Q2 26 EPS Adjusted
$0.09
MISS 53.05%
Est. $0.19
Q2 26 Revenue
$1.44B
MISS 4.48%
Est. $1.51B
vs S&P Since Q2 26
+15.9%
BEATING MARKET
DKNG +15.6% vs S&P -0.4%
Market Reaction
Did DKNG Beat Earnings? Q2 2026 Results
DraftKings delivered a disappointing second quarter, missing on both the top and bottom lines as a combination of customer-friendly sports outcomes and heavy promotional investment weighed on results. Revenue fell 4.6% year-over-year to $1.44 billion… Read more DraftKings delivered a disappointing second quarter, missing on both the top and bottom lines as a combination of customer-friendly sports outcomes and heavy promotional investment weighed on results. Revenue fell 4.6% year-over-year to $1.44 billion, coming in 4.48% below the $1.51 billion consensus, while adjusted EPS of $0.09 fell sharply short of the $0.19 analysts had expected, a 53.05% miss. The core culprit was margin compression in the sportsbook, where Sports Net Revenue Margin narrowed to 6.8% from 8.7% a year ago, even as Sports Consumer Volume climbed 15% to $13.14 billion. Sales and marketing costs surged to $322.54 million from $233.19 million, reflecting aggressive investment behind the December 2025 launch of Predictions and broader customer acquisition. Adjusted EBITDA tumbled to $114.60 million from $300.64 million in Q2 2025, and the company swung to a GAAP net loss of $67.61 million from net income of $157.94 million a year ago. Management maintained full-year 2026 revenue guidance of $6.50 billion to $6.90 billion and Adjusted EBITDA guidance of $700 million to $900 million, expressing confidence that the core business remains on track to generate approximately $1.00 billion of Adjusted EBITDA.
Key Takeaways
- • Sports Consumer Volume increased 15% YoY to $13.1 billion
- • Monthly Unique Payers increased approximately 9% to 3.6 million
- • iGaming revenue grew 7.5% YoY
- • Customer-friendly sport outcomes negatively impacted revenue
- • Increased promotional reinvestment for Sportsbook and Predictions customer acquisition compressed margins
- • ARPMUP decreased approximately 13% to $132
- • Sports Net Revenue Margin compressed to 6.8% from 8.7%
DKNG Forward Guidance & Outlook
DraftKings maintained its fiscal year 2026 revenue guidance of $6.5 billion to $6.9 billion and Adjusted EBITDA guidance of $700 million to $900 million. The CFO stated the core business remains on track to generate approximately $1 billion of Adjusted EBITDA this year, providing financial flexibility to invest behind the Predictions opportunity. The CEO expressed confidence in winning the Predictions category during the upcoming NFL season and beyond, noting the Super App is now live nationwide and Predictions is growing faster than anticipated.
DKNG YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
DKNG Revenue by Segment
With YoY comparisons, source: SEC Filings
“We delivered a strong second quarter and enter the back half of the year with real momentum, as our core business grew across handle, users, and engagement.”
— Jason Robins, Q2 2026 Earnings Press Release
DKNG Earnings Trends
DKNG vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
DKNG EPS Trend
Earnings per share: estimate vs actual
DKNG Revenue Trend
Quarterly revenue: estimate vs actual
DKNG Quarterly Results
9 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 MISS | $0.19 | $0.09 | -53.05% | $1.44B | -4.48% |
| Q1 26 BEAT | $0.17 | $0.20 | +16.41% | $1.65B | +0.92% |
| Q4 25 MISS FY | $0.41 | $0.36 | -12.47% | $1.99B | +0.04% |
| FY Full Year | $0.79 | $0.66 | -16.28% | $6.05B | +0.26% |
| Q3 25 MISS | $-0.26 | $-0.26 | -1.84% | $1.14B | -4.81% |
| Q2 25 MISS | $0.41 | $0.38 | -6.31% | $1.51B | +6.03% |
| Q1 25 MISS | $0.12 | $0.12 | -2.44% | $1.41B | -1.23% |
| Q1 24 BEAT | $-0.28 | $0.03 | +110.71% | $1.17B | +4.51% |
| Q4 23 BEAT FY | $0.08 | $0.29 | +262.50% | $1.23B | -0.75% |
| FY Full Year | — | $-0.41 | — | $3.67B | — |
| Q4 22 | $-0.59 | — | — | — | — |