DraftKings Reports Q2 iGaming Revenue of US$1.51 Billion

DraftKings Inc. has reported revenue of US$1.51 billion (£1.12bn) for the second quarter of 2025, a year-on-year increase of 37 percent.

Growth was attributed to increased customer engagement, improved sportsbook hold percentages, and favourable betting outcomes.

The company posted net income of US$158 million (£117.67m) for the quarter, a significant turnaround from a loss in the prior-year quarter.

Adjusted EBITDA rose to US$301 million (£224.18m), another company record. Monthly Unique Payers (MUPs) grew to 3.3 million, up six percent, compared to the same period last year, while Average Revenue per MUP (ARPMUP) increased to US$151 (£112.51m), reflecting a 29 percent gain.

DraftKings confirmed that its revenue growth was supported in part by the integration of “lottery-of-lotteries” Jackpocket, which contributed to both MUP and ARPMUP figures. Excluding Jackpocket, MUPs still increased by five percent and ARPMUP rose by an impressive 30 percent over the year.

The company reaffirmed its FY 2025 revenue guidance of between US$6.2 billion to US$6.4 billion (£4.61bn-£4.76bn), representing an expected year-on-year increase of 32 percent over 2024. Adjusted EBITDA guidance for this year was maintained at US$800 million to US$900 million (£596.01m-£670.51).

This guidance reflects the anticipated impact of a mobile sports book launch in Missouri, as well as increased tax obligations in New Jersey, Louisiana, and Illinois.

Prediction Market Product

But, tellingly, the latest outlook “does not include any potential contribution from a planned prediction markets product”.

DraftKings is now live with mobile sports betting in 25 U.S. states and Washington, D.C., covering almost half the U.S. population.

The company also operates full 360 iGaming in five U.S. states, serving some 11 percent of the nation’s people. And in Ontario, Canada, it offers both online sprost betting and iGaming services.

As of June 30 this year, Massachusetts-origin DraftKings reported US$1.26 billion (£939m) in liquid assets, with total assets of US$4.47 billion (£3.32bn) and liabilities of U$3.46 billion (£2.57bn). Stockholders’ equity stood at approximately US$1.01 billion (£752.34m).

Affirmed Jason Robins, DraftKings’ CEO and Co-founder: “We are pleased to be maintaining our FY 2025 guidance, with revenue expected to be closer to the high end of our range, highlighting the strength of our platform as we prepare for an exciting new state launch.”

Alan Ellingson, DraftKings’ Chief Financial Officer, added: “We remain focused on investing in key growth initiatives across the organisation to maximise shareholder returns over the long term.

“And in addition to our investments, we repurchased 6.5 million shares through our stock repurchase program in the first two quarters of this year.”