Draftkings Inc. Elevates 2025 Revenue Projections And Reaffirms EBITDA Outlook
$DKNG
DraftKings Inc. (NASDAQ:DKNG) has raised its revenue guidance midpoint for 2025 to $6.45 billion, up from the previously projected $6.4 billion, while reaffirming its adjusted EBITDA guidance range of $900 million to $1.0 billion. During the fourth quarter of 2024, DraftKings reported a revenue of $1.393 billion, marking a 13% increase compared to the same period in 2023.
“2024 was a milestone year for DraftKings as we achieved our first year of positive Adjusted EBITDA,” stated Alan Ellingson, CFO of DraftKings. He further emphasized the company’s robust core value drivers, which support the revised revenue guidance for 2025. The company also reported significant growth in Monthly Unique Payers (MUPs), which increased to 4.8 million average monthly unique paying customers in the fourth quarter of 2024, up 36% from the previous year.
This increase reflects strong player acquisition and retention across DraftKings’ Sportsbook and iGaming products, further bolstered by the Jackpocket acquisition. A 16% decrease in Average Revenue per MUP (ARPMUP) in the fourth quarter due to lower rates for Jackpocket customers and customer-friendly sports outcomes, the company has made strides in improving its structural Sportsbook hold and promotional reinvestment strategies.
DraftKings is live with mobile sports betting in 25 states and Washington, D.C., covering approximately 49% of the US population. It also operates iGaming in five states and in Ontario, Canada. The company anticipates launching its Sportsbook product in Missouri and Puerto Rico, pending regulatory approvals.
The company continues to innovate its product offerings and enhance user experience, positioning itself as a leader in the digital sports entertainment and gaming industry. As DraftKings moves into 2025, it remains focused on expanding its market presence and enhancing shareholder value through strategic initiatives and robust financial performance. The company’s revised revenue guidance and steadfast EBITDA outlook underscore its confidence in maintaining a growth trajectory amidst dynamic market conditions.
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