Companies /Consumer Cyclical

DraftKings Inc - Class A

NASDAQ: DKNG Gambling
$23.71
▲ $0.05 (+0.21%) today
Markets closed · 9:05am ET

Q1 2026 Earnings

Reported May 8, 2026, 6:56am ET · SEC source
$0.20
Beat +16.41%
EPS · est. $0.17
$1.6B
Beat +0.92%
Revenue · est. $1.6B
+22.7%
Beating market
DKNG vs S&P since report
1 quarter
Consecutive EPS misses

Market Reaction

% change · around the report
0+3%+6%+9%May 8May 8report 6:56am ETearnings+0.4%+2.8%
0+3%+6%+9%May 8May 8earnings+0.4%+2.8%
DKNG +2.8%S&P 500 +0.4%
0+3%+6%+9%May 8May 8report 6:56am ETearnings+1.8%+2.8%
0+3%+6%+9%May 8May 8earnings+1.8%+2.8%
DKNG +2.8%NASDAQ +1.8%
−3%0+3%+6%May 7May 15report 6:56am ETearnings+0.3%+0.3%
−3%0+3%+6%May 7May 15earnings+0.3%+0.3%
DKNG +0.3%S&P 500 +0.3%
−3%0+3%+6%May 7May 15report 6:56am ETearnings+0.9%+0.3%
−3%0+3%+6%May 7May 15earnings+0.9%+0.3%
DKNG +0.3%NASDAQ +0.9%
−3.96%
Day of report
+0.41%
Next session
+5.18%
One week
+22.48%
30 days

S&P 500 over the same 30 days: −0.21%.

Did DKNG Beat Earnings? Q1 2026 Results

DraftKings delivered a split verdict in Q1 2026, posting revenue of $1.65 billion, beating the $1.57 billion consensus by 4.54% and growing 8.8% year over year, while earnings per share of $0.20 fell well short of the $0.36 analyst estimate, a miss of 44.31%. The key driver behind the revenue strength was a meaningful expansion in Sportsbook Net Revenue Margin, which widened to 7.8% from 6.4% a year ago, helping push Sportsbook revenue up 24.1% to $1.09 billion even as handle grew only modestly. The company also swung to GAAP net income of $21.07 million from a $33.86 million loss in Q1 2025, with Adjusted EBITDA climbing 64% to $167.85 million. Monthly Unique Payers dipped 4% to 4.2 million, though Average Revenue per MUP jumped 21% to $131, underscoring the company's focus on higher-value engagement. Looking ahead, DraftKings held its full-year 2026 revenue guidance of $6.50 billion to $6.90 billion and Adjusted EBITDA of $700 million to $900 million, while flagging an ambitious push into Sports Predictions as a new growth frontier before year-end.

Key Takeaways
  • Efficient customer acquisition over the past year
  • Continued healthy customer engagement
  • Higher Sportsbook net revenue margin (7.8% vs 6.4% YoY)
  • Average Revenue per MUP increased 21% to $131
  • Strong customer retention across Sportsbook and iGaming

“We are off to a fantastic start to the year as our first quarter results exceeded our expectations. Our core business is strong, and profitability is inflecting. That gives us the firepower to press our advantage in Predictions. With our Super App, market making capabilities, proprietary exchange, and combos coming together, we intend to establish a leadership position in Sports Predictions before year-end.”

DraftKings CEO, on the earnings call

Forward Guidance & Outlook

DraftKings is maintaining its fiscal year 2026 revenue guidance range of $6.5 billion to $6.9 billion and fiscal year 2026 Adjusted EBITDA guidance range of $700 million to $900 million. The company intends to establish a leadership position in Sports Predictions before year-end 2026.

DKNG YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$500.0M$1.0B$1.5B$1.5B$1.6BRevenue$657.9M$696.7MGross Profit$150.7M$5.8MOperating Income$157.9M$21.1MNet Income
$0$500.0M$1.0B$1.5BRevenueGross ProfitOperating IncomeNet Income

DKNG Revenue by Segment

Sportsbook$1.1B+24.1%
iGaming$461.3M+8.9%
Other Revenue$89.9M−13.0%

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