%
Beating market
DKNG vs S&P since report
1 quarter
Consecutive EPS misses

Market Reaction

% change · around the report
−12%−8%−4%0Aug 7Aug 8report 6:49am ETearnings−0.1%−11.4%
−12%−8%−4%0Aug 7Aug 8earnings−0.1%−11.4%
DKNG −11.4%S&P 500 −0.1%
−12%−8%−4%0Aug 7Aug 8report 6:49am ETearnings+0.3%−11.4%
−12%−8%−4%0Aug 7Aug 8earnings+0.3%−11.4%
DKNG −11.4%NASDAQ +0.3%
−10%−5%0Aug 6Aug 14report 6:49am ETearnings+1.3%−10.6%
−10%−5%0Aug 6Aug 14earnings+1.3%−10.6%
DKNG −10.6%S&P 500 +1.3%
−10%−5%0Aug 6Aug 14report 6:49am ETearnings+1.3%−10.6%
−10%−5%0Aug 6Aug 14earnings+1.3%−10.6%
DKNG −10.6%NASDAQ +1.3%
−5.13%
Day of report
−0.35%
Next session
+4.80%
One week
+6.46%
30 days

S&P 500 over the same 30 days: +2.36%.

Did DKNG Beat Earnings? Q2 2025 Results

DraftKings delivered a record-setting second quarter in 2025, posting strong top-line results even as its bottom line fell slightly short of expectations. Revenue climbed 37% year-over-year to $1.51 billion, clearing the $1.43 billion consensus by 6.03%, while adjusted EPS of $0.38 came in just below the $0.41 estimate, a 6.31% miss. The primary engine behind the revenue surge was a dramatically higher sportsbook hold percentage, which reached 8.7% compared to just 6.4% in Q2 2024, propelling sportsbook revenue alone up 45.3% to $997.87 million. Net income reached $157.94 million, more than doubling from $63.82 million a year ago, and Adjusted EBITDA more than doubled to $300.64 million. <a href="https://247wallst.com/investing/2025/08/06/live-can-draftkings-keep-the-rally-going-after-earnings-tonight/">With momentum building heading into the print</a>, the company maintained its fiscal 2025 revenue guidance of $6.2 billion to $6.4 billion, noting results are expected to land closer to the high end, alongside Adjusted EBITDA guidance of $800 million to $900 million, near the midpoint.

Key Takeaways
  • Continued healthy customer engagement and efficient new customer acquisition
  • Higher structural Sportsbook hold percentage (8.7% vs 6.4% in Q2 2024)
  • Sportsbook-friendly outcomes in Q2 2025
  • Improved promotional reinvestment efficiency for Sportsbook
  • Monthly Unique Payers grew 6% year-over-year to 3.3 million
  • Average Revenue per MUP increased 29% year-over-year to $151
  • Sportsbook handle grew 6.3% to $11.5 billion

“We set records for revenue, net income and Adjusted EBITDA in the second quarter, driven by an acceleration in revenue growth to 37% year-over-year.”

DraftKings CEO, on the earnings call

Forward Guidance & Outlook

DraftKings maintained its fiscal year 2025 revenue guidance of $6.2 billion to $6.4 billion, with revenue expected to land closer to the high end of the range due to sportsbook-friendly outcomes in Q2 and continuing strength across core value drivers. The company also maintained its fiscal year 2025 Adjusted EBITDA guidance of $800 million to $900 million, with results expected near the midpoint. Guidance now includes anticipated financial impacts from launching mobile sports betting in Missouri later in 2025 and higher tax rates in New Jersey, Louisiana, and Illinois. Guidance does not include a potential Prediction Markets offering.

DKNG YoY Financials

Q2 2025 vs Q2 2024 · SEC filings Q2 2024 Q2 2025
$0$500.0M$1.0B$1.5B$1.1B$1.5BRevenue$441.0M$657.9MGross Profit$22.6M$150.6MOperating Income$63.8M$157.9MNet Income
$0$500.0M$1.0B$1.5BRevenueGross ProfitOperating IncomeNet Income

DKNG Revenue by Segment

Sportsbook$997.9M+45.3%
iGaming$429.7M+22.6%
Other Revenue$85.0M+26.8%

Figures from SEC filings and company reports. Not investment advice.