October 3, 2023
DraftKings inventory surges after firm raises 2023 outlook

On this picture illustration, the American each day fantasy sports activities contest and sports activities betting firm DraftKings brand is displayed on a smartphone display.

Budrul Chukrut | Lightrocket | Getty Photographs

Shares DraftKings surged Friday morning after the sports-betting firm reported stronger-than-expected income and raised its outlook for 2023.

The inventory closed 15% increased at $20.54, giving it a market worth of $8.39 billion.

The bump got here on the heels of DraftKings being probably the most downloaded sportsbook app within the U.S. on Tremendous Bowl Sunday, in line with the corporate. States the place sports activities betting is newly authorized are boosting gross sales, too.

For its fiscal fourth quarter, Draftkings mentioned its income of $855 million is a rise of 81% in comparison with the $473 million it took in throughout the identical interval in 2021. It reported a lack of 53 cents per share on income of $855 million. Analysts polled by Refinitiv had anticipated a lack of 59 cents per share on income of $800 million.

The corporate attributed the outcomes to continued buyer retention, acquisition and engagement in current states, in addition to profitable launches of its Sportsbook and iGaming merchandise in extra jurisdictions.

“I’m very happy with how we concluded 2022, with continued top-line development and a powerful give attention to expense administration,” DraftKings CEO Jason Robins mentioned in a launch.

DraftKings is elevating its fiscal yr 2023 income steering to a variety of $2.85 billion to $3.05 billion from the vary it introduced in November, $2.8 billion to $3 billion. The corporate mentioned its up to date steering equates to year-over-year development of 27% to 36%.

DraftKings not too long ago launched in Maryland, Kansas and Ohio.

–CNBC’s Jessica Golden contributed to this report.

DraftKings inventory surges after firm raises 2023 outlook

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