DraftKings hails “impressive” Q2 2021 as revenue soars 320%
US heavyweight narrows financial losses and reports a 281% increase in monthly unique players
DraftKings has reported a 320% year on year revenue rise during Q2 2021 to $298m.
Releasing its report for the quarter, the US operator confirmed a net loss of $305m, down from the $520m reported during the same period in 2020.
Pro forma costs relating to sales and marketing, product and technology, and general administrative costs amounted to $432m during the quarter.
Company adjusted EBITDA reached $95.3m, up from the $59.8m last year.
The Boston-based firm, which is live with sports betting in 12 states, revealed a 281% annual increase in monthly unique players (MUP) within its B2C segment, with average revenue per MUP rising 26% over the same period to $80.
On the back of the strong top-line growth, DraftKings has increased its fiscal year 2021 revenue guidance from between $1.05bn and $1.15bn to $1.21bn-$1.29bn.
“The increase reflects strong performance in the second quarter of 2021 and continued user retention, engagement and acquisition due to the effectiveness of our marketing spend,” DraftKings said in an accompanying statement.
DraftKings CEO, chairman and co-founder Jason Robins discussed the wider expansion of the Nasdaq-listed firm into media partnerships and more recently through a new NFT marketplace.
“We believe these expansion opportunities will enable us to further grow our customer base and generate additional revenues through cross-selling to our existing players,” Robins said.
“We also are excited that the migration to our proprietary in-house online sports betting technology is substantially complete, with only one state remaining pending approval,” the DraftKings CEO added.
DraftKings has confirmed that the final migration will complete by the end of Q3 2021, with the transition to in-house allowing the operator to launch same-game parlays.
Earlier this week, DraftKings reached an agreement with Genius Sports to gain access to its full suite of official sportsbook data and content, including the NFL.
The major agreement will see the business leverage Genius Sports’ data solutions across a wealth of sports and will also include livestreaming capabilities and fan engagement products.
Additionally, DraftKings will also deploy Genius Sports’ BetBuilder product across the NFL, NBA, NHL, MLB and major football competitions.
DraftKings’ stock rose 7% in pre-market trading before falling back to $50.66 at the time of writing.