In this photo illustration the logo of DraftKings, the American daily fantasy sports contest and sports betting company, is displayed on a smartphone screen.
Budrul Chukrut | light rocket | fake images
share DraftReyes rose on Friday morning after the sports betting company reported stronger-than-expected revenue and raised its 2023 outlook.
The stock closed 15% higher at $20.54, giving it a market value of $8.39 billion.
The blow came on the heels of DraftKings being the most downloaded sports betting app in the US on Super Bowl Sunday, according to the company. States where sports betting is recently legal are also increasing sales.
For its fiscal fourth quarter, Draftkings said its revenue of $855 million represents an 81% increase compared to the $473 million it earned during the same period in 2021. It reported a loss of 53 cents per share on revenue of $855. millions. Analysts polled by Refinitiv had anticipated a loss of 59 cents a share on revenue of $800 million.
The company attributed the results to continued customer retention, acquisition and engagement in existing states, as well as successful launches of its Sportsbook and iGaming products in additional jurisdictions.
“I am very pleased with how we concluded 2022, with continued revenue growth and a strong focus on expense management,” CEO of DraftKings Jason Robins said in a launch.
DraftKings is raising its fiscal 2023 revenue guidance to a range of $2.85 billion to $3.05 billion from the range it announced in November, $2.8 billion to $3 billion. The company said its updated guidance equates to 27% to 36% year-over-year growth.
DraftKings recently launched in Maryland, Kansas, and Ohio.
–CNBC jessica dorado contributed to this report.
