DraftKings Inc. announced first-quarter 2025 revenue of $1,409 million, representing a 20% increase compared to $1,175 million in the same period of 2024. The company reported a net loss of $33.9 million, or $0.07 per share, for the quarter, with Adjusted EBITDA reaching $102.6 million.
The revenue increase was primarily driven by continued healthy customer engagement, efficient new customer acquisition, a higher structural Sportsbook hold percentage, and the impact of the Jackpocket acquisition. However, these positive factors were partially offset by 'customer-friendly sport outcomes' in March, which led to more customer wins.
DraftKings lowered its fiscal year 2025 revenue guidance, with the midpoint now at $6.3 billion, which came in 1.1% below analysts' estimates. Management stated that they would have been in a position to raise guidance if not for the unfavorable sport outcomes. The company also repurchased 3.7 million shares in the first quarter under its existing stock repurchase program.
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